Family Bank Group’s half-year earnings to June 2025 rose sharply, with the lender reporting a Profit After Tax of Sh2.2 billion.

This represents a 38.7 per cent increase compared with the same period in 2024, when the profit stood at Sh1.6 billion.

The half-year growth was attributed to stronger revenues, effective cost controls, and an expansion of the balance sheet.

Total assets grew by 21.8 per cent to Sh192.8 billion, supported by a 10.4 per cent rise in the loan book to Sh100.9 billion.

The bank linked this performance to recent funding partnerships with British International Investment and the European Investment Bank, which have expanded access to credit for small and medium-sized enterprises.

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Net interest income rose sharply by 39.9 per cent to Sh6.9 billion, supported by a 48.7 per cent jump in earnings from Government securities and a 14.8 per cent increase in income from loans and advances, which closed at Sh7.7 billion.

During the results announcement, Chief Executive Officer Nancy Njau highlighted the bank’s strategic execution and customer trust. 

“Our strong half-year results reflect strategic clarity, operational excellence, and the trust our customers place in us," Njau remarked.

"This momentum is further supported by our 2025–2029 strategy, which focuses on scaling SME lending, driving innovation and digital transformation, and delivering a customer experience that positions Family Bank as the financial partner of choice for individuals and businesses across Kenya.”

Customer deposits rose by 25.7 per cent to Sh149.7 billion, driven by branch optimisation and continued expansion. 

Operating expenses climbed 36.3 per cent to Sh6.7 billion, up from Sh4.9 billion, as the lender invested in marketing campaigns, branch expansion, and upgrades to digital infrastructure.

The quality of the loan book improved, with net non-performing loans falling by 15.4 per cent.

Explaining this, Chief Financial Officer Paul Ngaragari noted that the bank had also increased provisions. 

“To further reinforce this progress and cushion against potential sector-wide risks, we increased our loan loss provisions by 68.4 per cent to Sh663.5 million as a prudent risk management and proactive approach to safeguarding assets,” Ngaragari said.

Core capital rose to Sh16.5 billion from Sh14.5 billion, while the liquidity ratio strengthened to 53.1 per cent, well above the statutory minimum of 20 per cent.

The lender also reported that more than 90 per cent of customer transactions are now processed through non-branch channels, reflecting its growing digital footprint.

Family Bank’s results underscore a lender balancing expansion with prudent risk management while strengthening its position in SME financing and digital banking.