Capricorn expects profit dip

Capricorn Group, the parent company of Bank Windhoek and micro-lender Entrepo, has warned shareholders of a decline in earnings for the interim period ended 31 December 2025.

In a trading statement issued in compliance with Namibia Securities Exchange requirements, the group said profit after tax, earnings per share and headline earnings per share are expected to be between 10% and 15% lower than in the comparative period ended 31 December 2024.

The warning follows a strong interim performance in 2024, when profit after tax rose 28.4% to N$1.06 billion, up from N$827.6 million in the prior comparative period. That performance was accompanied by growth in earnings per share and an improved return on equity.

Capricorn attributed the weaker outlook primarily to higher credit impairment charges in both Namibia and Botswana, reflecting increased pressure on borrowers in a challenging regional economic environment. The group said the impact of Namibia’s interest rate cutting cycle has narrowed interest margins, while softer economic conditions in Botswana, driven in part by weaker diamond demand, have weighed on its Bank Gaborone operations.

The interim financial results for the period ended 31 December 2025 are expected to be released on or about 26 February 2026.