Board Chairperson’s Report For The 39th Annual General Meeting.

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Nananom, Hon, Carlos Kingsley Ahenkora (fmr. Board Chairman), distinguished shareholders, representatives of ARB Apex Bank and the Association of Rural Banks, fellow Directors (past and present), the Chief Executive Officer - Mr. Prince Obiri Yeboah, the clergy, invited guests, management and staff KCB, ladies and gentlemen: good morning. I have the honour to present this report on behalf of the Board Chairperson, Madam Alberta Aboagye Kwarteng.

It is a privilege to stand before you at our 39th Annual General Meeting. Today is also a special day for another reason: before this meeting, we commissioned our new branch here at Akyem Afosu. A bank that opens new doors while it reports strong results is a bank that is growing with its community.

The Chairperson will report on the 2025 financial year, whose accounts were prepared, audited, and approved by the Board on 24th April 2026. This report will be brief on the numbers, because the full accounts are before you.

The year 2025 was a year of strong, healthy growth: 2024 as comparative year:

  1. Total assets grew from GH¢138.1m to GH¢185.5m, an increase of 34%.
  2. Customer deposits grew by 30%, from GH¢120m to GH¢156.5m. That growth is a vote of confidence in this Bank by the farmers, businessmen & women, artisans and families of Kwaebibirem and beyond. We do not take this trust lightly.We also put more of those deposits to work in our community.
  3. Net loans and advances increased from GH¢23.1m to GH¢38.8m, an increase of 68%, in support of our farmers, our market women, SMEs businesses among others.
  4. Total operating income grew from 41% to GH¢35m. Profit before tax grew 46% to GH¢15.9m, and profit after tax grew 48% to GH¢10.7m, from GH¢7.2m the year before.
  5. Earnings per share grew from 7.9 pesewas to 11.2 pesewas.
  6. Shareholders' funds increased from GH¢14.4m to GH¢25m.
  7. Our capital adequacy ratio stands at 30.6%, up from 27.9% which is still comfortably above the regulatory requirement. Our liquidity position remains sound.

These are the marks of a bank that is growing safely, and safety must always come before speed.

Shareholders Reward for your investment:

The Board proposes a dividend of 1.2 pesewas per share, amounting to GH¢1,146,063.17 in total, subject to the approval of the Central Bank.

The Board has also proposed a transfer of GH¢4m from Retained Earnings to stated capital by way of a bonus issue.

This strengthens our capital base and will let us lend more to our customers, while our shareholders receive additional shares for your investment.

Both proposals will come before you for resolution today, and the Chairperson is asking for your support.

During 2025 our stated capital rose from GH¢1.76m to GH¢2.17m, through cash subscriptions and a bonus issue.

Our shares now number 95,505,264.

The Chairperson reminds shareholders that the additional shares issued in 2025 are still to be registered at the Registrar General's Department, and management is following this up keenly.

Corporate Social Responsibility

A community bank succeeds only when its community does.

  1. In 2025, we supported fuel for the Ghana Police Service and the Ghana National Fire Service;
  2. We supported education and gave scholarships;
  3. We sponsored the Farmers' Day celebrations in our catchment areas;
  4. We conducted financial literacy advocacy;
  5. We supported the Asuom market project;
  6. We supported the Kade sports stadium;
  7. and we also sponsored several traditional festivals.

We will keep investing in the people who make this Bank what it is.

In terms of Governance and risk

Your Board takes its oversight role seriously. Our committees on finance, audit and risk, credit and administration met regularly throughout the year.

The Directors have assessed the Bank's going concern position, including stress tests on our capital, and are satisfied that the Bank remains well resourced.

Management, led by our Chief Executive Officer, Mr. Prince Obiri Yeboah, has also confirmed that our risk and internal control systems operate effectively.

Our external auditors, Opoku Andoh & Co, will present their report shortly. The Chairperson encourages you to raise any questions you have about it.

Our challenges

The Chairperson will not pretend that growth comes without challenges. Growing loans means we must keep a sharp eye on credit quality.

Our growing digital services demand continued investment in technology and cyber-security.

And a competitive banking sector means we must keep earning your loyalty through excellent service.

The Board and management are alert to each of these and are acting seriously on these indicators.

Looking ahead into the future

  1. In the year ahead we will: Grow our deposit and loan books responsibly, keeping asset quality very strong.
  2. We shall take banking closer to our customers, with the Akyem Afosu branch as the latest example.
  3. We shall deepen digital and mobile services, and keep working on our systems and processes.
  4. We shall continue to invest in our staff, who deliver our results every day.
  5. We shall develop a strong and winning strategy to mine the benefits of the wider scope of being a community bank.
  6. And we shall maintain strong governance and full compliance with Bank of Ghana regulatory requirements.

Appreciation

On behalf of the Chairperson,

I thank the former board of directors, which was led by Hon. Carlos Kingsley Ahenkorah, for growing the bank that’s far, my fellow Directors, for their dedication and sound counsel.

I thank the Chief Executive Officer, management, and all staff for their hard work.

I thank the Bank of Ghana, ARB Apex Bank and the Association of Community Banks for their guidance and support.

I thank our external auditors and, above all, you, our shareholders and customers, for your loyalty and patience.

On behalf of The Chairperson, I now invite you to receive this report, and to look forward to the discussions and resolutions ahead.

Thank you,
and God bless you all.