SBM Bank (Kenya) Limited today announced a standout financial performance for the first quarter of 2026, reporting a Profit After Tax (PAT) of Ksh. 171 million. This represents a massive leap from the Ksh. 12.4 million recorded in Q1 2025, signaling a decisive shift from stabilization to a high-growth, scalable phase of its turnaround strategy.
The Bank’s total assets increased to Ksh. 109.5 billion (up from Ksh. 102.9 billion), while customer deposits grew 23% year-on-year to Ksh. 89.0 billion. This growth was driven by an expanding customer base and deeper engagement across retail and corporate segments.
The asset mix remained balanced, with net loans and advances at Ksh. 48.5 billion and government securities at Ksh. 44.0 billion. Net interest income reached Ksh. 1.1 billion, aided by a 15% reduction in interest expenses through disciplined funding cost management.
Non-interest income rose 55% to Ksh. 673 million, fueled by higher transaction volumes across digital channels. Most notably, asset quality saw a significant turnaround:
- Gross NPLs: Declined 41% to Ksh. 10.0 billion.
- NPL Ratio: Improved sharply from 33.8% to 19.8%.
Overall operating income rose to Ksh. 1.7 billion, while operating expenses were kept to a controlled 13% increase, reflecting a balance between cost discipline and necessary infrastructure investment.
SBM Bak profitability comparison
| Metric | Q1 2025 (Ksh) | Q1 2026 (Ksh) | Growth (%) |
| Profit Before Tax (PBT) | 12.0 Million | 246.0 Million | +1,950% |
| Profit After Tax (PAT) | 12.4 Million | 172.2 Million | +1,289% |
Commenting on the results, SBM Bank Kenya CEO Bhartesh Shah said: “These results are not an accident. Since I took office, we have reset how the Bank is run through tighter execution, clearer accountability, and a relentless focus on customer activity. Q1 shows the payoff: stronger earnings quality, stronger deposits, and a cleaner book.”
He added that the bank is evolving into a payments-led institution: “From 1 May, we have made PesaLink transfers free to customers to remove friction and accelerate adoption. When you win transactions, you win the relationship.”
The quarter saw the launch of the Busara Banking App, an app designed to help parents raise money-smart children through guided saving and spending.
SBM Bank maintained a robust capital position with core capital at Ksh. 7.8 billion and a liquidity ratio of 50.4%, well above regulatory requirements.