Investec expects growth from its South African operations, but its UK business could drag down its results.<\/p>\n\n\n\n
The company said in a trading statement on 18 September that it expects its upcoming interim results to be in line with its guidance from May 2026.<\/p>\n\n\n\n
For investors, the group is expecting adjusted earnings per share to rise by between 3% and 7%, from 40.5 pence in the previous interim period.<\/p>\n\n\n\n
Headline earnings per share (HEPS) are also expected to rise by 4% to 8% to between 38.1p and 39.7p.<\/p>\n\n\n\n
In South Africa, Investec is expecting a boost to its operating profit, which is expected to rise by 6% from the prior period in rands and 14% in pounds.<\/p>\n\n\n\n
The adjusted operating profit is also expected to increase in the first half of the 2026 financial year compared to the prior reporting period.<\/p>\n\n\n\n
“The Specialist Bank adjusted operating profit is expected to be up to 4% ahead of the prior period in Rands and up to 14% in Pounds Sterling,” Investec said.<\/p>\n\n\n\n
For its UK business, Investec expects its operating profit to decline compared with the prior reporting period.<\/p>\n\n\n\n
It said that adjusted operating profit for its UK business, including its interest in Rathbones, will be 2% to 6% lower than the prior period.<\/p>\n\n\n\n
“The UK Specialist Bank adjusted operating profit is expected to be between 3% and 7% behind the prior period,” the company added.<\/p>\n\n\n\n
Overall, Investec is still forecasting growth in its next financial report, in line with its prior guidance, despite lower profits in the UK.<\/p>\n\n\n\n
It said that its revenue growth had been supported by “increased activity levels, higher average advances, and positive net inflows in discretionary and annuity funds under management.”<\/p>\n\n\n\n
The company also noted that net interest income had been supported by solid growth in its average lending book and lower funding costs in South Africa.<\/p>\n\n\n\n
Investec’s funds under management increased considerably in its South Africa wealth segment, rising by approximately 13.8% since the end of March 2026.<\/p>\n\n\n\n
“Strong net inflows in our discretionary and annuity funds of R10.7 billion, as well as non-discretionary inflows of R18.9 billion,” Investec said.<\/p>\n\n\n\n
While Investec was initially founded in South Africa in 1974, the company today trades in the UK and on the JSE through a dual listing.<\/p>\n","protected":false},"excerpt":{"rendered":"
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