Family Bank Group has announced that it has reported a profit after tax of Ksh. 1.05 billion for the first quarter ended March 31, 2025. This is a slight improvement from the Ksh. 910 million profit after tax the banking group reported in the same period in 2024.
Family Bank’s strong Q1 2025 results were propelled by growth across its core income streams:
1. Total interest income witnessed a 23% increase, rising from KSh 4.46 billion in Q1 2024 to Ksh 5.48 billion.
2. Net interest income surged by 34%, reaching KSh 3.25 billion. This was driven by higher returns from government securities and a growing loan book, reflecting strategic asset allocation.
3. Non-interest income also saw a robust increase of 44%, hitting KSh 1.71 billion, largely supported by elevated fees and commissions on loans.
Despite these gains, the bank experienced a decline in forex trading income, which fell by 71% to Ksh. 93.6 million from Ksh. 327.5 million in the prior year.
The bank’s balance sheet demonstrated healthy expansion and resilience:
1. Customer deposits grew by 19.2% reaching KSh. 132.28 billion.
2. Total assets expanded by 19.2% to KSh 174.04 billion. This growth was fueled by a 10.1% increase in net loans and advances, which reached KSh 96.29 billion.
Gross non-performing loans (NPLs) increased to Ksh. 14.91 billion from Ksh. 13.93 billion in 2024, nudging the NPL ratio to 14.2%. Operating expenses rose by 20% to Ksh. 3.67 billion, reflecting higher staff and premises costs.
Family Bank’s Profit Before Tax also saw a increase of 15.4%, reaching Ksh. 1.5 billion, up from KSh 1.3 billion in Q1 2024.
The bank’s core capital improved to Ksh. 15.9 billion, maintaining a core capital ratio of 13.22%, comfortably above regulatory minimums. Furthermore, the liquidity ratio remained robust at 46.9%.