Stanbic Uganda Holdings Limited has announced a Shs360 billion dividend payout to shareholders following a strong financial performance for the year ended December 31, 2025, highlighting the Group’s solid growth trajectory and resilient business model.
The results mark a pivotal leadership moment, with outgoing Franchise Chief Executive Francis Karuhanga closing his tenure on a high, while Mumba Kalifungwa delivers a steady and confident first year leading Stanbic Bank Uganda, the Group’s core business.
The performance was underpinned by an improving macroeconomic environment, with Uganda’s economy expanding by 6.3% in 2025, up from 6.0% the previous year. Inflation remained stable at 3.6%, while the Central Bank Rate eased to 9.75%. The Ugandan shilling also strengthened to an average of Shs3,600 against the US dollar, reflecting improved foreign exchange inflows and growing investor confidence.
Despite lingering fiscal pressures, optimism in the market was supported by progress toward first oil production, reinforcing confidence in Uganda’s medium-term growth outlook.
Stanbic delivered balanced and high-quality growth, with revenue rising by 11% in line with its medium-term targets. Cost discipline remained firm, with the cost-to-income ratio improving to 47.1%, below the 50% benchmark.
Return on equity strengthened to 26.8%, well above the Group’s 20% target, translating into a net profit of Shs591 billion—up 23.6% from Shs478 billion recorded in 2024. Investor confidence was further reflected in the Group’s share price, which has climbed 89% over the past three years to close at Shs60 as of December 31, 2025.
“Our strong earnings and return on equity demonstrate the resilience of our strategy and our continued focus on delivering long-term value,” said Francis Karuhanga.
The Group’s performance was largely driven by Stanbic Bank Uganda, where Mumba Kalifungwa oversaw notable balance sheet growth in his first year as Chief Executive. Customer deposits rose by 13% to Shs8.0 trillion, while net loans and advances grew by 16.4% to Shs5.1 trillion, supported by improved credit processes and disciplined risk management.
Revenue increased to Shs1.4 trillion, driven by strong interest income and diversified non-interest revenue streams, reflecting broader business momentum.
“This performance reflects the strength of our team, the trust of our customers, and the power of our partnerships. We are building momentum that positions us well for sustained growth,” Kalifungwa said.
Chief Financial Officer Ronald Makata pointed to the Group’s strong financial fundamentals, noting that key prudential ratios remained well above regulatory thresholds. The capital adequacy ratio stood at 23%, nearly double the minimum requirement, while the non-performing loan ratio remained low at 1.7%, indicating a high-quality loan book.
Liquidity levels remained robust, with a liquidity coverage ratio of 354% and a net stable funding ratio of 176%, ensuring the bank is well-positioned to meet both short- and long-term obligations.
“Our strong balance sheet and disciplined risk management give us the resilience to grow sustainably while navigating a changing operating environment,” Makata said.
Looking ahead, Stanbic Uganda reaffirmed its commitment to driving inclusive growth through its Positive Impact agenda, as it approaches 35 years of operations in 2026. The strategy focuses on expanding financial inclusion, supporting enterprise development, financing infrastructure, and promoting climate resilience and social investment.
“Our purpose is clear—Uganda is our home, and we remain committed to supporting its growth in a way that is inclusive and sustainable,” Kalifungwa added.
Aligned with Uganda’s national development agenda for 2025–2040, the Group says it is well positioned to continue playing a leading role in the country’s economic transformation.
