Capitec recorded headline earnings growth of 9% to R4.7 billion in its August 2023 Interim financial results despite ongoing economic pressure on South African consumers and businesses. The bank’s effective client acquisition strategies added close to 1 million new active clients in the past six months, bringing the total number of active clients to 21.1 million.
In an economic climate rife with financial challenges, Capitec’s latest results highlight our unwavering commitment to product diversification, underpinned by our investment and innovation to meet our clients’ dynamic needs. We are not just banking for today but shaping the future of banking in South Africa.
Gerrie Fourie, Chief Executive Officer, Capitec
Capitec has grown its non-interest income streams through product diversification and digitalisation, insurance licensing, and broadening payment services. This resilience has seen its net transaction and commission income grow 24% to R6.9 billion.
Our ongoing investment in innovation and 11% active client growth resulted in an 18% increase in retail transaction volumes. Net insurance registered 33% growth to R1.5 billion.
Considering the convenience of digital payments, Capitec’s portfolio now includes Samsung Pay, Google Pay, Apple Pay, Garmin Pay digital wallets, Capitec Pay, and the recently launched PayShap.
Gerrie Fourie, Chief Executive Officer, Capitec
Capitec Pay is an innovation that makes online payments simpler and safer for clients and retailers and has processed 52 million transactions since it was introduced in March 2023. The PayShap solution launched in August 2023 has already capturing a 43% market share.
Initially designed for clients to send cash and buy essentials like airtime and electricity, Capitec’s Value-Added Services (VAS) offerings now encompass bill payments, vouchers, and national lottery ticket purchases. VAS now constitutes 16% of Capitec’s net transaction and commission income, generating R394 million.
