Discovery Bank has reported exceptional growth for the second half of 2024, with revenue increasing by 42% year-on-year to R1.1 billion. This surge was driven by a 32% rise in customers, reaching 1.09 million, and a 35% increase in accounts, which grew to 2.61 million. Originally aiming to reach the 1-million-client milestone by 2026, the bank exceeded expectations by achieving this goal in August 2024. Operating profit before new business acquisition costs reached R69 million, a significant improvement from the previous interim period’s loss of R154 million. Additionally, its overall operational loss shrank by 57%, from R339 million to R145 million. The bank also reported its first monthly break-even in December 2024, earlier than anticipated.
Key performance indicators showed strong momentum across multiple areas. Payment volumes rose by 47%, while total spending values increased by 42% compared to the previous period. Deposits grew by 27%, and advances saw a notable 37% rise, largely attributed to the launch of home loans, which reached R802 million by the end of the period. Non-interest revenue also showed impressive gains, increasing by 49%, driven by higher client engagement and product uptake. Meanwhile, net interest income rose by 34%, reflecting an increase in deposits and reduced funding costs. Despite a challenging macroeconomic environment, Discovery Bank maintained a focus on high-quality growth and customer engagement.
Launched to the public in mid-2019 as one of South Africa’s first fully digital banks, Discovery Bank continues to expand within the Discovery ecosystem. Its business model, similar to Discovery’s other divisions, incentivises customers for positive financial behaviour through an integrated rewards programme. The bank operates a sophisticated network of over 120 interconnected systems, enabling seamless integration across Discovery’s broader infrastructure. With its latest results demonstrating sustained growth and financial resilience, Discovery Bank is well-positioned to strengthen its footprint in the digital banking space while continuing to drive innovation in the sector.