Capitec Bank has reported a remarkable 26% increase in headline earnings, totaling just over R8 billion for the six months ending August 31, 2025. This performance was announced on October 1, 2025, highlighting the bank’s strong growth trajectory in a competitive market.
The basic headline earnings per share (Heps) rose to 6,962 cents, up from 5,544 cents in the same period last year. In light of these results, Capitec declared an interim dividend of 2,620 cents per ordinary share, reflecting a 26% increase from the prior period. The bank’s share price rose 1.86% early on October 2, trading at R3,538.47.
Capitec also saw significant growth in non-interest income, which increased by 27% to R7.1 billion, while net non-interest income climbed 19% to R13.4 billion. Value-added services, including Capitec Connect, grew by 40% to R2.9 billion. The bank’s digital footprint expanded, with banking app clients rising by 13% to 14 million, contributing to an active client base of 25 million.
CEO Graham Lee, in his first results presentation since succeeding Gerrie Fourie in July, noted that clients aged 16 to 35 now comprise 12 million of the total client base. Higher-income clients are also growing, increasing by 24%.
However, the bank reported a 5% rise in net credit impairment charges to R3.7 billion, attributed to a 32% increase in loan disbursements and a 9% rise in the loan book. Despite this, the annualised credit loss ratio eased to 8.1% from 8.3%, with Lee emphasising that the bank’s lending standards remain unchanged.
Lee reiterated Capitec’s vision to “bank 95% of South Africa,” clarifying that the recent increase in higher-income clients does not signify a shift away from lower-income earners. The bank continues to focus on providing affordable and frictionless transactions.
In a bid to enhance customer service, Capitec plans to offer Home Affairs services, including smart IDs and passports, at select branches, starting this October. This initiative aims to improve access to essential services in underserved areas.
Additionally, Capitec has launched new products, including cross-border money transfers in partnership with Mama Money, a youth-focused credit card designed to help clients establish credit profiles, and a revised home loan product offering flexible limits and competitive rates. Capitec Connect has also begun offering smartphones with a promotion of 30GB of free data for the first six months.