Standard Bank expects to report about a 20% decline in full-year normalised headline earnings per share, it said on Thursday.
Standard Bank, Africa biggest bank by assets, said in a brief trading statement normalised headline EPS reflect the effects of a transaction to bring black investors on board.
The company said headline EPS calculated on an IFRS basis were likely to be between 20% to 25% lower.
South African banks face mounting bad debts, particularly in their retail divisions, as consumers battling with job losses and an economic downturn, struggle to pay back loans.
Standard Bank’s rival, Absa, said earlier this week it expected impairments to slow in 2010 and forecast muted growth as the economy recovers from recession and pressure on credit-squeezed consumers starts to ease. — Reuters