Absa Bank Kenya Q1 Net Profit Drops 13% to Ksh5.3B

Absa Bank Kenya PLC has posted a profit after tax of KSh5.3 billion and achieved a Return on Equity of 20.3% for the quarter ended March 31, 2026, reflecting its continued commitment to supporting customers while strengthening long-term resilience amid a challenging operating environment.

With sustained investment in customer-focused innovation, sound risk management, and disciplined cost efficiency, the Bank strengthened its role as a dependable financial partner, helping customers navigate economic uncertainty and positioning the business for sustainable growth.

Customer deposits increased by 8% to KSh399.1 billion during the first quarter, while customer loans and advances stood at KSh303.8 billion as the bank intensified efforts to support individuals, households, and businesses in achieving their financial ambitions. Total assets increased by 10% to KSh571.3 billion, highlighting the continued strength of its balance sheet.

Commenting on the performance, Absa Bank Kenya PLC Managing Director and CEO, Abdi Mohamed, said, “It has been a demanding period for our customers and the broader economy, but our focus has been on standing alongside those we serve. While our performance reflects these pressures, our actions are guided by a long-term view, supporting our customers today while safeguarding the strength of our business for the future.”

Furthermore, Absa Bank Kenya PLC recorded total revenue of KSh14.7 billion in the first quarter, driven by effective cost-of-funds management despite prevailing lower interest rates. Net interest income closed at KSh10.4 billion, while non-funded income contributed KSh4.3 billion.

The Bank also strengthened its diversification efforts, with subsidiary income growing 25% compared to the same period last year.

“Underpinned by our purpose of “Empowering Africa’s tomorrow, together, one story at a time, this set of results illustrates the strength of our franchise and the deliberate execution of our strategy in a dynamic market. As we continue to transform, our focus is firmly on deepening customer relationships, accelerating innovation, and delivering sustainable value for our stakeholders,” said Mr. Abdi Mohamed.

Absa Bank Kenya PLC sustained strong execution of its strategy during the period, driving commercial growth and enhancing its market position across key business lines.

In the retail segment, the bank expanded its wealth solutions for high-net-worth customers while strengthening its platinum card offering, achievements that contributed to its recognition as Best Retail Bank Kenya 2026.

The Business Banking division continued to scale customer acquisition through ecosystem partnerships, while improving MSME access to financing via the WEZESHA programme, “Lipa na Absa” merchant payment platform, and business credit card solutions. Absa also deepened investment in customer propositions, including the April 2026 relaunch of its Asset-Based Finance offering.

In Corporate Banking, Absa maintained its leadership in the region, emerging as the top-ranked institution in East Africa for M&A by deal value. The Global Markets division also broadened its innovation agenda by introducing additional currency pairs and expanding diversified income streams.

Beyond banking, the bank continued to leverage flagship sponsorships and stakeholder initiatives, including the Magical Kenya Open, Absa Sirikwa Classic, and Absa Kip Keino Classic to strengthen engagement with customers, partners, and communities.

The Bank also advanced its inclusive growth agenda through the Absa Kenya Foundation’s CirculaRising programme, which is supporting over 2,000 women and youth-led MSMEs in the circular economy and is expected to positively affect more than 30,000 livelihoods.

According to the Absa Bank Managing Director and CEO, Abdi Mohamed, the Bank remains committed to delivering meaningful impact through customer-focused solutions and community support, while continuing to invest in digital transformation, customer experience, and strategic partnerships to strengthen long-term growth and operational agility.

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