JSE: CPI Share Price Resumes Uptrend as Capitec Posts 23% Profit Growth and Expands to 26 Million Clients

Quick overview

Strong earnings growth, growing clientele, and a noticeably larger dividend distribution all contributed to Capitec Bank’s impressive 2026 results.

Strong Financial Performance

Capitec Bank reported a solid financial performance for the year ended 28 February 2026, with headline earnings rising 23% to R16.8 billion, up from R13.7 billion in the prior year. Headline earnings per share also recorded strong growth, reinforcing the bank’s consistent upward trajectory. The JSE: CPI share price reached a record high in February, reflecting investor confidence in its performance and outlook.

Dividend Growth and Shareholder Returns

Capitec delivered one of the largest dividend payouts on the Johannesburg Stock Exchange, declaring a final dividend of R53.60 per share. This brings the total 2026 dividend to R79.80 per share, a 23% increase year-on-year. After tax, the final dividend amounts to R42.88 per share, highlighting strong returns to shareholders.

Expanding Customer Base and Digital Growth

The bank’s active client base reached 26 million during the financial year. Personal Banking clients increased by 7% to 25.2 million, while fully banked clients grew 12% to 9.9 million, now accounting for 39% of the total base. Growth has been supported by maturing digital platforms, alongside expanded personal, business, and insurance offerings.

Revenue Drivers and Interest Trends

Capitec’s growth was supported by targeted lending strategies driven by data analytics in Personal Banking and scored lending in Business Banking. Interest income rose 2% to R9.2 billion, supported by a 7% increase in the average investment portfolio.

Share Price Momentum Remains Intact

Capitec’s operational progress continues to be reflected in its share price performance. After previously reaching an all-time high near R4,100, the stock briefly consolidated before resuming its upward trajectory. Shares have now surged to a fresh record high of R4,788, moving steadily toward the psychological R5,000 level. However we saw a steep pullback in March which sent JSE: CPI price to R4,000 where buyers stepped in. In April we’re seeing a rebound and the share price is 10% higher already, back to resuming the larger uptrend.

CPIJ Chart Weekly – MAs Keeping the Price Supported

Long-term technical indicators remain supportive, with weekly moving averages trending higher, suggesting the broader uptrend remains firmly intact. With strong earnings growth, disciplined credit management and strategic digital expansion, Capitec’s growth narrative appears to remain firmly on track.

Impact of Interest Rates

A decline in the repo rate from 7.5% to 6.75% weighed on investment yields and encouraged a shift toward floating-rate instruments. However, interest expenses fell 8% to R9.2 billion, aided by lower rates and restructuring of savings products, despite higher deposit and funding levels.

• Headline Earnings: R16.8 billion (up 23% from R13.739 billion).
• Headline Earnings per Share: Increased by 23% to 14,606 cents.
• Total Dividend per Share: 7,980 cents (up 23% from 6,510 cents).
• Return on Equity (ROE): 31%.
• Net Interest Income: R24.1 billion (up 19%).

• Active Clients: Reached 25.8 million to 26 million.
• Digital Adoption: 15.3 million app clients (up 19%).
• Business Banking: Active clients increased by 71%, with merchant turnover rising to R98.6 billion.
• Credit Impairments: Net impairment charge increased by 21% to R9.96 billion, with the credit loss ratio (CLR) rising to 8.1%.
• Net Income: Net income from banking fees and commissions grew by 19%.

• The bank reported strong growth in lending, with a 34% increase in total loan disbursements.
• Diversification into insurance, fintech (Capitec Connect), and business banking contributed to the results, with insurance growing significantly.

• A final dividend of 5,360 cents per share was declared, bringing the total dividend for the 2026 financial year to 7,980 cents per share.

ABOUT THE AUTHOR See More

Skerdian Meta

Lead Analyst

Skerdian Meta Lead Analyst. Skerdian is a professional Forex trader and a market analyst. He has been actively engaged in market analysis for the past 11 years. Before becoming our head analyst, Skerdian served as a trader and market analyst in Saxo Bank's local branch, Aksioner. Skerdian specialized in experimenting with developing models and hands-on trading. Skerdian has a masters degree in finance and investment.

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