Stima Sacco reports Sh10.8bn revenue, 93% digital transactions

Stima Sacco on Wednesday said innovation, digital transformation, and strong liquidity will define its next phase of growth as the cooperative deepens its services for members.

Leaders said over 93% of member transactions are now conducted digitally, while strengthened cyber security, operational reforms and strategic investments are helping position the institution for long-term resilience and sustainable expansion.

Speaking during the Stima Sacco Investor Briefing in Nairobi, Chief Executive Officer, Gamaliel Hassan, said the Sacco had entered a new phase of institutional development following its Golden Jubilee celebrations in 2024.

“The financial and operational performance marks an important phase in the institution’s journey following the Golden Jubilee that we celebrated in 2024,” he said.

Hassan said the Sacco recorded total revenue of Sh10.8 billion in 2025 while membership rose to 241,324 members, reflecting sustained confidence in the cooperative model.

“Our membership grew to 241,324 members, reflecting sustained confidence in the cooperative model and our value proposition,” he said.

The Sacco’s core capital rose to about Sh16.9 billion, placing it significantly ahead of regulatory requirements for financial institutions.

“I bring this up because Stima Sacco’s core capital is about Sh16.9 billion, so we are five years ahead of the curve insofar as capital is concerned,” Hassan said.

He said the institution’s liquidity ratio stood at 104.06%, far above the statutory requirement of 15%.

“Our liquidity ratio is 104.06%. The statutory requirement is only 15,” he said.

The Sacco has also accelerated its digital transformation programme, with more than 93% of member transactions now conducted through digital platforms.

“Today, over 93% of our members’ transactions are conducted through digital channels,” Hassan said.

Digital transaction volumes rose sharply during the year, increasing from Sh33.9 billion to Sh51.4 billion, a 51.5% increase.

Hassan said the shift had significantly improved service accessibility while reducing congestion at branch networks.

“This significantly improved service accessibility while reducing branch congestion and strengthening operational efficiency,” he added.

The Sacco has also expanded its digital services, enabling members to access online salary advances, automated guarantor notifications and loan statements through mobile and internet banking platforms.

Cybersecurity remains a key priority as digital adoption continues to grow.

“During the year, the society successfully prevented cyber intrusions with zero financial losses arising from cyber-related incidents,” Hassan said.

He said the Sacco had strengthened its system architecture, monitoring capabilities and threat detection mechanisms to safeguard members’ funds.

The Sacco’s subsidiary, Empower Insurance, also achieved a key milestone after transitioning from an insurance agency to a fully-fledged insurance brokerage.

“This transition expands our advisory and placement capabilities and enables us to offer a broader array of insurance solutions to meet our members’ evolving needs,” Hassan said.

Stima Sacco has also strengthened its sustainability agenda by integrating environmental and social considerations into lending and operational processes.

The Sacco has introduced environmental risk screening and climate vulnerability assessments for collateral properties, while expanding green financing initiatives.

Digitisation has also helped reduce operational waste and resource consumption.

For example, water usage at the Sacco’s headquarters fell from 4,725 cubic metres in 2024 to 2,349 cubic metres in 2025.

“We managed to reduce that by about 50% in water usage,” Hassan said.

Looking ahead, the Sacco plans to expand into new markets, strengthen product innovation, and deepen engagement with youth, diaspora members, and small businesses.

“Our vision remains clear, to position Stima Sacco as a cooperative defined by relevance, resilience, and responsible growth,” Hassan said.

He added that the institution would continue strengthening its financial foundation while expanding services to enhance value for members.

“We remain committed to advancing the socio-economic well-being of our members and strengthening the Sacco for generations to come,” he said.

The Sacco’s strong digital and operational performance was also reflected in its financial results for the year ending December 2025.

According to CPA Lwanga Erambo Viketi, Director and member of the Finance and Investment Committee of the Board, the cooperative maintained steady growth across key financial indicators, supported by disciplined management and continued member confidence.

Lwanga, who did the presentation on behalf of the Finance and Investment Committee, he said the growth was driven by strong member participation and strategic investments that are helping to diversify income streams beyond lending.

“Investments in bonds and shares grew significantly during the year. We had budgeted to invest Sh5.6 billion but achieved Sh8.6 billion, representing a growth of 52%,” he said.

He explained that strengthening the investment portfolio had helped the Sacco maintain stable returns for members, even as loan growth experienced moderate expansion during the year.

The Sacco’s revenue rose to Sh10.8 billion in 2025, up from Sh10.2 billion recorded the previous year, while expenses were managed at Sh4.1 billion against a budget of Sh4.7 billion.

According to Lwanga, operational efficiency and cost discipline played a key role in sustaining profitability.

“We were able to manage expenses effectively, and this efficiency supported our ability to maintain strong returns to members,” he said.

“An additional Sh4.5 billion was generated from operations. This shows that the Sacco’s core activities continue to generate strong internal resources,” he said.

Looking ahead, he said the Sacco is targeting further expansion through product innovation, data analytics and engagement with new member segments including youth, small businesses and diaspora members.

“We want to broaden our membership base and expand our markets while strengthening digital services and operational efficiency,” he said.

Lwanga added that the Sacco is also focused on achieving a major institutional milestone in the coming years.

“We are targeting total assets of about Sh95.9 billion by 2027, and we believe it is possible to reach Sh100 billion and become the first Sacco to achieve that mark,” he said.