Absa says it grabbed back some retail banking market share during 2018
CFO Jason Quinn says the bank is pleased with its improved momentum as the group embarks on a new growth strategy
Absa said on Monday it regained some market share in SA’s retail banking segment, helping the group to lift both revenues and profits in the year ended December. Normalised headline earnings rose 3% to R16.1bn as revenues grew 4% to R75.7bn, Absa said on Monday. “Despite a challenging backdrop, we are particularly pleased with our improved momentum as we embark on our new growth strategy,” said Jason Quinn, Absa’s finance chief. Gross loans to customers increased by 13%, Quinn said. In its retail business in SA, “lending momentum outpaced the market”, Absa said. The bank recorded “good new business growth” in home loans, vehicle and asset finance, and personal loans. The group said it “also gained market share in deposits”, which grew 11% thanks to growth in fixed and notice deposits.
Absa previously lost ground in the domestic lending market, which it blamed on the constraints imposed by its erstwhile parent, Barclays. Now that Barclays has sold down its majority stake, Absa ...