Investec Group (INVP) H2 2026 earnings summary

Executive summary

• Delivered resilient results amid geopolitical volatility and rapid AI-driven change, maintaining high capital and liquidity levels.

• Progressed strategic investments for long-term growth, focusing on private client and corporate mid-market segments, and digital transformation.

• On track to achieve ROE of 16% and ROTE of 18% by 2030, with inflection in growth and returns expected from 2028.

Financial highlights

• Adjusted EPS increased by 4.8% year-over-year; adjusted operating profit up 3.4% to GBP 951 million.

• Tangible net asset value per share up 9.2% to 553.1p; total dividend for the year up 5.5% to GBP 0.385.

• Return on equity at 13.6%, cost-to-income ratio at 52.9%, and credit loss ratio improved to 36 bps.

• Completed GBP 110 million share buyback.

• Double-digit growth in funds under management, loans, and deposits; net asset value up 8.3%.

Outlook and guidance

• Investment program expected to peak in FY2027, with meaningful returns from 2028.

• ROE guidance for next year is 13%-14%, with 2028 target at 13.8%-14.6% and long-term goal of 16% by 2030.

• South African business expected to remain at the top end of its performance range; U.K. returns at lower end of 13%-17% cycle.

• Credit loss ratio expected to stay within 25-45 bps target range.