I&M Group Half-Year Profit Crosses KSh 10 Billion for The First Time

I&M Group’s half-year profit crossed KSh 10 billion for the first time, rising 22.4% to a record KSh 10.17 billion in H1 2026 as stronger interest and non-interest income lifted earnings despite higher operating and credit costs.

• The lender reached the milestone while expanding net loans 15% to KSh 333.81 billion, yet gross non-performing loans fell 12.4% to KSh 30.11 billion and net NPLs dropped 36.2% to KSh 7.58 billion.
• H1 profit after tax has risen from KSh 5.03 billion in 2023 to KSh 6.10 billion in 2024, KSh 8.31 billion in 2025 and KSh 10.17 billion in 2026.
• The group is also undergoing a leadership transition in its largest market after appointing former Absa Bank Kenya chief executive Abdi Mohamed to lead I&M Bank Kenya.

Profit before tax increased 15% to KSh 13.46 billion. Total operating income rose 23% to KSh 33.69 billion, supported by a 22.5% increase in net interest income to KSh 25.04 billion and a 24.5% rise in non-interest income to KSh 8.66 billion.

The balance sheet also expanded rapidly. Total assets increased 26.7% to KSh 746.31 billion, while customer deposits rose 17.7% to KSh 505.16 billion. Shareholders’ equity climbed 12.1% to KSh 119.41 billion. Government securities measured at fair value through other comprehensive income increased nearly 80% to KSh 176.91 billion.

Asset-quality indicators improved despite the larger loan book. Gross NPLs declined by about KSh 4.26 billion from a year earlier, while net NPLs fell by roughly KSh 4.30 billion. Gross NPLs are also below their H1 2023 level, when they stood at about KSh 36.67 billion.

The improvement has not yet translated into lower credit costs. Loan-loss provisions increased 37.7% to KSh 5.60 billion. Staff costs rose 23.8% to KSh 5.91 billion, contributing to a 27.8% increase in total operating expenses to KSh 20.56 billion.

I&M is simultaneously investing in expansion. Its Kenyan banking subsidiary has continued adding branches under its retail and SME growth strategy, although it revised its end-2026 branch target to 79 outlets from an earlier target of 100. The bank also tapped the debt market during the year through an oversubscribed medium-term note issue.