… lending up 25.4%
NedNamibia Holdings Limited (NNH Group) recorded a 23.7% increase in profit after tax to N$239 million for the six months ended June 2026, supported by higher lending, revenue growth and lower impairment charges.
Profit after tax increased from N$193.3 million in the corresponding period of 2025, while profit before tax rose 25.6% to N$287.7 million from N$229 million.
A major driver of the performance was a sharp expansion in lending, with loans and advances to customers increasing by 25.4% year-on-year to N$13.46 billion from N$10.73 billion.
The increase means the group added about N$2.72 billion to its loan book over the 12-month period. Deposits grew at a slower 10.8% to N$21.47 billion from N$19.38 billion.
Net interest income increased by 7.6% to N$517.6 million, while non-interest revenue rose 10.7% to N$285.4 million. The group attributed the improvement to growth in interest-earning assets and a diversified revenue base.
Credit performance also improved during the period, with impairment charges declining by 10.8% to N$31.1 million from N$34.9 million a year earlier.
At the same time, operating expenditure increased by 1.9% to N$484.2 million, significantly below income growth and helping to lift profitability.
Return on equity increased to 15.1% from 11.6% in June 2025, indicating stronger earnings relative to shareholder capital.
The group’s total assets increased by 9.1% year-on-year to N$25.52 billion from N$23.38 billion, while shareholders’ equity and non-controlling interests stood at N$3.20 billion.
Despite the strong lending growth, Nedbank Namibia maintained liquidity and capital levels above regulatory requirements. Its liquidity coverage ratio stood at 154%, while total regulatory capital amounted to N$2.57 billion.
However, the bank’s total risk-weighted capital ratio declined to 15.9% from 17.3% a year earlier, while its Tier 1 capital ratio fell to 13.4% from 14.8%. Both remained above regulatory requirements.
Digital adoption also accelerated, with digitally active clients increasing to 92% from 77% a year earlier. PayToday and Avo users increased by 62.5% to 16,849 from 10,366.
NNH Group said its first-half performance provides a foundation for further growth during the remainder of 2026, with the group focusing on deepening customer relationships, strengthening its digital capabilities and driving sustainable growth.
