Brexit doubts cut into Investec's UK banking business | Fin24
 
  • Deloitte

    The accounting firm has denied allegations of corruption related to Eskom contracts.

  • SAA Uncertainty

    What you need to know if you have a ticket or intend to buy one.

  • Michael Jordaan

    Forget Matric results - here's how to prepare your kids for jobs that don't yet exist.

Loading...

Brexit doubts cut into Investec's UK banking business

Sep 20 2019 10:50
Jan Cronje

Investec [JSE:INL] has warned of a fall in profits for the first six months of the year, citing challenging market conditions and an ongoing restructuring.  

The financial services provider put out a trading update on Friday in anticipation of its upcoming half year earnings report. Its shares were down 4.5% in early trade on the JSE. 

It said a fall in revenue and costs meant that adjusted earnings per share would fall by between 4% and 7%.

The company, which is dual listed on the Johannesburg and London stock exchanges, said that "uncertainty relating to Brexit and global trade wars" had negatively impacted its UK specialist banking business

"Interest income has been impacted by the additional liquidity required to pre-fund the exit of Irish deposits as a result of Brexit."

Its SA specialist banking business, on the other hand, was expected to report a profit, despite "weak economic growth and low business confidence."

Investec said the proposed spinoff and separate listing of Investec Asset Management was on track after approval was obtained in August. It intends to list the asset management businesses in London with a secondary inward listing on the JSE.

investec  |  investec asset management
NEXT ON FIN24X

 
 
 
 

Company Snapshot

Voting Booth

How concerned are you about ransomware attacks?

Previous results · Suggest a vote

Loading...