Mary Vilakazi leads Africa’s biggest lender to $1.23 billion half-year profit

Key Points

• Africa’s biggest lender saw profit after tax rise to $1.23 billion, driven by revenue growth, cost management, and strong retail credit performance.
• CEO Mary Vilakazi announced a 10% growth in normalized earnings and a dividend increase to R2.19 per share, reflecting strong shareholder returns.
• The bank’s total assets grew from $129.5 billion to $138.8 billion, reinforcing its financial strength under Vilakazi’s leadership.

FirstRand, Africa’s biggest lender in terms of market capitalization, delivered a better-than-expected performance in the first half of its 2025 fiscal year, with profits rising to $1.23 billion. Led by South African banker Mary Vilakazi, the group continues to demonstrate resilience and solid returns for shareholders despite challenging economic conditions.

10 percent profit increase marks strong performance

According to its recently published financial results for the six months ended December 2024, FirstRand’s profit after tax increased by 10 percent, from R20.55 billion ($1.12 billion) in the same period last year to R22.53 billion ($1.23 billion). The strong results reflect the company’s disciplined execution of strategies aimed at maximizing shareholder value.

Headline earnings also grew by 10 percent, rising from R19.13 billion ($1.04 billion) to R20.96 billion ($1.14 billion). The performance was driven by healthy revenue growth, strict cost management, and better-than-expected retail credit performance in both South Africa and the UK. The group’s focus on customer-facing businesses and prudent financial management ensured a solid operational performance for the period.

FirstRand profit rises, dividend increases

Commenting on the results, FirstRand CEO Mary Vilakazi said: “FirstRand continues to deliver growth and superior returns for shareholders. This is demonstrated in the 10 percent growth in normalized earnings, the 12 percent increase in economic profits and an ROE of 20.8 percent. The group is pleased to declare an interim dividend of R2.19 ($0.12) per share—up from R2 ($0.11) per share—increasing in line with earnings.”

She added: “These are very pleasing shareholder outcomes given the challenging operating environment, and testament to the quality of the group’s customer-facing franchises FNB, RMB, WesBank and Aldermore. These outcomes also demonstrate the advantages of the group’s ongoing discipline in the allocation of its financial resources, which continues to support the superior return profile.”

FirstRand’s assets, retained earnings rise under Mary Vilakazi

FirstRand operates in South Africa, the UK, and key markets across Sub-Saharan Africa, offering a range of financial services through its flagship brands. Vilakazi, who took over as CEO in April 2024 after serving as FirstRand’s chief operating officer since 2018, has reinforced the group’s leadership position in South Africa while expanding its influence across the continent.

The lender’s strong financial performance also saw its total assets grow from R2.37 trillion ($129.5 billion) as of June 30, 2024, to R2.54 trillion ($138.8 billion) by December 31, 2024. Retained earnings increased from R187.5 billion ($10.25 billion) to R199.7 billion ($10.92 billion), underscoring the group’s financial strength under Vilakazi’s leadership.

FirstRand holds strong as Africa’s biggest lender

Even with FirstRand’s stock down more than 3 percent this year, the group’s market capitalization remains at R414.04 billion ($22.6 billion), cementing its position as Africa’s most valuable lender and the continent’s second most valuable company, behind South African tech giant Naspers.