This morning we released our financial results for 2015. Standard Bank Group has produced solid results in an environment impacted by moderate global economic growth and weakening business and consumer confidence in South Africa.
Results for the year ended 31 December 2015 at a glance:
Headline earnings: R22 002 million, up 27%
Headline earnings per share (HEPS): 1 359 cents, up 27%
Total dividend per share: 674 cents, up 13% from FY14
Tier 1 capital adequacy ratio: 13.3% (FY14:12.9%)
Net asset value (NAV) per share: increased by 9%
Return on equity (ROE): increased to 15.3% from 12.9% in FY14
Cost-to-income ratio: increased to 56.7% from 55.0%
Credit loss ratio: declined to 0.87% from 1.00%
During 2015, the group completed the disposal of its controlling interest in Standard Bank Plc, which was renamed ICBC Standard Bank Plc (ICBCS), and was designated as discontinued operations within the group’s income statement.
Headline earnings for the year increased 27% to R22 002 million, however were affected by the group’s discontinued operation.
Global growth is projected by the IMF to accelerate to 3.4% in 2016 and 3.6% in 2017 although the pickup in global activity is projected to be more gradual than previously anticipated, especially in developing economies.
Our Group Chief Executive, Sim Tshabalala, said the year ahead is likely to provide a demanding operating environment in which consumers and businesses will have to adapt to higher interest rates and the full effect of currency weakness. The group’s rest of Africa (ROE) performance will be affected by factors such as economic growth in South Africa and the rest of Africa, and the retention of a South African investment grade sovereign credit rating.
More details of Standard Bank Group’s results can be found at www.standardbank.com/reporting.
