This morning we released our financial results for 2014. Standard Bank Group continued steady growth in Africa during the year following a steady realignment of the our resources to focus on the continent, including the sale of 60% of our global markets business outside Africa to our strategic partner, ICBC.
Headline earnings from continuing operations increased 20% to R21,1-billion, boosted by good revenue growth of 15%. However, our headline earnings were affected by the performance of the discontinued global markets outside Africa business and increased by only 1% to R17,3-billion.
Our medium-term return on equity target of between 15% and 18% remains in place and reflects our confidence in the ability of our people to deliver the necessary consistent growth to achieve the target.
Highlights of Standard Bank Group’s results for the year ended 31 December 2014: • Headline earnings: R17 323-million, up 1% • Headline earnings from continuing operations: R21 068-million, up 20% • Headline earnings per share (HEPS): 1 070 cents, up 1% • Total dividend per ordinary share: 598 cents per share, up 12% from FY13• Tier 1 capital adequacy ratio: 12.9% (FY13: 13.2%) • Net asset value (NAV) per share: Increased by 7% • Return on equity (ROE): Decreased to 12.9% from 14.1% • Cost to income ratio: 54.5% from 56.8% • Credit loss ratio: 1.00% from 1.12% in FY13.