M Oriental Bank’s H1 Profit Rises 19%, Calls EGM to Issue 50M Shares
M Oriental's H1'25 profit rose 19% to 93.1M, assets up 9.9% to 14.3B, while NPLs up 22.8%. Bank seeks share issue to meet CBK capital rules...
✨ Key Highlights
M Oriental Bank reported a 19.2% rise in half-year profit to KSh 93.1 Mn for the period ending June 30, 2025, despite pressure on asset quality and capital ratios. To address capital requirements, the bank will hold an Extraordinary General Meeting (EGM) to propose issuing new shares.
- Profit after tax increased to KSh 93.1 Mn from KSh 78.1 Mn in 2024.
- M Oriental Bank's core capital slipped to KSh 2.51 Bn, falling below the Central Bank of Kenya’s (CBK) phased minimum requirement of KSh 3 Bn by end-2025.
- An EGM is scheduled for September 5, 2025, for shareholders to vote on authorizing the issuance of up to 50 million new ordinary shares of par value KSh 20 each over a five-year period to bolster its capital base.
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Kenyan Companies Report Mixed Half-Year Financial Results for Period Ending June 2025 - August 2025
Several Kenyan companies announced financial results for the half-year ending in June 2025. Kenya Re announced a 50% profit growth to KSh 1.58 billion, driven by higher investment income and a 97% reduction in foreign exchange losses. M Oriental Bank reported a 19.2% rise in profit to KSh 93.1 million and will hold an EGM to propose issuing new shares to address capital requirements. Conversely, CIC Insurance Group reported a 10% decline in half-year profit to KSh 638.5 million, which was cushioned by strong investment income. Other firms narrowed their losses, with Express Kenya PLC reducing its net loss to KSh 42.9 million and Flame Tree Group Holdings narrowing its losses to KSh 76 million. Express Kenya is also pivoting to real estate through a KSh 13 billion diversification plan to counter ongoing financial pressures.
