This morning, Barclays Africa Group
reported “an expected 14% rise in full-year earnings,” reports IOL
. This was mostly down to a fall in “bad loan costs in its retail and commercial mortgages”.
Over the 12 months to the end of December, “net income rose to R12 billion from R10 billion a year earlier,” says Bloomberg
. Headline earnings per share rose to R13.97. This came in higher than forecast R13.67 in a survey of 15 analysts conducted by Bloomberg
Acquisitions helped boost “headline earnings by 14% to R1.923 billion,” notes Fin24
. This after Barclays “sold most of its African operations to lender Absa in exchange for a bigger stake in Africa’s third biggest banking group”.
This meant Barclays Plc increased “its stake in Barclays Africa to 62.3%,” reports BDLive
. CEO of Barclays Africa, Maria Ramos, said they now have “a clear set of deliverables to create a truly pan-African franchise”.
Over the period, “credit impairments fell 21% to R6.99 billion,” adds Bloomberg
. Non-performing loans also fell “to 4.7% of total lending”. That’s 5.9% lower than the previous year.
Shares in Barclays Africa rose on the back of the results
At time of writing, shares in Barclays Africa were 4.22% higher at R129.30.
Compared to the other big banks, shares in Barclays Africa are faring better this year, notes IOL
. Shares are only down 6%, compared to a 13% fall in FirstRand and a 9% drop in Standard Bank.
So across the board, a good set of results from Barclays Africa. They showed an improvement across the board.