Largest retail bank calls the financial year ending February 2021 a tale of two halves BL PREMIUM The country’s largest retail bank expects earnings to fall by a quarter for the year ending February 2021 as the effect of a slower economy and higher bad debt provisions weigh on an otherwise impressive two-decade growth story. What is your favourite retail rewards programme. Capitec Bank Limited Reg. During the past 3 years, the average Dividends Per Share Growth Rate was 18.40% per year. “After extensive deliberation, the board decided to support the guidance of the Reserve Bank and decided against the declaration of the final ordinary dividend.”. Capitec Bank was established in 2001 and has over ten million clients. Capitec’s competition has taken note of its growth and has created products and services to counter it. Headline earnings were up 19% to R6.28 billion. news24.com - • Capitec saw its earnings tank by 78% in the first half of its financial year in 2020.• In the second half, however, it recorded an increase in headline … Capitec says end of 2020 surprised on the upside with some profit growth | Fin24 - Flipboard We have also been named the third strongest banking brand in the world. 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Capitec said that it now has 852 retail branches across the country in convenient locations. The statistic is that Capitec only added 50 000 customers since the half year versus the previous year … ... Fiscal year is March-February. Comments section policy: Any attacks on BusinessTech, its journalists, or other readers will result in a ban. Headline earnings per share – the main profit measure in South Africa – stood at 2,545 cents for the period, compared with 2,128 cents a year earlier. Other key indicators highlighted the bank’s positive trajectory: Gerrie Fourie, CEO of Capitec Bank says that as the bank enters its 19th year of business, it remains committed to the 4 fundamentals on which the bank was built and which made Capitec so successful. We are working together with the South African Reserve Bank and other stakeholders in an attempt to minimise the financial impact on our clients and employees.”. To see our previous results, click on ‘Interim results’ for the unaudited financial results for the 6 months ended 31 August 2018, or choose a year in the dropdown below. Their client-centric approach remains instrumental in pioneering banking and building a strong, sustainable business. The Capitec Funeral Plan, underwritten by Centriq Life Insurance Company Limited, was launched to the market in May 2018, and at financial year end over 360 000 policies were active. It will also be available as a recorded video after the presentation. Capitec profit growth … The bank however grew and optimised its book through a focus on client quality, protecting the book from clients prone to go under debt review. Capitec has published its annual results for the year ending 29 February 2020, with the group once again showing strong growth. Earnings per share increased by 18% to 5,400 cents per share, from 4,571 cents per share in the prior year; Total dividends per share decreased by 57% to 755 cents per share, from 1,750 cents per share in the prior year. Executive management monitors the national crisis and adapts our response on a daily basis.”, Read: FNB, RMB and WesBank bosses to forego 30% of their salaries for 3 months. At 28 February 2019, the gross credit card book was R3.6 billion and comprises approximately 3% of the total South African retail credit card market. Capitec Bank Holdings Limited shows a Beta of 1.01. “Capitec committed substantial donations to various organisations for disaster relief during this pandemic, and contributed to client savings through the industry-wide waiver of SASWITCH fees to all clients, as well as waiving the full cash withdrawal fees for SASSA clients. We have also increased our focus on delivering solutions that continue to reduce the cost of banking. Capitec said that its ordinary dividend policy is to pay out 40% of headline earnings. Capitec Bank Loans | Requirements and Online Application. “We still have over 6 million clients visiting our branches every month.”. Shares of Capitec are down about 7 percent over the last 12 months. Capitec had 840 branches at … South Africa's Capitec Bank flags 20% fall in half-year profit. Climate activist Greta Thunberg is Time's 2019 person of the year World. Watch the presentation of our audited financial results for the year ended 28 February 2019, by clicking the video below. The summary below shows the share price performance of Capitec Bank over various time periods. The report, which painted Capitec as preying on vulnerable borrowers, was critiqued for being inaccurate . “There is a clear expectation communicated in the Guidance Note that banks should not declare ordinary dividends for the time being. capitec continues growth due to strong fundamentals 28/03/2019 The country’s leading retail bank has once again ensured a solid set of financial year end results, driven by its simplified and transparent banking solution delivered through innovative technologies. The country’s leading retail bank has once again ensured a solid set of financial year end results, driven by its simplified and transparent banking solution delivered through innovative technologies. Fourie added that their credit business performed very well against the background of a lacklustre economy and increased credit risk-taking in the unsecure credit market. This includes procuring and distributing over 2,000 computers to allow client care and key support service personnel to work from home. Capitec is South Africa’s leading digital bank with over 6.9 digital banking clients. South African lender Capitec Bank on Thursday reported profit for the first half of the year grew 20%, in line with expectations, thanks to strong customer growth and a smaller impairment charge. ... Capitec … Headline earnings per share increased by 19% to 5,428 cents per share, from 4,577 cents per share in the prior year. Capitec has published its annual results for the year ending 29 February 2020, with the group once again showing strong growth. Capitec believes in an omni-channel strategy that consists of a combination of digital banking, a strong branch network with superior service, and the ability to communicate with clients to help them manage their banking better. In just a few hours the sickbay and old library at the Solomon Qatyana Primary School was turned into a fabulously painted, stocked and furnished library. As at the 28 February 2017 financial year end, Capitec had an NSFR ratio of 187% which is higher than the 100% requirement. By reducing our digital banking fees from 1 March, we’re giving back R360 million to our clients over the next year.”, “We also remain focussed on accessibility and now have 840 branches with extended trading hours (14 are new), more than 300 Sunday banking branches and over 5 000 ATMs across the country. growth and sustainable profitability. Year Completed 2020 Shared by Samantha Kerr , dhk Architects ... Capitec’s success and growth over time meant that the company came to occupy numerous offices. The Capitec Funeral Plan, underwritten by Centriq Life Insurance Company Limited, was launched to the market in May 2018, and at financial year end over 360 000 policies were active. Is registered under South African Reserve Bank with over 5 million* clients, 9 000 employees andR9.1 Billion shareholders’ funds. “This is due to the absence of appropriate factual information to determine the full impact of the Covid-19 pandemic on the South African economy. 50% of branches are kept open during the lockdown period while employees continued to earn their full salaries, it said. Capitec Bank Limited revolutionised the banking industry by providing a simplified and cost effective banking solution targeting the masses i.e. No: 1980/003695/06. This website uses cookies to ensure you get the best experience. This is evident in the fact that 500 000 new clients joined Capitec in January and February combined. “As Capitec’s capital base and liquidity ratios remain strong, it was the intention of the board to declare the final dividend this year,” it said. “We continually review the financial position of our credit clients on an individual basis and implement the necessary remedies where possible to assist clients with their cash flow during this difficult period.