FirstRand Namibia Ltd
(Incorporated in the Republic of Namibia)
(Registration number: 88/024)
ISIN: NA0003475176 | Share Code (NSX): FNB
(“FirstRand Namibia Ltd” or “the Company”)


Consolidated group reviewed results and cash dividend for the period ended 31 December 2025

Financial Statistics

                                               %       31 December    31 December          30 June
                                             change            2025           2024           2025
                                                           reviewed       reviewed         audited
 Headline earnings per share (cents)           15.5          399.3            345.7          714.5
 Basic earnings per share (cents)              15.5          399.9           346.2           715.8
 Ordinary dividends per share (cents)          15.3         221.77          192.32          476.34
 Net asset value (NAV) (cents)                 11.9          2 792           2 495           2 671


 Return on equity (%)                            0.6           30.2            29.6           28.6
 Cost to income ratio (%)                        0.9           47.4            46.5           46.2
 Credit loss ratio (%)                         (0.3)            0.4             0.7            1.3

 Headline earnings (N$ million)                15.2           1 066             925          1 908
 Advances (net of credit impairments)
 (N$ million)                                   6.6         41 934           39 352         39 222
 Deposits (N$ million)                          4.0         49 804           47 881         45 604
 Total capital adequacy ratio
 (consolidated group) (%)                       1.2            20.3            19.1           20.3

Group financial performance

For the six months ending 31 December 2025, FirstRand Namibia achieved a profit of N$1 068 million
(compared to N$926 million in 2024), resulting in headline earnings of N$1 066 million (2024: N$925
million). Return on equity increased to 30.2% (2024: 29.6%).

Interest income came under pressure, declining by 7.2% to N$2 847 million (2024: N$3 069 million),
reflecting the impact of the repo rate reduction of 25 basis points and the prime-repo spread narrowing of
25 basis points over the past year. This was offset by a decrease in institutional funding for the period,
which resulted in a notable 28.8% reduction in interest expense. The lower interest rate environment, while
supportive of borrowers, does not translate into a proportional reduction in interest paid to depositors due
to the endowment effect.

The net interest margin stood at 6.3%, compared to 5.4% in the prior year, resulting in net interest income
growth of 11.2% to N$1 841 million (2024: N$1 655 million).

Impairment charges decreased year-on-year to N$173 million (2024: N$263 million), with the credit loss
ratio (CLR) and non-performing loans (NPL) ratios improving to 0.4% (2024: 0.7%) and 4.3% (2024: 6.0%).
The higher CLR in the prior year was primarily attributable to regulatory changes effective 01 April 2025,
which shortened the write-off period for non-performing loans under BID2. These changes have now been
fully integrated. Loan defaults have also reduced during the period due to a continuation of initiatives in
our credit space.

Non-interest revenue (NIR), including the insurance service result, increased by 3.9% to N$1 396 million
(2024: N$1 344 million), supported by growth in fee and card commission income, as well as higher
transaction volumes across digital and traditional channels. The group's continued focus on customer
acquisition and product innovation contributed to an expanding active customer base. NIR accounted for
45.6% of total income (2024: 49.1%), underscoring the group’s commitment to achieving a balanced and
resilient revenue mix.

Operating expenses increased by 10.4% to N$1 536 million (2024: N$1 392 million), reflecting continued
investment in digital transformation, regulatory compliance, and human capital. The cost-to-income ratio
increased marginally to 47.4% (2024: 46.5%), remaining below the 50% threshold.

Staff costs increased by 10.6%, driven by annual salary adjustments and targeted hiring to support
strategic growth areas and regulatory requirements. IT expenditure also grew, as the group prioritised
investments in technology, data analytics, and automation to enhance operational efficiency and
customer experience. Despite these investments, disciplined cost management ensured that expense
growth remained contained.

Total assets reduced year-on-year by 2.6% due to the exit of the structural ALM (Asset and Liability
Management) hedge, which took place in January 2025. Net advances grew by 6.6%, with most of the
growth taking place in RMB, driven predominantly by term loans, which grew by 58.7%. Deposit growth of
4.0% was driven by a 9.4% increase in franchise deposits from current, savings and call accounts, which
offset a reduction of 26.7% in more costly institutional funding. The growth in franchise deposits was
across the board, with Retail and Commercial seeing growth in current, savings and call accounts and
RMB seeing growth in current accounts. The group achieved a return on assets (ROA) of 3.4% (2024: 3.0%).

FirstRand Namibia maintained a strong capital position, with a capital adequacy ratio (CAR) of 20.3% as
of December 2025 (2024: 19.1%), consistently exceeding regulatory minimums. The capital base remains
well diversified, with Tier 2 capital contributing 2.1% to total capital adequacy. This robust capital
foundation supports the group’s strategy for sustainable growth and resilience.

Dividend declaration

Notice is hereby given that a final ordinary dividend (number 65) for the period ended 31 December 2025
of 221.77 cents was declared on 19 February 2026. The last day to trade shares on a cum dividend basis
will be on 13 March 2026 and the first day to trade ex-dividend will be 16 March 2026. The record date will
be 20 March 2026 and the payment date 02 April 2026.

Prospects

Namibia’s improving economic outlook is expected to benefit from key growth drivers, including improved
agricultural yields, rising uranium production, and revitalised exploration and construction, especially
within mining and infrastructure. The recent foot‑and‑mouth disease outbreak may weigh on agricultural
activity and exports, potentially moderating economic momentum. Most notably, the impending final
investment decision (FID) from global oil and gas companies has the potential to fundamentally reshape
Namibia’s investment landscape, attracting significant foreign capital, catalysing further investments, and
opening up diverse new opportunities across multiple sectors.

FirstRand Namibia is well positioned to capitalise on these positive macroeconomic trends. The group
expects that robust monetary policy and recovering consumer sentiment will support higher household
spending and stimulate private sector credit extension. Overall growth will be contingent on national GDP
trends and the eventual outcome of the oil and gas FID.
During the review period, the group delivered solid financial results. Looking ahead to the second half of
the year, growth is likely to be more restrained, partially due to the ongoing interest rate cutting cycle,
which is expected to reduce endowment and impact net interest income (NII) growth. Additionally,
comparative base effects that supported performance in the previous period are not projected to recur,
and the timing of expenses may further moderate growth.

Management remains steadfast in its commitment to sustainable, long-term growth, disciplined credit risk
management, and agile responses to evolving market dynamics. FirstRand Namibia’s strong balance
sheet, diversified product portfolio, and deep client relationships uniquely position the group to harness
emerging opportunities in the oil and gas sector.

Continued investment in digital innovation, talent development, and robust risk management will
underpin the group’s ability to navigate market changes, deliver exceptional client service, and
consistently drive sustainable growth and shareholder value.

Short form announcement

This short form announcement is the responsibility of the directors. It is only a summary of the information
contained in the reviewed condensed consolidated financial results booklet and does not contain full or
complete details. Any investment decision should be based on the full announcement accessible from
Friday,                 27           February       2026,          via            the      NSX           link
https://senspdf.jse.co.za/documents/2026/nsx/isse/fnb/fnb31dec25.pdf and also available on our
website at Financial results - FirstRand Namibia

This announcement is itself not reviewed or audited but is extracted from the reviewed information
contained in the reviewed condensed consolidated interim financial results for the period ended 31
December 2025.

By order of the Board
27 February 2026

Board of Directors: ON Shikongo (Chairperson), S Balsdon*, J Coetzee, C Dempsey (Chief Executive Officer), LD
Kapere, MJ Lubbe**, LP Smit (Chief Financial Officer), E van Zyl

* South African and Irish
** South African with Namibian Permanent Residence

Company Secretary: N Makemba
Registered office: @ Parkside, 130 Independence Avenue, P O Box 195, Windhoek, Namibia

Transfer secretary: NSX Financial Market Services (Pty) Ltd, 4 Robert Mugabe Avenue, P O Box 2401,
Windhoek, Namibia, Registration No. 93/713.

Sponsor: Cirrus Securities (Pty) Ltd, 35 Schanzen Road, Windhoek, P O Box 27, Windhoek, Namibia,
Registration No. 98/463.