CHAMWE KAIRA
Capricorn Group delivered a strong financial performance for the year ended 30 June 2024 with a growth of 17.7% in profit after tax to N$1.74 billion over the N$1.48 billion previously reported in 2023.
The group said Return on equity (ROE) increased to 17.9% from the 17.6% reported in the previous financial year.
“This can be attributed to excellent results and solid all-round performances across our portfolio of businesses, which includes the banking subsidiaries, Bank Windhoek and Bank Gaborone, as well as Capricorn Asset Management, Entrepo Group, Peo Finance and our associates,” the group said.
The group implemented IFRS 17 in the current year, which requires full retrospective application for disclosure purposes. Consequently, the comparative numbers in the prior period ended 30 June 2023 were restated.
Capricorn said following this restatement, the group’s profit after tax and earnings per share for the year ended 30 June 2024 increased by 9.9% and 9.5% respectively.
“All comparisons to figures from the prior period throughout this announcement are based on the restated amounts, unless explicitly stated otherwise.”
The adoption of IFRS 17 resulted in the restatement of the opening balance of retained earnings on 1 July 2022, increasing by an amount of N$150.4 million.
Explaining the IFRS, Capricorn said in terms of impact on subsidiaries, the adoption of IFRS 17 for Entrepo Holdings on 1 July 2022 resulted in an increase in insurance contract liabilities and a reduction in retained earnings of N$199.5 million due to a change in measurement model to comply with the requirements of IFRS 17. The adoption of IFRS 17 for Sanlam Namibia Holdings (Pty) Ltd on 1 July 2022 resulted in an increase in the group’s share of the associate’s reserves of N$261.3 million.
The adoption of IFRS 17 for Santam Namibia Ltd on 1 July 2022 resulted in a decrease in the group’s share of the associate’s reserves of N$1, 795 000.
The group declared a final dividend of 64 cents per ordinary share. Including the interim dividend of 48 cents per ordinary share, this represents a total dividend of 112 cents per ordinary share (2023: 100 cents).
“This is a 12% increase on the total dividend per share for 2023. The group continues to balance offering attractive returns for shareholders with retaining capital to drive growth and diversification.”
Capricorn Group has been listed on the Namibian Stock Exchange (NSX) since 20 June 2013.
Its investments are comprised of 100% shareholdings in Bank Windhoek Ltd, Mukumbi Investments Ltd, Capricorn Capital (Pty) Ltd, Capricorn Investment Group (Pty) Ltd, Capricorn Hofmeyer Property (Pty) Ltd, Namib Bou (Pty) Ltd, 95.9% in Capricorn Asset Management (Pty) Ltd and Capricorn Unit Trust Management Company Ltd, a 55.5% shareholding in Entrepo Holdings (Pty) Ltd and an 84.8% shareholding in Capricorn Investment Holdings (Botswana) Ltd, as at 30 June 2024.
The group has 29.5% shareholding in Sanlam Namibia Holdings (Pty) Ltd, 28% in Santam Namibia Ltd and 36.4% in Paratus Group Holdings Ltd.
