Capitec says full-year profit may jump 27 percent

08 February 2016 - 14:18
By Reuters

JSE listed group, Capitec Bank flagged a rise in annual profit of up to 27 percent on Monday, surpassing market expectations and sending its shares higher.

The provider of non-asset backed loans, said headline earnings per shares (EPS) would likely be up 27% at most, above an estimated growth of 21.7% in a Reuters poll of eight analysts.

Headline EPS is South Africa’s main gauge of profit that strips off certain one-off items.

Shares in the company rose 3% to 510.49 rand, erasing earlier losses after dropping to as a low of 478.38 rand.

Capitec Bank, with a lending book around 35 billion rand ($2 billion), makes two-thirds of its revenue from lending activities.

The company will publish its results March 30.