Kenyan banker Gideon Muriuki’s Co-op Bank posts $50.25-million profit in Q1 2024

Co-operative Bank Group (Co-op Bank), a Nairobi-based financial services group led by Kenyan banking magnate Gideon Muriuki, demonstrated continued resilience by delivering another strong financial performance in the first quarter of 2024. Profit surged past the $50 million mark, building on its positive results in 2023.

Profit up, non-interest income steady

According to the group’s recently published financial statements, profit under CEO Gideon Muriuki’s leadership climbed to Ksh6.58 billion ($50.25 million) in Q1 2024, a 7.7-percent increase from Ksh6.11 billion ($46.66 million) in Q1 2023.

This growth was driven by a rise in interest income, which jumped from Ksh15.57 billion ($119.16 million) to Ksh19.41 billion ($148.54 million). Non-interest income remained relatively flat, dipping slightly from Ksh7.098 billion ($54.3 million) to Ksh7.075 billion ($54.2 million).

Gideon Muriuki attributes success to strategic focus

Commenting on the results, Muriuki stated, “The strong performance by the bank is in line with the group’s strategic focus on sustainable growth, resilience, and agility.”

He further emphasized the group’s commitment to building capacity, stating, “The bank continues to invest in a competitive team set to serve at existing functions and at the same time tap new growth opportunities across all areas of the business.”

Co-op Bank: A regional powerhouse

Co-op Bank, a major player in East Africa’s financial sector, boasts a network of subsidiaries including Kingdom Securities, Co-op Trust Investment Services, Co-operative Consultancy & Insurance Agency, Kingdom Bank, and the Co-operative Bank of South Sudan.

Gideon Muriuki, who has played a pivotal role in the bank’s expansion, holds a 2 percent stake in the group, now valued at over $12 million. This ownership has solidified his position among the wealthiest investors on the Nairobi Securities Exchange.

Financial strength continues to grow

On the back of its consistent financial performance, Co-op Bank’s total assets expanded from Ksh671.13 billion ($5.13 billion) as of Dec. 31, 2023, to Ksh714.67 billion ($5.47 billion) as of March 31, 2024.

Retained earnings also climbed significantly, rising from Ksh111.89 billion ($856.2 million) to Ksh119.46 billion ($914.13 million). These figures solidify Co-op Bank’s position as a leading and profitable financial services group in East Africa.