Abay Bank reported a profit before tax of Birr 6.22 billion for the financial year ended June 30, 2026, up 47.6% from Birr 4.22 billion a year earlier, according to audited financial statements reported by Ethiopian Business Review.

The bank’s net profit after tax reached Birr 4.55 billion after an income tax charge of Birr 1.68 billion.

Total operating income increased 25% to Birr 13.12 billion from Birr 10.48 billion in the previous financial year. Interest income rose to Birr 12 billion from Birr 8.79 billion, while net interest income reached Birr 8.61 billion, compared with Birr 6.26 billion a year earlier.

Net fee and commission income stood at Birr 2.59 billion. Meanwhile, net gains from foreign exchange valuation declined to Birr 1.51 billion from Birr 1.87 billion.

The bank’s total assets expanded to Birr 119.69 billion as of June 30, 2026, from Birr 91.35 billion a year earlier. Customer deposits increased to Birr 92.74 billion from Birr 71.91 billion, while loans and advances, including interest-free banking financing, rose to Birr 61.15 billion from Birr 48.65 billion.

Total equity reached Birr 17.58 billion, up from Birr 12.21 billion. Paid-up capital stood at Birr 9.66 billion, exceeding the Birr 5 billion minimum capital requirement set for commercial banks by the National Bank of Ethiopia for June 2026.

Abay Bank raised Birr 2.64 billion through share issuance during the year and paid Birr 2.04 billion in dividends. Its capital adequacy ratio, measured against risk-weighted assets, improved to 17.04% from 15.11% a year earlier, remaining above the regulatory minimum of 8%.

The bank’s shares were listed on the Ethiopian Securities Exchange’s main market on June 25, 2026, under the ticker symbol ABAYB, with trading commencing on the same day.

The bank’s board approved the financial statements on September 18, 2026. The independent auditor’s report, dated September 21, stated that the statements presented a true and fair view of the bank’s financial position and performance in accordance with International Financial Reporting Standards.

Source: Ethiopian Business Review