CHAMWE KAIRA
Letshego Holdings (Namibia) Limited’s employee benefit expenses rose significantly in 2025 to N$147 million from N$116.2 million in 2024, according to its annual financial statements for the year ended 31 December 2025.
The group added that salaries increased to N$79.6 million from N$68 million, while incentive bonuses more than doubled to N$26.6 million from N$10.9 million.
Key management personnel costs also increased to N$23.5 million from N$22.1 million.
The statements showed that the group recorded strong financial performance during the year ended 31 December 2025, with net interest income rising by nearly 32% as the lender grew earnings from customer advances, despite higher operating costs.
According to the group’s annual financial statements, total interest income increased to N$1.11 billion in 2025 from N$954.2 million in 2024.
The growth was largely driven by interest earned on advances to customers, which rose to N$1.03 billion from N$837 million a year earlier.
Net interest income climbed to N$723.9 million, compared to N$549.3 million in 2024, reflecting stronger lending activity and lower borrowing costs.
Interest expenses declined to N$382.9 million from N$404.9 million, with borrowing-related interest costs falling to N$288.6 million from N$318.4 million in the previous year.
The group’s operating expenses increased to N$335 million from N$292 million in 2024.
Major cost items included insurance expenses of N$85.9 million, up from N$65.9 million; collection fees of N$48.1 million; management fees of N$44.7 million and consultancy costs of N$24.9 million.
Employee benefit expenses rose significantly to N$147 million from N$116.2 million in 2024.
The group spent N$7.6 million on advertising and promotions during the year, largely unchanged from the N$7.5 million recorded in 2024.
Directors received N$2.2 million in remuneration for services as directors, down from N$2.8 million in the previous year, while remuneration for management services increased to N$10 million.
Fee and commission income declined to N$30.5 million from N$37.4 million in 2024.
At company level, Letshego Holdings (Namibia) earned dividend income of N$276.1 million during the year, up sharply from N$179.5 million in 2024.
The dividends were received from Letshego Micro Financial Services (Namibia) (Pty) Ltd and Letshego Bank (Namibia).
The results highlight continued growth in the group’s core lending operations, supported by rising interest income from customer advances and increased dividend contributions from its subsidiaries.
