Ahadu Bank reported a pre-tax profit of 1.07 billion birr for the financial year ended June 30, 2026, with total revenue climbing to 3.19 billion birr, the bank said during its Fifth Ordinary and Third Extraordinary General Meetings of Shareholders. The performance reflects growth across the bank's lending and fee-generating operations, marking continued expansion of its business.
Interest income made up just over half the bank's revenue at 50.4 percent, while non-interest income from services and other activities accounted for the remaining 49.6 percent, according to the bank's annual performance report. This near-equal split shows the lender has built a diversified income base beyond traditional lending. The bank attracted more than 305,000 new customers during the year, a figure the bank attributed to expansion of its branch network and new savings products.
However, the bank's costs grew faster than its revenue. Total expenses reached 2.03 billion birr, a jump of 28.3 percent or an additional 469.6 million birr compared with the previous financial year, the bank said. Staff costs represented the largest spending item at 38.6 percent of total expenses, followed by interest paid on customer deposits at 31.8 percent. Administrative expenses made up the remaining 29.6 percent.
Customer deposits totalled 10.47 billion birr by year-end, with regular savings accounting for 54.4 percent of the total, demand deposits at 34.3 percent and fixed-term deposits at 11.3 percent, the bank disclosed. Total assets stood at 14.32 billion birr, with liabilities of 11.99 billion birr or 83.7 percent of assets, leaving shareholders' equity of approximately 2.34 billion birr.
The bank said it was working to strengthen its capital position through participation in the securities market as financial institutions face pressure to expand their capital base and support lending growth. For savers, borrowers and business owners, stronger capital at Ahadu Bank means greater capacity for the lender to support more deposits and lending activity in the future.