The Co-operative Bank of Kenya has announced its first-ever interim dividend, marking a historic milestone as the lender recorded a strong nine-month financial performance ending September 2025. According to the bank’s latest financial disclosure, profit after tax rose by 12.3 per cent to KSh21.56 billion, up from KSh19.21 billion posted in the same period in 2024.
The bank’s board approved an interim dividend payout of KSh1 per share, amounting to KSh5.86 billion. This is the first time Co-op Bank has issued an interim dividend since it was listed on the Nairobi Securities Exchange (NSE) in 2008.
Traditionally, the lender has only paid final dividends. Last year’s total dividend amounted to KSh8.8 billion, equivalent to KSh1.50 per share.
Strong Customer Base and Expanding Operations Drive Growth
Group Managing Director and CEO Dr. Gideon Muriuki attributed the growth to the bank’s “deep and growing customer base,” which now stands at more than 9.4 million account holders, supported by a wide physical branch network and thriving digital channels.
In its Thursday, November 13 statement, Co-op Bank reported that total assets increased by 10.4 per cent to reach KSh796.1 billion, up from KSh720.8 billion in September 2024. This was largely driven by an expanding loan book and continued growth in customer deposits.
During the nine-month period:
- Net loans and advances rose to KSh390.9 billion
- Customer deposits increased to KSh567.9 billion
- Net interest income surged by 13.8 per cent, reaching KSh37.2 billion
- Non-interest income stood at KSh22.1 billion, boosted by fees, commissions, and forex trading
The bank reported total operating expenses of KSh37.7 billion, helping maintain a strong cost-to-income ratio of 45.3 per cent.
Subsidiaries Deliver Steady Performance
Co-op Bank’s subsidiaries posted positive results across key sectors:
- Co-op Consultancy and Bancassurance Intermediary Ltd recorded higher commissions from insurance and advisory services.
- Co-op Trust Investment Services Ltd managed assets worth over KSh219 billion, reinforcing its position as a major asset manager in the region.
- In South Sudan, the Co-operative Bank subsidiary returned to profitability, reporting KSh259.3 million in pre-tax earnings amid improved economic conditions.
Digital Banking Continues to Dominate
The lender’s digital transformation remained a major driver of efficiency and customer engagement. Over 93 per cent of all transactions were conducted through digital platforms, including MCo-opCash, ATMs, mobile channels, internet banking, and agency banking.
The bank also disbursed more than KSh32 billion in new SME loans over the reporting period and expanded its tailored financial services for SACCOs and agribusiness clients.
A Strong Future Anchored in the Co-operative Movement
Dr. Muriuki highlighted the bank’s unique position within Africa’s largest co-operative movement, which boasts over 15 million members in Kenya alone. He noted that this integration continues to provide the bank with “unique synergies and deep community roots” that strengthen its long-term financial resilience.
Co-op Bank’s bold step to introduce interim dividends signals growing confidence in its business model, supported by consistent profitability, extensive digital uptake, and deep customer loyalty.
