Capitec reports huge growth – R8 billion headline earnings and 25 million clients
Capitec, South Africa’s largest digital bank, has announced its financial results for the period spanning March 2025 to August 2025.
These results showed impressive growth, with headline earnings rising 26% to R8 billion.
Furthermore, return on shareholders’ equity improved to 31% – up from 29% at the same time last year.
Other important highlights from the results presentation included:
- Non-interest income (including Value-Added Services, Capitec Connect, and Insurance) grew by 19% to R13.4 billion.
- Net interest income after credit impairments increased by 27% to R7.1 billion.
- Fintech business, including VAS and Capitec Connect, grew by 40% to R2.9 billion.
“Our goal has been to build trust and make a meaningful impact for our clients,” said Capitec Group CEO Graham Lee.
“The scale of our 25 million client base puts us in a strong position to lower the cost per transaction, increase revenue, and continue to invest in new initiatives and products that meet our clients’ daily needs.”
Impressive client growth
These impressive financial results were complemented by the group’s total client base growing by 8% and reaching 25 million clients.
This now means that the Capitec Personal Bank now serves over half of South Africa’s adult population.
Clients aged between 16 and 35 grew to 12 million – representing a 58% market share among this important youth segment.
Capitec’s growth was also noticeable in high-income earners, as clients with salaries above R50,000 per month have increased by 24%.
This data shows that Capitec is seeing impressive growth across the board – and the bank shows no signs of slowing down.
Diversifying the ecosystem
Key to Capitec’s ongoing success is its focus on expanding its portfolio of offerings far beyond Personal Banking.
Other key contributors – both in terms of financials and client acquisition – include:
- Capitec Insurance – This represents 26% of the Group’s earnings and covers 15.8 million lives (up 16% year-on-year) across Credit Life Insurance, Life Cover, and Funeral Plans.
- Fintech – Comprising Value-Added Services (VAS) and Capitec Connect, this segment also contributed 26% to Group earnings. There are now 1.1 million active Capitec Connect SIMs, while 12 million clients purchase VAS via the Capitec app over the past month.
- AvaFin – The Capitec Group’s lending arm in Poland, Latvia, Czechia, Spain, and Mexico contributed R124 million to group headline earnings and saw a 27% increase in active clients.
- Capitec Business – Contributed 5% to group earnings, up from 2% last year, and now services 182,000 businesses – up by 57%. Furthermore, the number of trading merchants using Capitec card machines increased by 165% to 85,000.
Giving back to clients
Capitec’s success is not only driven by its technological innovation and business diversification.
It is also putting the power back in its clients’ hands, having given back R203 million to its clients through fee simplification alone.
This included R106 million in savings for its Personal Banking clients, and R97 million for its Business Banking clients.
A further R52 million was saved by clients switching from SMS notifications to free in-app notifications, while reduced merchant commission rates and discounted card machines saved clients R95 million.
Capitec Connect, meanwhile, rewarded 449TB of data to clients – or the equivalent of 153,000 HD movies.
According to Lee, the bank will continue to focus on serving its clients to the best of its ability as it approaches its 25th anniversary.
“Looking ahead, we will focus on delivering better client experiences through inclusive credit, smarter digital tools, and partnerships that remove barriers,” said Lee.
“Banking should be simple, accessible, and human, and we’re committed to expanding our digital ecosystem, deepening client relationships, and creating opportunities for every South African.”
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