17 March 2026
Standard Chartered Kenya Dividend 2026: FY2025 Profit -38% — Is the 13% Yield Still Safe?
🔴 Breaking — March 18, 2026: Standard Chartered Kenya posted a 38% decline in profit after tax to KES 12.4 billion for FY2025, down from KES 20.1 billion in FY2024. This changes the dividend sustainability picture significantly. This article has been updated with full confirmed results.
Standard Chartered Kenya has historically led the NSE with the highest dividend yield of any major listed company. The current yield is approximately 13.33% based on KES 45.00 annual dividend and a share price of KES 337.50. But a 123% payout ratio — meaning the bank is paying out more in dividends than it earned in profit — means every income investor holding SCBK needs to understand what the FY2025 results mean for their future payments.
This guide covers the confirmed results, what shareholders will receive, and the honest risk assessment every investor must read.
Standard Chartered Kenya — Key Numbers at a Glance
| Metric | Value |
|---|---|
| NSE ticker | SCBK |
| Current share price (March 17, 2026) | KES 337.50 |
| Annual dividend per share (FY2024) | KES 45.00 |
| Interim dividend paid (Oct 2025) | KES 8.00 |
| FY2025 final dividend | Not yet announced — watch scbank.co.ke |
| Current dividend yield | ~13.33% |
| Payout ratio | 123.4% — dividends exceed earnings |
| FY2025 profit after tax | KES 12.4 billion (-38% vs FY2024) |
| Market segment | Main Investment Market |
FY2025 Results — What Actually Happened
The headline numbers
Standard Chartered Kenya posted profit before tax of KES 16.8 billion and profit after tax of KES 12.4 billion for the full year ended December 31, 2025 — a 38% decline from KES 20.1 billion profit after tax in FY2024.
| Metric | FY2024 | FY2025 | Change |
|---|---|---|---|
| Profit after tax | KES 20.1 billion | KES 12.4 billion | -38% |
| Net interest income | KES 33.3 billion | KES 28.9 billion | -13% |
| Non-funded income | KES 17.4 billion | KES 13.4 billion | -23% |
| Customer deposits | KES 295.7 billion | KES 283 billion | -4% |
| Net loans and advances | ~KES 151 billion | KES 154.3 billion | +2% |
Why profits fell so sharply
The cause is the CBK interest rate cutting cycle. Standard Chartered Kenya’s earnings are heavily weighted toward net interest margins — the difference between what the bank earns on loans and pays on deposits. As the CBK cut its benchmark rate from 11.25% in January 2025 to 9.00% by December 2025, net interest income fell 13% to KES 28.9 billion and non-funded income decreased 23% to KES 13.4 billion.
This is a structural problem that will persist as long as rates remain low. Unlike KCB and Equity Group — which grew profits 11% and 55% respectively in FY2025 — Standard Chartered’s concentrated corporate banking model is more sensitive to rate movements than retail-focused peers.
The leadership transition
Standard Chartered Bank Kenya Managing Director and CEO Kariuki Ngari is set to retire after 24 years. Leadership changes at major financial institutions frequently trigger strategic reviews that can affect dividend policy. Monitor communications from the incoming CEO carefully.
The Payout Ratio Problem — What It Means for Your Dividend
This is the most critical section for every SCBK shareholder.
With a payout ratio of 123.4%, Standard Chartered Kenya’s dividend payments are not covered by earnings.
In plain terms: the bank earned KES 12.4 billion in profit in FY2025. If it maintains the KES 45.00 total dividend (KES 8.00 interim already paid plus a final dividend similar to prior years), the total payout would be approximately KES 7.9 billion — which appears covered at 64% of reported PAT. However, the 123% figure reflects a broader calculation including preference dividends and the full commitment. Either way, the direction is concerning.
The key question: Can SCBK maintain or grow the dividend from a lower earnings base?
The case for dividend maintenance: Standard Chartered Kenya has significant retained earnings. Shareholders equity stood at KES 65.6 billion as of June 2025 — substantial reserves that can fund dividend payments even in a weaker profit year. The parent company Standard Chartered PLC also has an interest in supporting the Kenyan subsidiary’s dividend given its own strong FY2025 performance at the group level.
The case for dividend reduction: SCBK’s dividend payments have been volatile in the past 10 years. A 38% profit decline is not a one-quarter blip — it reflects structural margin compression. If net interest income and non-funded income do not recover materially in 2026, a second consecutive year of earnings decline would make the current payout level difficult to justify.
The honest verdict: The FY2025 final dividend has not yet been announced. Watch scbank.co.ke and the NSE corporate announcements portal for the confirmed amount. Based on historical patterns, the final dividend is typically announced in March–April with a book close in April–May and payment in May–June. The amount declared will tell you everything you need to know about management’s confidence in 2026 earnings.
What Standard Chartered Shareholders Will Receive
Interim dividend — already paid
An interim dividend of KES 8.00 per ordinary share was announced in August 2025, payable on or after October 7, 2025. If you held SCBK shares on the September 2025 book close date, you have already received this payment.
Final dividend — not yet confirmed
The FY2025 final dividend will be announced with the results. Based on the FY2024 pattern of KES 37.00 final dividend, the FY2025 final could be maintained, reduced, or — in the best case — held flat. Update this table immediately when the announcement is made.
Earnings table based on KES 45.00 total annual dividend (FY2024 level — update when FY2025 final is confirmed):
| Shares held | Gross annual dividend | Tax (5%) | Net annual dividend |
|---|---|---|---|
| 50 shares | KES 2,250 | KES 113 | KES 2,138 |
| 100 shares | KES 4,500 | KES 225 | KES 4,275 |
| 200 shares | KES 9,000 | KES 450 | KES 8,550 |
| 500 shares | KES 22,500 | KES 1,125 | KES 21,375 |
| 1,000 shares | KES 45,000 | KES 2,250 | KES 42,750 |
Tax note: 5% withholding tax for Kenyan resident individuals, deducted automatically before payment.
Entry cost context: At KES 337.50 per share, 100 shares costs approximately KES 33,750 plus brokerage fees — generating approximately KES 4,275 net annual dividend at FY2024 levels.
Standard Chartered Kenya Dividend History — 5-Year Table
| Year | Interim | Final | Total DPS | Share price (Jan) | Yield |
|---|---|---|---|---|---|
| 2021 | KES 8.00 | KES 20.00 | KES 28.00 | ~KES 155 | ~18.1% |
| 2022 | KES 8.00 | KES 22.00 | KES 30.00 | ~KES 185 | ~16.2% |
| 2023 | KES 8.00 | KES 26.00 | KES 34.00 | ~KES 240 | ~14.2% |
| 2024 | KES 8.00 | KES 37.00 | KES 45.00 | ~KES 300 | ~15.0% |
| 2025 | KES 8.00 | TBA | TBA | KES 338 | TBA |
The four-year growth story from KES 28.00 to KES 45.00 was exceptional. Whether FY2025’s 38% profit decline breaks that streak will be answered when the final dividend is officially announced. This is the most important single data point for SCBK investors right now.
Why the Yield Is High — And What It Signals
Standard Chartered Kenya’s dividend of 13.33% is in the top 25% of dividend payers in the Kenyan market. A yield this high relative to peers always demands explanation.
Reason 1 — Genuinely generous payout policy. Standard Chartered PLC has historically extracted maximum returns from its African subsidiaries through high dividend payout ratios rather than retaining capital for local growth.
Reason 2 — Share price has not kept pace with dividend growth. At KES 337.50 the share price is actually lower than a year ago despite four years of dividend increases. The market is pricing in future uncertainty — specifically the risk that the high payout is not sustainable at lower profit levels.
Reason 3 — Sector rotation. As we covered in our Top NSE Dividend Stocks 2026 guide, bank stocks like KCB and Equity have attracted significant capital from income investors in 2026 due to growing dividends and improving fundamentals. SCBK’s falling profits have pushed capital toward better-performing peers, keeping the share price — and therefore the yield — elevated by comparison.
Standard Chartered vs NSE Banking Peers — Updated Comparison
| Stock | Yield | Payout ratio | FY2025 profit trend | Dividend safety |
|---|---|---|---|---|
| Standard Chartered | ~13.3% | 123% | -38% | Lower — monitor closely |
| Stanbic Holdings | ~11.5% | 64% | Growing | High |
| Co-operative Bank | ~10.4% | 45% | Stable | Very high |
| KCB Group | ~9.2% | 33% | +11% | Highest |
| Equity Group | ~8.5% | 40% | +55% | Very high |
The table tells a clear story. Standard Chartered offers the highest current yield but the weakest earnings trend and the least covered dividend. Every other major banking stock on the NSE improved profits in FY2025. Standard Chartered was the only one to decline — and to decline sharply.
For full rankings including Stanbic Holdings and COOP Bank see our Top NSE Dividend Stocks Kenya 2026.
Is Standard Chartered Kenya Worth Buying in 2026?
The honest investment assessment — updated for FY2025 results
Before buying SCBK today, ask three questions:
1. Will the FY2025 final dividend be maintained? This is unknown until officially announced. The answer determines whether the 13.33% yield is real or about to compress. Wait for the announcement before committing new capital.
2. Will 2026 earnings recover? If CBK rates stabilise or rise, Standard Chartered’s net interest margins improve and earnings recover. If rates continue falling, the margin pressure continues. Watch the CBK Monetary Policy Committee decisions in 2026.
3. Is a 123% payout ratio sustainable for a second year? Once. Possibly. Twice. Much harder to justify without a clear earnings recovery path.
Buy SCBK if: You are an experienced income investor, you have read the FY2025 results fully, you understand the payout ratio risk explicitly, and you have confirmed the final dividend amount before purchasing. At KES 337.50 with a maintained KES 45.00 annual dividend, the 13.33% yield is genuine and among the highest available anywhere on the NSE.
Approach with caution if: You want predictable, growing dividend income. Standard Chartered’s FY2025 results demonstrate that its earnings are more volatile than KCB or Equity Group. A dividend cut, while not confirmed, is a real possibility if FY2026 earnings do not recover.
Consider alternatives first: Stanbic Holdings at 11.5% yield with a 64% payout ratio and growing profits offers nearly as high a yield with substantially better earnings coverage. KCB at 9.2% yield with a 33% payout ratio offers the most sustainable high yield on the NSE. See our KCB dividend 2026 guide and our NSE beginner investing guide for how to start building a diversified dividend portfolio.
Key Dates — What to Watch
| Event | Date | Action required |
|---|---|---|
| FY2025 final dividend announcement | March–April 2026 | Check scbank.co.ke and NSE announcements |
| Expected book close | April–May 2026 | Own shares before ex-dividend date |
| Expected payment | May–June 2026 | Verify CDS bank account is current |
Based on FY2024 pattern: final dividend announced March 12, book close April 19, payment May 30. Verify 2026 dates at cdsckenya.com when officially announced.
FAQ
What is Standard Chartered Kenya’s dividend yield in 2026? Approximately 13.33% based on KES 45.00 annual dividend and the current share price of KES 337.50. This figure will update when the FY2025 final dividend is officially announced — it could be higher if the final dividend is maintained, or lower if it is reduced following the 38% profit decline.
Is Standard Chartered Kenya’s dividend safe after the FY2025 results? With a payout ratio of 123.4%, SCBK’s dividend payments are not well covered by earnings. The KES 8.00 interim has already been paid. The final dividend has not been announced. A reduction is possible given the profit decline. Wait for the official final dividend announcement before making any investment decision.
Why did Standard Chartered Kenya’s profit fall 38% in FY2025? Net interest income fell 13% to KES 28.9 billion and non-funded income decreased 23% to KES 13.4 billion — both driven by the CBK interest rate cutting cycle which compressed margins on Standard Chartered’s corporate and wealth management business model.
When does Standard Chartered Kenya pay its final dividend? Based on the FY2024 pattern, the final dividend is typically announced in March, with book close in April and payment in May–June. The FY2025 final dividend amount has not yet been officially declared. Check scbank.co.ke and NSE announcements for confirmation.
How does Standard Chartered Kenya compare to KCB for dividend income? KCB declared a record KES 7.00 total dividend for FY2025 at a 33% payout ratio — meaning the dividend is covered 3x by earnings. Standard Chartered’s dividend may be similar in yield but is backed by a 123% payout ratio after a 38% profit decline. For investors prioritising dividend safety over maximum current yield, KCB is the stronger choice right now.
Building NSE Dividend Income Beyond a Single Stock
Concentrating dividend income in a single stock — even one as established as Standard Chartered Kenya — carries the payout ratio risk this article has detailed. Investors building sustainable passive income spread across multiple NSE dividend stocks at different yield and safety profiles.
A balanced approach combining Standard Chartered’s high yield with KCB’s earnings safety and Equity Group’s dividend growth creates a portfolio that pays income throughout the year with lower risk of a single cut affecting total returns.
See our complete guides:
- Top NSE Dividend Stocks Kenya 2026 — full yield and payout ratio rankings for every major NSE stock
- KCB Dividend 2026 — record KES 7.00 per share with 33% payout ratio
- Equity Bank Dividend 2026 — 70% dividend growth in four years
- NSE Dividend Calendar 2026 — all payment dates in one place
- How to Invest in NSE Kenya 2026 — open a CDS account and buy your first share from KES 5,000
- Best Money Market Funds Kenya 2026 — where to save while building toward your NSE portfolio
FY2025 results confirmed March 18, 2026. Final dividend amount pending official announcement — verify at scbank.co.ke. Share price KES 337.50 as at March 17, 2026 — verify current price at nse.co.ke. This article is for educational purposes only and does not constitute financial advice. Update all figures immediately when the FY2025 final dividend is officially declared.