dfcu Limited has reported stronger financial performance for the year ended December 31, 2025, with total assets growing to Shs3.7 trillion, supported by increased customer deposits, lending growth and improved profitability.
The bank’s total assets increased by 8% to UGX 3.74 trillion from UGX 3.47 trillion recorded in 2024, while customer deposits grew by 15% to UGX 2.71 trillion.
The growth was announced during dfcu Limited’s 61st Annual General Meeting (AGM), held at Hotel Africana in Kampala, where shareholders were informed that the institution’s strategic focus on operational improvement, customer growth and digital transformation had strengthened its financial position.
dfcu’s total income increased by 16% to UGX 526.3 billion, compared to UGX 455.4 billion in 2024, while loans and advances grew by 12% to UGX 1.27 trillion from UGX 1.13 trillion.
Profit after tax increased to UGX 81.6 billion, while the group’s reported profit attributable to shareholders stood at UGX 74.9 billion, up from UGX 72.1 billion the previous year.
The improved performance enabled the bank to propose a higher dividend of UGX 21.8 per share, compared to UGX 20.1 per share paid in the previous year.
The total proposed dividend stood at UGX 16.3 billion, reflecting dfcu’s continued focus on delivering returns to shareholders.
Speaking during the AGM, Board Chairman Jimmy Mugerwa said the bank’s long-term strategy was producing results despite remaining challenges.
“The underlying strategy is working. We remain committed to ensuring that we solve some of the big issues,” Mugerwa told shareholders.
He said dfcu would continue focusing on sustainable growth and improved shareholder value. “We’ll continue working to ensure that we get more dividends,” Mugerwa said.
He added that increasing investor confidence was reflected in demand for dfcu shares. “There are a lot of people looking for the dfcu share, which means the company you have is a good company,” he said.
Reengineering for Growth
Mugerwa said dfcu had entered a new phase focused on improving how it operates and delivering greater value to customers and shareholders.
“We are now firmly in a phase of reengineering, with emphasis on how we operate and how to consistently deliver value for our customers and shareholders,” he said.
Chief Executive Officer Charles Mudiwa said the bank’s performance followed a deliberate transformation process aimed at stabilising operations, strengthening governance and positioning the institution for sustainable expansion.
“These results are the outcome of a deliberate and phased transformation. The Bank first refocused to stabilise performance and restore control, and reorganised to strengthen leadership, rebuild governance, and address structural inefficiencies that had constrained execution,” Mudiwa said.
He said dfcu was now leveraging technology to improve customer access and service delivery, highlighting digital solutions including the *240# USSD platform and Mobi Loan services.
Strong Balance Sheet Growth
dfcu’s financial position showed continued expansion, with shareholders’ equity increasing to UGX 736.8 billion from UGX 681.7 billion in 2024.
Retained earnings rose to UGX 491.1 billion from UGX 446.6 billion, reflecting improved profitability.
The bank’s capital position remained strong, with core capital at UGX 529.8 billion and total qualifying capital at UGX 542.8 billion.
The core capital-to-risk-weighted assets ratio stood at 27.86%, while total qualifying capital to risk-weighted assets was 28.54%.
As of December 31, 2025, dfcu operated 55 branches, 77 ATMs, 21 Cash Deposit Machines and a network of 4,181 banking agents across Uganda.
The institution closed the year with 1,283 employees, three legal entities and 3,822 shareholders.
Risk Management and Fraud Controls
Chief Risk Officer Hope Lorna Nakhayenze said the bank had strengthened its risk management systems as it continued to expand.
She said dfcu had improved its credit loss ratio to 0.8% in 2025 from 1.1% in 2024.
The bank said fraud remained one of the key risks facing the financial sector, particularly through digital banking channels.
dfcu said it had expanded the use of data analytics and technology to detect suspicious transactions earlier and strengthen controls.
“We are continuously improving our control environment based on lessons learned and by deploying better technology to anticipate and prevent fraud,” the bank told shareholders.
The institution said all fraud incidents are investigated to identify root causes and improve internal processes.
dfcu also said it was working with the Uganda Police Force and other stakeholders to identify and prosecute fraudsters targeting customers and financial institutions.
The bank said its 2025 performance provides a foundation for further growth as it continues investing in technology, customer experience and business expansion.
