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Absa Bank Limited
Registration number: 1986/004794/06
Incorporated in the Republic of South Africa
JSE share code: ABSP, ISIN: ZAE000079810
Bond Issuer Code: BIABS, ETN Issuer Code: ABSN1 and
Hybrid Issuer Code: ABSH
(“Absa Bank” or the “Company” or “Group”)
Summary consolidated results
for the reporting period ended 31 December 2023 and
preference share dividend declaration
Empowering Africa’s tomorrow, together
...one story at a time
We are an African financial services provider, united in a We are listed on the Johannesburg Stock Exchange
clear purpose. We live our purpose through our operations in and have representative offices in Namibia, Nigeria,
our presence countries. We believe in Africa’s potential and and the United States, along with technology support
are invested in creating, nurturing and protecting wealth in the Czech Republic.
and growth on our continent. We play an integral role in the
economic lives of individuals, businesses and nations, while
leading the way to a sustainable future.
5 618 5 250 27 085 3 million 9.8 million
countries outlets* ATMs employees digitally active active customers
customers
*
Outlets include branches and sales centres.
Normalised financial results as a consequence of Barclays PLC Separation
A normalised view of the 2023 annual results is provided which adjusts for the consequences of the separation from Barclays PLC.
This view better reflects the Group’s underlying performance. IFRS Accounting Standards (referred to as IFRS throughout this
document) compliant financial results are presented as required by the Companies Act and the JSE Listings Requirements.
The normalised results are considered to be pro forma financial information in terms of the JSE Listings Requirements. The
normalised results have been prepared for illustrative purposes only and, because of their nature, may not fairly present Absa
Bank’s financial position and results of operations.
Performance overview for the period ended 31 December
Total income
2023 Increased 2.3% 2022 2023 Increased 2.2% 2022
R65 535m IFRS R64 074m R65 408m Normalised R64 016m
Normalised total income has been adjusted by R127m (2022: R58m), mainly consisting of a net interest income of R127m (2022: R58m)
Headline earnings per ordinary share
2023 Decreased 36.4% 2022 2023 Decreased 34.0% 2022
1 652.0 cents IFRS 2 598.7 cents 1 805.7 cents Normalised 2 737.9 cents
Basic earnings per ordinary share
2023 Decreased 37.3% 2022 2023 Decreased 34.1% 2022
1 583.1 cents IFRS 2 523.8 cents 1 754.6 cents Normalised 2 662.9 cents
Net asset value per ordinary share
2023 Increased 1.6% 2022 2023 Increased 2.7% 2022
20 611.8 cents IFRS 20 279.2 cents 20 085.9 cents Normalised 19 552.1 cents
Return on equity
2023 2022 2023 2022
8.2% IFRS 13.0% 9.2% Normalised 14.2%
Performance overview for the period ended 31 December
Cost-to-income ratio
2023 2022 2023 2022
61.7% IFRS 57.9% 60.3% Normalised 56.6%
Net interest margin
2023 2022 2023 2022
3.57% IFRS 3.67% 3.56% Normalised 3.67%
Dividend per preference share
2023 Increased 16.9% 2022
4 101.23286 cents IFRS 3 509.58904 cents
Loans and deposits growth Risk profile Liquidity coverage ratio Sound capital
Gross loans and advances
(Increased 4.7%)
Deposits
(Increased 7.3%)
Stage 3 loans ratio to gross
loans and advances
127.5% Common Equity
Tier 1 ratio
(2022: 129.0%)
R1 116.6bn R1 089.5bn 5.83% 11.9%
(2022: R1 066.0bn) (2022: R1 015.6bn) (2022: 4.92%) (2022: 12.5%)
Short-form statement
This short-form announcement is the responsibility of the directors of Absa The annual financial statements and auditors’ report thereon are available for
Bank Limited. It is only a summary of the information in the annual consolidated inspection at the Company’s registered office.
financial statements. Any investment decisions by shareholders should be based
Registered office
on consideration of the annual consolidated financial statements published on
7th Floor, Absa Towers West, 15 Troye Street, Johannesburg, 2001
https://www.absa.africa/absaafrica/investor-relations/annual-reports/ and
on the following JSE cloud links: Board of directors
Independent non-executive directors
https://senspdf.jse.co.za/documents/2024/jse/issh/ABSH/Bank-FYE23.pdf
S Moloko (Chairman), T Abdool-Samad, R Keanly,
https://senspdf.jse. co.za/documents/2024/jse/issb/BIABS/Bank-FYE23.pdf
N Mjoli-Mncube (Lead Independent Director), R van Wyk
While this announcement is not audited, the annual consolidated financial Executive directors
statements from which the results are derived, were audited by PwC and A Rautenbach (Chief Executive Officer)
KPMG, who expressed an unmodified opinion thereon. The full audit opinion is C Snyman (Interim Financial Director)
available at the following link https://www.absa.africa/absaafrica/investor-
relations/annual-reports/ as part of the Group’s annual consolidated financial
statements.
In compliance with the requirements of Strate, the electronic settlement and
Declaration of a final preference share dividend number 36
custody system used by the JSE Limited, the following salient dates for the
The Absa Bank preference shares have an effective coupon rate payment of the dividend are applicable:
of 70% of Absa Bank’s prevailing prime overdraft lending rate (prime rate).
Absa Bank’s current prime rate is 11.75%. Last day to trade cum dividend Tuesday, 16 April 2024
Shares commence trading ex-dividend Wednesday, 17 April 2024
Notice is hereby given that preference dividend number 36, equal to 70% of
Record date Friday, 19 April 2024
the average prime rate for 1 September 2023 to 29 February 2024, has been
declared on 11 March 2024. Payment date Monday, 22 April 2024
The dividend is payable on Monday, 22 April 2024, to shareholders of the Share certificates may not be dematerialised or rematerialised between
Absa Bank preference shares recorded in the register of members of the Wednesday, 17 April 2024 and Friday, 19 April 2024, both dates inclusive.
Company at the close of business on Friday, 19 April 2024. On Monday, 22 April 2024, the dividend will be electronically transferred to the
bank accounts of shareholders. The accounts of those shareholders who have
The directors of Absa Bank Limited confirm that the Company will satisfy the
dematerialised their shares (which are held at their participant or broker) will
solvency and liquidity test immediately after completion of the dividend
distribution and for the next 12 months. also be credited on Monday, 22 April 2024.
Based on the average prime rate, the preference dividend payable for the On behalf of the Board
period 1 September 2023 to 29 February 2024 would indicatively be N R Drutman
4 101.23286 cents per Absa Bank preference share. Company Secretary
The dividend will be subject to dividends withholding tax at a rate of 20%.
Johannesburg
In accordance with paragraphs 11.17(a)(i) to (ix) and 11.17(c) of the JSE
Listings Requirements, the following additional information is disclosed: 11 March 2024
› The dividend has been declared out of income reserves. Absa Bank is a company domiciled in South Africa. Its registered office is
› The local dividend tax rate is twenty per cent (20%). 7th Floor, Absa Towers West, 15 Troye Street, Johannesburg, 2001.
› The gross local dividend amount is 4 101.23286 cents per preference Sponsors
share for shareholders exempt from the dividend tax. Lead independent sponsor
› The net local dividend for shareholders subject to withholding tax at a rate
J. P. Morgan Equities South Africa Proprietary Limited
of 20% amounts to 3 280.98629 cents per preference share.
› Absa Bank currently has 4 944 839 preference shares in issue. Joint sponsor
› Absa Bank’s income tax reference number is 9575117719. Absa Bank (Corporate and Investment Bank)
www.absa.africa/absaafrica/investor-relations/financial-results/
