Capitec rides out Viceroy storm with impressive first-half performance
Investors welcomed the results, pushing the shares, battered earlier this year in the short-selling attack, 2% higher
Capitec, whose shares plunged earlier in 2018 after a controversial research team accused it of unethical practices, delivered results that suggest it has ridden that particular storm. The bank, which mainly serves lower-income users, added an impressive 109,000 active users per month in the half-year period to August. Those are customers who pay their salaries into their accounts with the bank. It recorded a 25% increase in transactions and boosted its lending book 3% to R41.8bn. “We have continued to focus on running the business in the best possible manner, so nothing has changed,” CEO Gerrie Fourie said on Wednesday, after releasing interim results that showed a 20% jump in earnings and dividends. JSE investors rewarded the company by pushing its share price 2% higher, making it the top performer on the FTSE/JSE banking index. Shares in Capitec plunged in January after Viceroy, which gained prominence with a report on disgraced furniture retailer Steinhoff the month before, publ...
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