In this report, we look at the key takeaways from the Capitec Bank full-year 2024 results:

• Headline earnings per share increased by 16% at the top of the guidance of 14% to 16% provided by management.
• Net interest income increased by 16% to R16 464 million driven by both asset growth and rising interest rates.
• Gross retail loans and advances grew by 2% to R83.8 billion as credit granting criteria were strengthened while business loans grew 23% to R19.1 billion.
• Net non-interest income increased by 26% to R19 579 million. Net transaction and commission income increased by 29% to R14 787 million with a 10% increase in active clients and a 21% increase in transaction volumes.

Our research supports a hold recommendation.