Capitec Risk Report

🛡️ Financial & Liquidity

Capitec has shown substantial financial growth over the recent period. The bank has expanded significantly and is maintaining robust financial health, as evidenced by impressive profit margins and earnings growth. However, the company also faced some financial penalties due to regulatory non-compliance.

• Capitec posted a 30% rise in annual profit 🗓 April 23, 2025.
• The bank received a R56.25 million fine from the South African Reserve Bank due to FICA non-compliance 🗓 December 26, 2024.
• Capitec's headline earnings surged by 36% during a half-year period due to exceptional growth in value-added services 🗓 October 1, 2024.

⚖️ Legal & Regulatory

Capitec has recently been involved in some legal and regulatory challenges, primarily focused on compliance with financial laws and handling criticism from short-sellers. Despite these hurdles, it remains proactive in addressing these issues.

• Capitec was involved in a legal situation where the high court authorized a regulator to impose fines on Viceroy for 'loan shark' claims 🗓 July 12, 2025.
• The South African Reserve Bank imposed a R56.25 million penalty on Capitec for non-compliance with FICA regulations 🗓 January 2, 2025.

👥 Labor & Workforce

Capitec has demonstrated a strong commitment to its workforce by significantly raising salaries, reflecting the bank's profitable standing and focus on employee satisfaction.

• The bank raised salaries such that 62% of its staff now earn over $13,000 annually, indicating a significant pay raise 🗓 April 25, 2025.

🏗️ Operational & Business Continuity

Operational challenges have surfaced with occasional service disruptions, but Capitec is actively upgrading its systems to enhance service reliability and efficiency.

• Capitec experienced a major app outage due to technical issues, affecting services temporarily 🗓 April 4, 2025.
• Service disruptions were reported amid a global cyber outage, impacting South African lenders including Capitec 🗓 July 19, 2024.