Investec Limited · JSE:INL
Investec — Investor Presentation (May 2025)
43 slides from Investec's investor presentation, May 2025
Slide 1: Creating enduring worth: Investec Limited Investor Generic Presentation
Creating enduring worth Investec Limited INVESTOR GENERIC PRESENTATION May 2025 The information in this presentation relates to the year ended 31 March 2025, unless otherwise indicated.
Slide 2: Contents
Contents 01 Investec 02 03 04 05 Investec Investec Limited Investec Appendices Group at a Limited operating Limited peer glance overview fundamentals analysis 22
Slide 3: Investec Group at a glance
Investec Group at a glance 3
Slide 4: Investec Dual-Listed Company structure
Investec Dual-Listed Company structure Non-Southern African operations Southern African operations • Investec plc and Investec Limited are Investec plc Investec Ltd separate legal entities and listings, but are bound together by contractual agreements Sharing and mechanisms Agreement • Investec oper
Slide 5: Our international footprint
Our international footprint Wealth & Investment Activities Since inception, we have Private Client Banking Activities expanded through a combination of substantial organic growth and Corporate and Investment Banking Activities a series of strategic acquisitions. Corporate Advisory and Investment Act
Slide 6: One Investec
One Investec Our purpose is to create enduring worth. Our values 50+ years of Deep client partnerships, built on trust and Out of the Ordinary service, are the bedrock of our business heritage. We uphold cast-iron integrity in all our dealings, consistently displaying moral strength Two core We seek
Slide 7: Investment proposition
Investment proposition Well positioned to pursue long-term growth 1 Well capitalised and highly liquid balance sheet 2 Committed to optimising shareholder returns - managing capital dynamically and allocating it to activities that generate returns above cost of capital 3 Diversified mix of earnings
Slide 8: Fuelling a robust growth agenda
Fuelling a robust growth agenda Growth Objectives Continued execution with Accelerate and scale Further develop connected discipline to drive growth initiatives client eco-systems across optimisation of returns business units & geographies Underpinned by Deepening our entrepreneurial culture (Out of
Slide 9: Our pathway to Net Zero by 2050
Our pathway to Net Zero by 2050 Three channels of impact FY25 loan book exposure: Coal: 0.05% (down from 0.08% in FY24) 1 Meeting our fossil fuel exposure commitments Fossil fuels: 1.07%* (down from 1.90% in FY24) 2 Driving sustainable and transition finance activities Targeting £18bn by 2030 3 Infl
Slide 10: Highlights: Investec's commitment to society and the environment
Highlights: Investec’s commitment to society and the environment Commercial activity Philanthropic activity Own operations Investec Promaths We pursue diversity and strive to Prioritising the development of the mid-market sector – a crucial driver of job has supported create an environment in which
Slide 11: Overview of Investec Limited
Overview of Investec Limited 3
Slide 12: Overview of Investec Limited
Overview of Investec Limited Investec Limited is a distinctive specialist bank and investment manager with primary business in Southern Africa. We focus on delivering distinct profitable solutions for our clients in two core areas of activity, namely: Specialist Banking and Wealth & Investment Total
Slide 13: Specialist Banking
Specialist Banking We have a specialised niche offering to a select target market • Invested in our • Strong technology • Deepening our • Our growth initiatives • Maintaining cost • Maintaining sound business, and digital platforms existing client and strong franchise efficiency with capital ratios
Slide 14: Specialist Banking: Private Banking
Specialist Banking: Private Banking A full-service Private Banking offering integrated into One Place™ Ambition • To be a leading domestic and international Private Bank • High net worth individuals, high-income professionals, sophisticated investors, emerging and established entrepreneurs, and Clea
Slide 15: Specialist Banking: Corporate and Institutional Banking
Specialist Banking: Corporate and Institutional Banking Strong franchise value and leading market position in our niche markets Ambition • To be a top tier corporate and institutional bank • Mid to large size corporates (listed and unlisted), financial advisers and intermediaries, government and pub
Slide 16: Specialist Banking: Investec for Business
Specialist Banking: Investec for Business Bespoke lending offerings for working capital optimisation and business growth Ambition • Develop an integrated niche offering to our target clients Clear target market • Smaller and mid-tier corporates • Combining bespoke lending with Investec’s other trans
Slide 17: Specialist Banking: Investment Banking and Principal Investments
Specialist Banking: Investment Banking and Principal Investments Delivering holistic investment solutions to clients Investment banking Principal investment activities • Using our collective skill set to optimise capital allocation in principal Ambition • To be the leading investment bank with an in
Slide 18: Wealth & Investment SA
Wealth & Investment SA Uniquely positioned for SA HNW private clients seeking a holistic, international wealth management service Key facts* Future growth drivers Total FUM 491.3 Embed the Group's purpose and revised values within our business and to our clients % discretionary and annuity 63.0% thr
Slide 19: Group Investments overview
Bud Group Holdings (Pty) Ltd Group Investments overview • Bud Group Holdings (previously Investec Equity Partners) is an investment holding company that was born out of the Investec private equity portfolio, which was sold to Bud Group Holdings in 2016. Investec Limited (Investec) retained an intere
Slide 20: Investec Limited operating fundamentals
Investec Limited operating fundamentals 12
Slide 21: Revenue supported by resilient franchises
Revenue supported by resilient franchises Revenue mix Revenue versus expenses R’bn R’bn 100% 23.2 100% 20 20 75% 75% 12.1 50% 10 10 50% 25% 0 25% 0 0% 2021 2022 2023 2024 2025 2021 2022 2023 2024 2025 Net Interest Income (LHS) Net fees and commission income (LHS) Operating income before expected cre
Slide 22: Revenue supported by resilient franchises (cont.)
Revenue supported by resilient franchises (cont.) Impact of impairments on adjusted operating profit Contribution to adjusted operating profit R’mn 12 000 At 31 March 2025 1.6% 8.4% 10 000 8 000 6 000 Wealth & Investment Specialist Banking 4 000 Group Investment 2 000 0 90.0% 2021 2022 2023 2024 202
Slide 23: Healthy loan to deposit ratio, stable customer deposit base
Healthy loan to deposit ratio, stable customer deposit base Fully self funded from customer deposits: healthy loan to deposit ratio R'bn 500 80% 400 75% 300 • Customer deposits have grown by 24.7% (c.5.7% CAGR) 70% since March 2021 to R468.1bn at 31 March 2025 200 • Loans and advances as a percentag
Slide 24: Sound capital base and capital ratios
Sound capital base and capital ratios Total capital (R'mn) Total risk-weighted assets: lower RWA density 60 000 700 000 80% 50 000 600 000 70% 60% 500 000 40 000 50% 400 000 30 000 40% 300 000 30% 20 000 200 000 20% 10 000 100 000 10% 0 0 —% 2021 2022 2023 2024 2025 2021 2022 2023 2024 2025 Total as
Slide 25: Sound capital ratios and capital ratios (cont.)
Sound capital ratios and capital ratios (cont.) Capital ratios^ Capital ratios# 20% 18.9% IRB Scope* 17.5% 18% 31 March 2025^ 31 March 2024 16% 14.8% 13.6% Common Equity Tier 1 14.8% 13.6% 14% 12% Tier 1 ratio 16.1% 15.0% 10% 8% Total capital ratio 18.9% 17.5% 6.2% 6.2% 6% Leverage ratio ** 6.2% 6.2
Slide 26: Consistent asset growth, gearing ratios remain low
Consistent asset growth, gearing ratios remain low Total assets composition (R'bn) Gearing remains low* 800 14.0 682 646 11.8 11.9 12.0 600 10.0 8.0 400 6.5 6.0 5.6 4.0 200 2.0 0 0.0 2021 2022 2023 2024 2025 2021 2022 2023 2024 2025 Net core loans Cash and near cash balances Other assets Total geari
Slide 27: Substantial surplus liquidity
Substantial surplus liquidity • We maintain a high level of readily available, high quality liquid assets, targeting a Cash and near cash balances minimum cash to customer deposit ratio of 25%. Cash and near cash balances have increased significantly since 31 March 2015 (7% CAGR) to R184.3bn at 31 M
Slide 28: Diversified funding strategy
Diversified funding strategy • Investec’s funding consists primarily of customer deposits • Investec adopts a conservative and prudent funding strategy Conservative and prudent funding strategy 1 Maintaining a high base of high-quality liquid assets 5 Low reliance on wholesale funding 2 Diversifying
Slide 29: Exposures in a select target market
Exposures in a select target market • Credit and counterparty exposures are to a select target market: – high net worth and high-income clients – mid to large sized corporates – government, public sector bodies and institutions • We typically originate loans with the intent of holding these assets t
Slide 30: Asset quality
Asset quality Core loans and asset quality R'bn 400 369.8 4% 343.7 300 3% 3.0% 2.0% 200 2% 100 1% 0.15% (0.04)% 0 0% 2021 2022 2023 2024 2025 Net core loans and advances (LHS) Credit loss ratio (RHS) Stage 3 net of ECL as a % of net core loans subject to ECL (RHS) Credit quality metrics on core loan
Slide 31: Asset quality metrics
Asset quality metrics Provision build Gross core loans by stage R’mn R’mn 4 000 as % of 5.2% 5.9% 4.9% 2.4% 2.6% gross core 2.5% 1.8% 2.7% 3.5% 2.5% 20 000 loans 3 000 17 589 1893 15 953 2 000 1 206 1879 14 969 1 957 15 000 620 623 1 000 250 271 12 203 869 761 645 508 9 715 — 10 000 9 347 8 856 8 22
Slide 32: Credit ratings
Credit ratings Current credit ratings of Investec Limited • Investec Limited’s ratings have remained stable over many Fitch Rating years reflecting the financial soundness of the bank over a long period of time Foreign currency long-term rating BB- • Past ratings adjustments have largely been associ
Slide 33: Appendices
Appendices 25
Slide 34: Macroeconomic scenarios – 31 March 2025
Macroeconomic scenarios – 31 March 2025 Key judgements at 31 March 2025 R'bn South Africa GDP forecast The measurement of ECL requires the use of multiple economic scenarios to calculate a 6 400.0 probability weighted forward-looking estimate. These scenarios are updated at least 6 000.0 twice a yea
Slide 35: Investec Limited: salient financial features
Investec Limited: salient financial features Key financial statistics 31 March 2025 31 March 2024^ % change Operating income (R’million) 23 247 20 625 12.7 % Operating costs (R’million) 12 081 10 849 11.4 % Operating profit before goodwill and acquired intangibles (R’million) 10 685 10 009 6.8 % Hea
Slide 36: Investec Limited: income statement
Investec Limited: income statement R’million 31 March 2025 31 March 2024^ Interest income 51 236 51 459 Interest expense (37 671) (39 048) Net interest income 13 565 12 411 Fee and commission income 7 533 6 702 Fee and commission expense (949) (592) Investment income 1 821 1 086 Share of post-taxati
Slide 37: Investec Limited: balance sheet
Investec Limited: balance sheet R’million 31 March 2025 31 March 2024^ Assets Cash and balances at central banks 19 268 14 795 Loans and advances to banks 10 966 10 614 Non-sovereign and non-bank cash placements 10 100 11 035 Reverse repurchase agreements and cash collateral on securities borrowed 6
Slide 38: Investec Limited: balance sheet (cont.)
Investec Limited: balance sheet (cont.) R’million 31 March 2025 31 March 2024^ Liabilities Deposits by banks 30 778 35 786 Derivative financial instruments 17 434 16 036 Other trading liabilities 37 317 31 632 Repurchase agreements and cash collateral on securities lent 23 260 22 072 Customer accoun
Slide 39: Investec Limited: asset quality
Investec Limited: asset quality R’million 31 March 2025 31 March 2024 Gross core loans 372 492 346 452 Of which FVPL (excluding fixed rate loans) 1 456 1 540 Gross core loans to customers subject to ECL* 371 036 344 912 Stage 1 351 974 324 489 Stage 2 9 715 8 220 of which past due greater than 30 da
Slide 40: Investec Limited: capital structure and capital adequacy
Investec Limited: capital structure and capital adequacy IRB Scope* 31 March 2025^ 31 March 2024^ Common Equity Tier 1 14.8% 13.6% Tier 1 ratio 16.1% 15.0% Total capital ratio 18.9% 17.5% Risk-weighted assets (R'million) 292 814 292 179 Leverage exposure measure (R'million) 762 134 704 818 Leverage
Slide 41: Investec Limited: capital structure and capital adequacy (cont.)
Investec Limited: capital structure and capital adequacy (cont.) IRB Scope* R’million 31 March 2025^ 31 March 2024^ Shareholders’ equity 50 759 48 504 Shareholders’ equity per balance sheet 53 210 50 955 Perpetual preference share capital and share premium (2 451) (2 451) Non-controlling interests —
Slide 42: Sustainability highlights (Investec Limited)
Sustainability highlights (Investec Limited) Operate responsibly, finance and invest in a sustainable future and maintain our competitive sustainability position PROGRESS MADE ON OUR IMPACT SDGs Net-zero commitments Equality commitments 45% women and Recognised as Africa’s best Commitment to have 4
Slide 43: Investec Group's sustainability awards and recognition
Investec Group’s sustainability awards and recognition INSEAD Alumni PWM Global Private 2025 Euromoney Balance in Business Banking Awards awards Awards 2024 2022 & 2023 For a third consecutive year, Recognised as Africa’s best Awarded best FTSE 250 Ranked 1st for Best Investec has been recognised fo