Investec Group (INVP) Trading Update summary

Financial performance and outlook

• First-half results are expected to be broadly in line with the prior period, with adjusted EPS forecast between 38.7p and 41.5p, and headline EPS between 35.2p and 38.0p.

• Pre-provision adjusted operating profit is projected at £509.4m–£540.3m, and adjusted operating profit at £451.0m–£481.8m, compared to £474.7m in 1H2025.

• Revenue was supported by increased lending activity, higher average advances, and net inflows in the Wealth business, but offset by lower average interest rates and reduced group investment earnings.

• Net core loans increased by 4.7% annualized to £33bn, while customer deposits decreased by 1.9% annualized to £40.8bn.

• Cost-to-income ratio is guided at 52–54%, consistent with full-year guidance.

Credit quality and risk management

• Credit loss ratio is expected within the 25–45bps range, with the UK at the upper end due to idiosyncratic events, not broad trends.

• South Africa's credit loss ratio remains moderate, reflecting stable credit quality.

• Overall credit quality of the loan book remains strong and within through-the-cycle ranges.

• Key judgements include valuation of unlisted investments, ECL determination, and ongoing review of UK motor finance commission litigation provisions.

Strategic initiatives and capital management

• Continued progress on strategic objectives, including building scale, enhancing client propositions, and leveraging client franchises.

• Ongoing share buyback program has repurchased approximately £46m/R1.1bn to date out of a £100m/R2.5bn programme.

• Robust capital and liquidity levels maintained, with CET1 ratios at 15.3% (Investec Limited) and 12.2% (Investec plc) as of 30 June 2025.

• Interim results for the six months ending 30 September 2025 will be released on 20 November 2025, with a further update on mid-market growth initiatives.