Shareholders score big after record Capitec earnings
The group's return on equity increased to 29% during the year under review, paving the way for the dividend payout to 55% from 50%.
Capitec reported a 30% jump in headline earnings to R13.6bn from R10.6bn a year ago with financial highlights including a 54% increase in net interest income after credit impairments to R11.9bn. The group reported a 7.5% credit loss ratio, a 61% increase in value added services and Capitec Connect to R4.4bn and a 44% jump in funeral and life income to R1.9bn.
The bank said more than 11-million clients now used the Capitec app to purchase airtime, data, electricity, vouchers and to pay bills.
'The bank captures more than 40% of South Africa's airtime and data transactions and one in five digital vehicle licence renewals now occur on its platform.'
Capitec CEO Gerrie Fourie said: 'Through our high-volume, low-margin business model, we are enabling everyone to access solutions that allow them to take control of their finances, protect their families, manage businesses and unlock opportunities. Our purpose-driven strategy is helping us scale sustainably and, most importantly, it is assisting 24-million South Africans to grow every day.'
Capitec, which was previously predominantly a credit lender, said its diversification strategy had paid off as personal banking now contributes 45% of total earnings, insurance accounts for 25%, strategic initiatives contribute 23% and business banking makes up 5%.
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The Citizen
2 days ago
- The Citizen
Are you employed if you work an hour a week? Stats SA says yes
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Daily Maverick
6 days ago
- Daily Maverick
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The Citizen
25-06-2025
- The Citizen
Take-home pay slides for third month with grim job opportunities and earnings
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