Dfcu Assets Grow to Shs3.7 Trillion as Profitability Strengthens, Shareholders Get Bigger Dividend

Dfcu Limited has posted a strong financial performance for the year ended December 31, 2025, reporting steady growth in assets, customer deposits, lending and profits, reflecting the bank’s continued recovery and expansion strategy.

Speaking during the bank’s 61st Annual General Meeting in Kampala, the board and management attributed the improved results to ongoing operational reforms, stronger governance, digital innovation and a focus on sustainable growth.

The bank’s total assets rose by 8% to Shs3.74 trillion from Shs3.47 trillion in 2024, while customer deposits increased by 15% to Shs2.71 trillion. Loans and advances also grew by 12%, reaching Shs1.27 trillion compared to Shs1.13 trillion the previous year, indicating stronger lending activity.

Total income climbed by 16% to Shs526.3 billion from Shs455.4 billion, while profit after tax reached Shs81.6 billion. Profit attributable to shareholders increased to Shs74.9 billion, up from Shs72.1 billion recorded in 2024.

On the back of the improved performance, shareholders are set to receive a higher dividend of Shs21.8 per share, up from Shs20.1 paid the previous year. The proposed total dividend payout stands at Shs16.3 billion.

Board Chairman Jimmy Mugerwa said the bank’s long-term strategy is beginning to deliver the desired results despite the challenging operating environment. He noted that DFCU remains focused on creating sustainable growth and increasing value for shareholders, adding that growing demand for the bank’s shares demonstrates rising investor confidence.

Mugerwa said the institution has now entered a phase of reengineering its operations to improve efficiency while delivering better services to customers and stronger returns to investors.

Chief Executive Officer Charles Mudiwa said the performance is the outcome of a carefully planned transformation journey that first focused on stabilising the business before strengthening leadership structures, governance and operational efficiency. According to him, the bank is now leveraging technology to improve customer convenience through digital services such as the *240# USSD platform and Mobi Loan.

The bank also strengthened its financial position during the year, with shareholders’ equity rising to Shs736.8 billion from Shs681.7 billion, while retained earnings increased to Shs491.1 billion from Shs446.6 billion. Its capital levels remained comfortably above regulatory requirements, underscoring a strong balance sheet capable of supporting future growth.

By the end of 2025, DFCU had expanded its nationwide footprint to 55 branches, 77 ATMs, 21 Cash Deposit Machines and more than 4,100 banking agents. The institution also employed 1,283 staff, operated through three legal entities and had 3,822 shareholders.

The bank reported improvements in risk management, with its credit loss ratio reducing to 0.8% from 1.1% a year earlier. However, management acknowledged that fraud, particularly through digital banking channels, continues to pose a significant challenge across the financial sector.

To counter this, DFCU said it has invested in advanced data analytics and technology to detect suspicious transactions earlier, strengthen internal controls and improve fraud prevention. The bank added that every fraud incident is thoroughly investigated to identify weaknesses and enhance internal processes, while continuing to work closely with the Uganda Police Force and other stakeholders to track down and prosecute fraudsters.

With stronger earnings, improved capital, growing customer confidence and continued investment in technology, DFCU says it is well-positioned to sustain its growth momentum and deliver greater value to customers and shareholders in the years ahead.