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Unaudited Interim Financial Results for the 6 Months ended 30 June 2026 and Cash Dividend Declaration
NEDBANK GROUP LIMITED
(Incorporated in the Republic of South Africa)
Registration number: 1966/010630/06
JSE share code: NED
NSX share code: NBK
A2X share code: NED
ISIN: ZAE000004875
JSE alpha code: NEDI
(Nedbank Group or the group)
NEDBANK LIMITED
(Incorporated in the Republic of South Africa)
Registration number: 1951/000009/06
JSE alpha code: BINBK
UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL RESULTS FOR THE
6 MONTHS ENDED 30 JUNE 2026 AND CASH DIVIDEND DECLARATION
FINANCIAL HIGHLIGHTS
• Headline earnings of R8 405m, up by 0.1% (June 2025: R8 399m).
• Revenue of R38 235m, up by 6% (June 2025: R35 981m).
• Credit loss ratio of 95 bps (June 2025: 81 bps).
• Total operating expenses of R21 696m, up by 3% (June 2025: R21 067m).
• Cost-to-income ratio of 56.2% (June 2025: 56.9%).
• Diluted headline earnings per share of 1 803 cents, up by 2% (June 2025: 1 762 cents).
• Headline earnings per share of 1 841 cents, up by 2% (June 2025: 1 800 cents).
• Basic earnings per share of 1 830 cents, up by 16% (June 2025: 1 571 cents).
• Interim dividend of 1 052 cents per share (June 2025: 1 028 cents).
• Net asset value per share of 25 486 cents, up by 4% (June 2025: 24 522 cents).
• Common equity tier 1 ratio of 12.6% (June 2025: 13.1%).
FOCUSED EXECUTION AND GROWTH
The US–Iran war and the closure of the Strait of Hormuz weighed on the global economy in the
second quarter of 2026. Higher energy prices pushed global inflation higher, prompting a more
hawkish monetary policy stance in some markets.
The operating environment in SA during the first half of 2026 was mixed. Real GDP growth in the
first quarter surprised on the upside, while higher fuel prices drove local consumer inflation up from
a low of 3% in February and, in response, SARB's Monetary Policy Committee increased interest
rates by 25 bps in May, taking the prime lending rate up to 10.5%. Industry credit growth
strengthened modestly, with corporate credit growth accelerating off a low base, while household
credit growth improved gradually but remained constrained by affordability pressures.
SA's economic outlook continues to show encouraging signs of improvement, underpinned by a
more credible fiscal trajectory, progress on structural reforms, and recent credit rating upgrades.
Many of the country's positive prospects as an attractive investment destination remain intact
despite global uncertainties and the conflict in the Middle East.
Headline earnings (HE) for the 6 months to 30 June 2026 were flat yoy at R8.4bn, outperforming
our expectations at the start of the year. HE benefited from improving net interest income growth,
strong non-interest revenue growth and very disciplined expense management, offset by a higher
impairment charge and no further recognition of associate income from Ecobank Transnational
Incorporated (ETI) following the disposal of our investment in 2025. When excluding the ETI base
effect, HE growth was strong at 12%, reflecting a strong underlying operational performance.
Diluted HEPS increased by 2% to 1 803 cents and growth was ahead of HE growth due to the run
rate impact of the well-timed share buybacks executed in 2025. Return on equity (ROE) of 15.0%
(H1 2025: 15.2%) remained above the group's cost of equity of 14.0%. Balance sheet metrics
remained strong, supporting the declaration of an interim dividend of 1 052 cents per share.
Following the bold strategic decisions we made in 2025 to become more client-centred, unlock
growth and cross-sell opportunities, diversify earnings, and enhance productivity, benefits have
become more evident across our business clusters in the first half of 2026. In CIB, growth
momentum improved as stronger, more diversified, pipeline conversion and participation in larger
transactions supported advances growth, while trade finance and commission and fee income
benefited from strong deal flow. In BCB, investments in the new cluster and recent acquisitions
have started to deliver revenue benefits, with advances growth accelerating, commission and fees
increasing strongly, and early synergies emerging from the iKhokha and Eqstra acquisitions. In
PPB, growth and efficiency initiatives supported continued advances momentum, market share
gains in advances and deposits, very strong growth in insurance and payments, and further
productivity improvements. In NAR: SADC, strategic execution supported strong advances and NIR
growth, improved operational efficiency, and an increase in ROE.
In Q1 2026 we announced our intention to acquire a controlling interest in NCBA Group plc, a
leading East African financial services group, supporting our ambition to grow and diversify
earnings in attractive markets. The offer closed on 10 July 2026 and was accepted by shareholders
representing 79.9% of NCBA shares in issue, enabling us to achieve our targeted 66%
shareholding. Key regulatory approvals have been obtained, with the remaining approvals expected
towards the end of Q3 or early in Q4 of 2026.
We continued to make good progress on our strategic value unlocks. Digital volumes and values
increased strongly as more clients across all our businesses embraced the benefits and
convenience of digital channels. Our AI and data capabilities are delivering tangible benefits across
revenue generation, credit effectiveness, client experiences, productivity, cost optimisation, and
fraud processes. Client satisfaction metrics remained at the top end of the peer group, while the
value of the Nedbank brand increased by 16% to R24bn. Total clients increased by 4% to 8 million,
supported by growth across individuals and SMEs. Under strategic portfolio tilt, we recorded
market share gains in home loans, credit cards, wholesale term loans, and retail deposits. Our
increased focus on insurance and payments saw strong growth, with MyCover insurance gross
earned premiums increasing by 23% and digital payments NIR in PPB increasing by 15%. Lastly,
lending to clients that creates lasting positive impacts, sustainable development finance, increased
to R213bn, representing 21% of total gross loans.
Looking forward, SA GDP growth is expected to improve modestly to around 1.3% in 2026 and 1.4%
in 2027, supported by resilient consumer spending but constrained by weak business confidence,
subdued fixed investment and global energy price risks. Inflation is expected to average around
4.0% in 2026, remaining above SARB's 3% target but within its tolerance band, and the prime
lending rate is expected to increase by a further 25 bps in September 2026 before declining in
2027. Banking conditions should improve gradually, with credit growth projected to remain positive
and end the year at around 7%, although risks remain tilted to the downside.
We expect the underlying growth momentum across all our businesses to continue in H2 2026,
supporting an improvement in HE growth from the flat outcome reported in the first half. ROE is
expected to remain above 15% in 2026, heading towards 2025 levels. In the medium term, we
remain focused on delivering an ROE of around 17% in 2028, underpinned by stronger revenue
growth and continued operational efficiency gains.
I thank all our Nedbank colleagues for their contribution to the strong underlying momentum
evident in the first half of the year. We deeply value the continued trust of our clients and the
constructive engagements with investors, regulators and other stakeholders. As Nedbank, we
remain committed to using our financial expertise to do good.
Jason Quinn
Chief Executive
* Our guidance and targets are not profit forecasts and the group's joint auditors have not
reviewed or reported on them.
This short-form announcement is the responsibility of the directors.
Investment decisions should be based on consideration of the full unaudited condensed
consolidated interim financial results for the 6 months ended 30 June 2026, as this
announcement does not contain full or complete details.
The complete interim financial results are available on the JSE cloudlink at
https://senspdf.jse.co.za/documents/2026/jse/isse/NED/ie2026.pdf
and on our website at https://group.nedbank.co.za/explore-investor-relations/results-and-
reports.html
INTERIM DIVIDEND DECLARATION
Notice is given that an interim dividend of 1 052 cents per ordinary share has been declared,
payable to shareholders for the 6 months ended 30 June 2026. The dividend has been declared
from income reserves.
The dividend will be subject to a dividend withholding tax rate of 20% (applicable in SA) or 210.4
cents per ordinary share, resulting in a net dividend of 841.6 cents per ordinary share, unless the
shareholder is exempt from paying dividend tax or is entitled to a reduced rate in terms of an
applicable double-taxation agreement.
Nedbank Group's tax reference number is 9375/082/71/7 and the number of ordinary shares in
issue at the date of declaration was 477 272 628.
In line with the provisions of Strate, the electronic settlement and custody system used by JSE
Limited, the relevant dates for the dividend are as follows: Event Date
Event Date
Last day to trade (cum dividend) Tuesday, 25 August 2026
Shares commence trading (ex dividend) Wednesday, 26 August 2026
Record date (date shareholders recorded Friday, 28 August 2026
in shareholders' register)
Payment date Monday, 31 August 2026
Share certificates may not be dematerialised or rematerialised between Wednesday, 26 August
2026, and Friday, 28 August 2026, both days inclusive.
Where applicable, dividends in respect of certificated shares will be transferred electronically to
shareholders' bank accounts on the payment date. In the absence of specific mandates, the
dividend will be withheld until shareholders provide their banking information. Holders of
dematerialised shares will have their accounts credited at their participant or broker on Monday,
31 August 2026.
For and on behalf of the board
Daniel Mminele Jason Quinn
Chairperson Chief Executive
4 August 2026
Directors
AD Mminele (Chairperson) JP Quinn* (Chief Executive) MS Bomela MH Davis* (Chief Financial
Officer) N Davydova NP Dongwana OD Fortuin FR Grobler MA Hermanus DA Joshi P Langeni
(Lead Independent Director) RAG Leith L Makalima GK Njenga MC Nkuhlu* (Chief Operating
Officer) TM Nombembe S Rao S Subramoney PG Wharton-Hood
* Executive
Registered office
Nedbank 135 Rivonia Campus, 135 Rivonia Road, Sandown, Sandton, 2196
PO Box 1144, Johannesburg, 2000
group.nedbank.co.za
Equity and Debt Sponsor to Nedbank Group in SA
Nedbank Corporate and Investment Banking, a division of Nedbank Limited
Independent sponsor to Nedbank Group in SA
Tamela Holdings Proprietary Limited
Sponsor to Nedbank Group in Namibia
Old Mutual Investment Services (Namibia) Proprietary Limited
Company Secretary: Jackie Katzin
Transfer secretaries in SA
JSE Investor Services Proprietary Limited, 1 Exchange Square, Gwen Lane, Sandown, Sandton,
2196
PO Box 4844, Johannesburg, 2000, SA
Transfer secretaries in Namibia
NSX Financial Market Services, 4 Robert Mugabe Avenue, Windhoek, Namibia
PO Box 2401, Windhoek, Namibia
Date: 04-08-2026 07:05:00
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