bySAVIOUS KWINIKA
JOHANNESBURG – AFRICA’S largest financial institution, Standard Bank Group reported strong financial results for 2025, posting headline earnings of R49.2 billion and a return on equity (ROE) of 19.3 percent, placing the group at the top end of its 17–20 percent ROE target range.
The performance was driven by solid balance sheet growth, rising fee income and robust trading revenues across the banking franchise.
Lower credit impairment charges, supported by an improving macroeconomic environment, and disciplined cost management also contributed to the strong results.
The group’s Insurance and Asset Management division delivered notable earnings growth and improved returns during the year.
Headline earnings per share increased 12 percent to 3,026 cents, while the final dividend was declared at 878 cents per share, bringing the total dividend for the year to 1,695 cents, also up 12 percent.
Tangible net asset value per share rose 7 percent to 15,687 cents, while the common equity tier 1 ratio remained strong at 13.8 percent.
The cost-to-income ratio improved to 50.2 percent, and the credit loss ratio declined to 73 basis points.
Group Chief Executive Officer Sim Tshabalala said the results reflected the successful execution of the bank’s long-term strategy.
“2025 marked a significant milestone as we achieved or surpassed the ambitious financial targets we set in 2021, validating our strategy and confirming our capacity for disciplined execution,” Tshabalala said.
“Africa continues to grow steadily and the opportunities across the continent remain significant.”
The group’s Africa Regions operations contributed 40 percent of headline earnings, with strong performances from Angola, Ghana, Kenya, Mauritius, Nigeria, Tanzania, Uganda and Zambia.
South Africa remained the largest contributor with R24.9 billion in earnings, followed by Africa Regions at R19.7 billion.
Standard Bank also advanced its sustainability agenda. The group raised its sustainable finance mobilisation target from R250 billion by 2026 to R450 billion by 2028.
Since 2022, it has mobilised over R277 billion, including R100 billion in 2025 alone, to support clients’ environmental and social initiatives.
Digital banking continued to expand in South Africa, with digital retail clients increasing by 9 percent and digital transactions rising 5 percent, bringing the share of transactional clients using digital platforms to 67 percent.
Looking ahead, the bank expects moderate economic improvement across its markets to support continued growth.
For 2026, Standard Bank forecasts mid- to high-single-digit banking revenue growth, a slight improvement in the cost-to-income ratio and a return on equity above 2025 levels.
– CAJ News
