Sasfin said on Tuesday headline earnings grew 59.9% to R80.5m in the six months to December, thanks to a lower tax bill and a healthier credit book. The group said its credit loss ratio improved to 1.23%, from 2% a year before, while its tax expense “normalised”, falling to R30.3m from R47.5m. “Over the past two years, the group expressed concern around the deteriorating performance of its credit book and subsequently took significant steps to improve its credit processes and team,” Sasfin said. However, the financial services company said costs were growing at a faster pace than income. Total income grew 5.8% to R608.6m “in a subdued economy”, while costs grew by 12.3% due to an increase in headcount following the acquisition of Absa Technology Finance Solutions, investments in the business, and an increase in bonus provisions. As a result, the group's cost-to-income ratio deteriorated to 74% from 70.4%. Sasfin, headed by Michael Sassoon, said its total assets grew by 3.1% to R13.6...

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