Johannesburg - Absa Group [JSE:ASA], the South African
lender majority owned by Britain’s Barclays, said on Wednesday its full-year
earnings likely rose by as much as 22%.
Absa, which is due to report results on February 10, said in
a statement it expected to report an increase of between 18% and 22% in diluted
headline earnings per share for the year to end-December.
That compares to an average forecast of a 19% increase in a
poll of 13 analysts by Thomson Reuters.
The bank did not give a reason for the expected rise in
profit. It reported a 19% increase in first-half earnings in August, as a drop
in bad debts helped lift its mainstay retail unit.
The bank has focused on reining in costs and boosting
revenue from transactions as demand for credit, particularly from corporate
clients, remains slack in Africa’s largest economy.
Shares of Absa are up about 5 % so far this year after a flat 2011, putting the share performance roughly in line with the benchmark Top 40 - (Tradeable) [JSE:J200] index.