Kcb Group Plc · NSEKE:KCB
Kcb — Q1 2025 Earnings Presentation
28 slides from Kcb's earnings presentation, May 21, 2025
Slide 1: KCB Q1 2025 Investor Presentation
KCB Q1 2025 Investor Presentation Nairobi, 21 May 2025 For People. For Better. Regulated by the Central Bank of Kenya |. SRA 2 lS bl
Slide 2: For People. For Better.
For People. For Better.
Slide 3: Largest footprint in the region
KCB Q1 2025 Investor Presentation Largest footprint in the r on; opening doors of opportunity for millions of people. Well positioned to facilitaté trade and investment flows in the region, now and into the future. Out of which, NBK: 1.3M Agents and Merchants 300 Kenya | Tanzania | South Sudan Rwand
Slide 4: Strengthening and diversifying our business model
KCB Q1 2025 Investor Presentation Headway in strengthening and diversifying our business model to sustain our resilience. Two key transactions in progress, expected to be concluded within Q2 2025. a KCB Group Pic > Vv 4 la Banking Subsidiaries Ky f Non-banking Subsidiaries } KCB Bank Kenya 100% KCB
Slide 5: Global geopolitical effects on our markets; moderate inflation and falling rates
KCB Q1 2025 Investor Presentation Effects from the global geopolitical issues filtering through to our markets. However, moderate inflation, resilient GDP growth and falling interest rates avail key tailwinds. Change in Central Bank Rates‘ (Mar 2024 vs Mar 2025) 16.0% 14.0% 12.0% ) 10.0% s 8.0% 6.0%
Slide 6: Our strategy, now in its second year
Q1 2025 Investor Presentation Our strategy, now in its second year, continues to anchor the delivery of our Purpose. Hinged on putting customers first and delivering sustainable returns for our shareholders. KCB Transforming GROUP Today STRATEGY Together For People. For Better. : Customer-Centered a
Slide 7: Significant milestones towards strategic aspirations
KCB Q1 2025 Investor Presentation Significant milestones towards meeting our strategic aspirations. Various initiatives in progress aimed at enhancing our solutions and driving growth. Mobile App Rolled out a new unified Group mobile banking platform, delivering an all-in-one bespoke digital banking
Slide 8: Digital channels offer unmatched convenience
KCB Q12025 Investor Presentation Our digital channels continue to offer unmatched convenience for our customers. 99% of transactions by number conducted through non-branch channels. Number of non-branch channel transactions in Q12025 Value transacted through digital channels in Q1 2025 64% Share of
Slide 9: Delivering social impact in our markets
KCB Westor Presentation We position our actions to deliver social impacts in the markets we operate in. Our impactful programs create value for our various stakeholders. @ Driving Sustainability The Group continues to align its practices to address climate related risks and tap on opportunities in f
Slide 10: For People. For Better.
For People. For Better.
Slide 11: Balance sheet size steady at Ksh 2.0 trillion
KCB Q12025 Investor Presentation Balance sheet size steady at Ksh 2.0 trillion. Largest balance sheet in the region enabling businesses and facilitating trade. Funding Utilization * Customer deposits increased® by 2% as strong growth across all businesses Net loans, 1,019 more than offset the impact
Slide 12: Steady contribution from regional businesses to total assets
KCB Q12025 Investor Presentation Steady contribution from regional businesses to the Group’s total assets. Robust asset growth in Rwanda, Uganda and Burundi raised contribution to 35%. Total assets distribution 22; (13%) 34.9% Contribution from subsidiaries outside KCB Kenya 63; 22% J 82; 1% p ®KCBK
Slide 13: Strong customer deposits funded franchise
KCB Strong customer deposits funded franchise. Customer deposits account for 70% of total funding. Q1 2025 Investor Presentation Evolution of customer deposits (Ksh B) Q124 Savings Call Term Demand Q125 Deposits mix Retail, 47% LCY, 61% For People. For Better. Corporate, 53% FCY, 39% Deposits by typ
Slide 14: Group NPL ratio inched up marginally by 10bps QoQ
KCB Q12025 Investor Presentation Group NPL ratio inched up marginally by 10bps QoQ. Stock up Ksh 28B YoY on downgrades mainly in real estate, agriculture and construction sectors. Group NPL stock and ratio Group Coverage ratios 14% - 16% 225.7 233.3 ._- IFRS Regulatory Target Group NPL ratio by end
Slide 15: Increase in NPL stock mainly driven by Kenya businesses
KCB Q12025 Investor Presentation Increase in NPL stock mainly driven by Kenya businesses. Focus remains on NPL resolution especially in KCB Bank Kenya. Movement in NPL stock per subsidiary (Ksh million) y 1,409 321 161 3 19 522 F FY 24 KCB Bank NBK TMB KCB South KCB Bank KCB Bank KCB Bank BPR Bank Q
Slide 16: Sustained strong revenue generation capacity
KCB Sustained strong revenue generation capacity. Q1 2025 Investor Presentation Resilient funded income momentum netted off slowdown in non funded income. Interest expense Deposits, 12.9 YW(1%) Interest income owings & Placements 3.6 From "Ase 35.5 5% V(28%) Other income, 2.5 YW(3%) Total income 49.
Slide 17: Efficiency ratios tapered off on negative cost jaws
KCB Q12025 Investor Presentation Efficiency ratios tapered off marginally on negative cost jaws. Growth in operating costs driven by customer acquisition activities and investments in technology. Evolution of operating costs Efficiency ratios 7 8% —. s ° 43.3% 45.8% Growth in total operating expense
Slide 18: Group net profit steady at Ksh 16.5 billion
KCB Q12025 Investor Presentation Back-to-back strong first quarter results, Group net profit steady at Ksh 16.5 billion. Contribution from subsidiaries outside KCB Kenya steady at 35%, amounting to Ksh 5.9 billion. Group PAT Evolution PAT contribution per subsidiary (1.7) 1.7 0.0 276; (49%), 16.5 34
Slide 19: Adequate capital to drive growth of risk weighted assets
KCB Q12025 Investor Presentation Adequate capital to drive growth of risk weighted assets. KCB Bank Kenya core capital buffers above our internal minimum at 530bps. Subsidiaries core capital ratio” Subsidiaries total capital ratio KCB South Sudan P06 KCB South Sudan KCB Burundi KCB Burundi TMB TMB B
Slide 20: Profitability and efficiency ratios in line with guidance
KCB Q1 2025 Investor Presentation Profitability and efficiency ratios in line with guidance. Resolving NPLs remains a key focus area. NFI Ratio Cost/Income ratio Outlook 31.8% 33%-34% 43%-45% 45.8% NPL ratio | 14%-16% ee ey Cost of risk 1.9% Cost of funds CA 3.8% 2% NIMs 6.6%-7.4% 7.8% Asset yield L
Slide 21: Supplementary Information
KCB Q1 2025 Investor Presentation 03 Supplementary Information For People. For Better.
Slide 22: Overview of Key Financial Ratios
Q1 2025 Investor Presentation KCB Overview of Key Financial Ratios KCB GROUP Q12025 KCB Kenya KCB Group Return on average equity 23.3% Cost to income 40.5% Gross NPL to gross loans 22.0% NPL regulatory coverage 68.3% Debt to equity 34.6% Non funded income (NFI) to total income 28.8% Mobile NF to tot
Slide 23: Summary Statement of Financial Position as at March
KCB Q12025 Investor Presentation Summary Statement of Financial Position as at 31 March 2025 KCB Group KCB Bank Kenya Ksh Billion Q124 Q124 Q125 Q124 Q125 Original Restated? Cash and balances with central bank 79.1 73.6 93.4 49.7 51.3 Balances with other institutions 336.3 330.9 214.9 154.6 108.5 In
Slide 24: Summary Statement of Profit or Loss for the Quarter Ended 31 March 2025
KCB Q12025 Investor Presentation Summary Statement of Profit or Loss for the Quarter Ended 31 March 2025 KCB Group KCB Bank Kenya Ksh Billion Q124 Q125 Y-O-Y Q124 Q125 Y-O-Y Change Change Interest income 49.1 50.2 2% 34.1 34.2 > Interest expense (18.0) (16.5) (9%) (13.6) (11.8) (13%) Net interest in
Slide 25: KCB Regional Footprint and Key Macros as at March 2025
Q1 2025 Investor Presentation KCB Regional Footprint and Key Macros as at 31 March 2025 Kenya" Tanzania South Sudan Rwanda Uganda Burun DR Congo KCB Footprint Branches 299 18 16 73 15 8 109 Number of customers (thousands) 30,113 64 186 455 129 67 2,377 ATMs 568 21 12 59 19 8 103 Agency outlets 18,89
Slide 26: Sectoral distribution of loan book and NPLs
KCB Q12025 Investor Presentation Sectoral distribution of loan book and NPLs Contribution to Grossloans Sector NPL ratio Contribution to NPL stock Financial Services 2.6% MM 9.2% 1.2% Tourism, Restaurant and Hotels 27% 109% tt stSs—S co Poe Mining and Quarrying 2.8% BME 9.3% 13% Energy and Water 2.8
Slide 27: Disclaimer
| KCB | Q12025 Investor Presentation Disclaimer The information contained herein has been prepared by KCB Group Plc (“KCB”). This presentation has been prepared for information purposes only and is not and does not form part of any offer for sale or solicitation of any offer to subscribe for or purc
Slide 28: Thank You
KCB Thank You Contact Us KCB Investor Relations investorrelations@kcbsroup.com For People. For Better.