Capitec Bank’s profit grew to R283-million for the six months ended August 31 2010, the JSE-listed retail bank said on Wednesday in its interim results.
This was “an impressive” 59% year-on-year growth “despite difficult market conditions,” Capitec said.
Headline earnings per share grew by 58% to 340 cents and an interim dividend of 85 cents per share, up from 55 cents in 2009, was approved.
“Even though we are continuing to operate in challenging economic conditions, Capitec Bank has a solid base from which to grow,” CEO Riaan Stassen said.
However, the net loan impairment expense — or bad debts written off by the bank — for the six months increased to R403-million compared to R258-million for the six months ended August 2009 while recoveries rose from R36-million to R44-million.
Stassen said the group would continue to open new branches, acquire more clients and grow its advances book while managing its capital requirements. — Sapa