FirstRand reports strong earnings growth, increases dividend by 12%

FirstRand Limited reported a 10% increase in normalised earnings to R41.8 bn for the year ended June 30, 2025, with normalised earnings per share reaching 746.4 cents. Headline earnings also grew by 10% to R41.881 bn. The group declared a total ordinary dividend of 466 cents per share, marking a 12% increase from the prior year.

Despite ongoing macroeconomic challenges and a pre-tax accounting provision of R2.7 bn related to a UK motor commission matter, FirstRand achieved a normalised ROE of 20.2%, maintaining its position within the 18% to 22% target range. The credit loss ratio settled at 0.85%, remaining at the lower end of its through-the-cycle range.

Total gross advances rose by 8% to R1.803 trillion, while deposits and debt funding increased by 9% to R2.181 trillion. FNB's normalised earnings grew 8% to R23.616 bn, and RMB saw a 10% increase to R10.723 bn, contributing significantly to the group's overall performance.