Standard Chartered Bank Kenya Limited today released its half-year results for the period ended 30 June 2025. The Bank recorded a profit before tax of KShs 10.9 billion,a 21 per cent drop compared to the same period last year. Despite this dip, the Bank remains well-capitalised with a Total Capital Ratio of 19.7 per cent, emphasising its strong balance sheet and ability to continue supporting clients as interest rates ease.
“Our performance in the first half of 2025 was solid delivering profit before tax of KShs 10.9 billion albeit a 25 per cent drop year on year. Profit after tax was KShs 8.1 billion, a 21 per cent drop compared to the same period last year. On the back of this performance, the Directors are pleased to announce the payment of an interim dividend of KShs 8.00 for every ordinary share of KShs 5.00 to be paid to shareholders on the register as at the close of business on 11 September 2025 and will be paid on or about 7 October 2025. This leaves our Total Capital Ratio at 19.7% and 520 bps above the regulatory minimum, providing a strong base to continue supporting our clients’ borrowing needs as interest rates continue to ease.” said Kariuki Ngari, Managing Director and Chief Executive Officer.
Summary financial performance
- Operating income decreased 15 per cent on account of;
o Net interest income decrease of 7 per cent due to volume decline and margin compression on the back of declining interest rates, partly mitigated by lower customer deposits cost of funds and growth in interest income from government securities.
o Non-interest income decrease of 29 per cent from decline in transactional volumes and margins in Transaction Services, Markets and Wealth Solutions. This was partly mitigated by growth in trading income and wealth solutions. - Operating expenses remained flat with prudent cost management, investments to fund business growth and digital capabilities continuing to deliver efficiencies.
- Impairment losses on loans and advances reduced 25 per cent from recoveries, prudent oversight of the loan book and a continued focus on asset quality.
The balance sheet remains strong, highly liquid, and well capitalised; - Net loans and advances to customers remained flat compared to December 2024.
- Customer deposits were down 2 per cent as a result of reduction in customer balances. Funding quality remains high with current and savings accounts making up to 97 per cent of total customer deposits.
- The liquidity ratio at 64.5 per cent remains well above the regulatory threshold of 20 per cent.
- Total capital ratio of 19.7 per cent is above the regulatory minimum.
Kenya’s economy remains steady, supported by low inflation, a stable currency, and lower interest rates. At the same time, while the Bank acknowledges the global economic challenges and uncertainties it remains confident in its strategy and in the resilience of its people as they continue to support clients through these times.
