FirstRand has posted a $2.6 billion profit for the year ended 30 June 2025, marking a 10 per cent rise on the previous year. The banking group’s performance was fuelled by stronger revenue streams across retail, commercial, and investment banking, alongside improved treasury earnings.
The bank reported headline earnings of about R45.1 billion, supported by solid growth in deposits, which rose to R2.18 trillion, and loans, which climbed to R1.75 trillion. Demand for vehicle and commercial finance provided a boost, while divisions such as First National Bank and Rand Merchant Bank played a decisive role in driving momentum.
WesBank, FirstRand’s vehicle finance arm, recorded one of its strongest performances in years, with double-digit growth reflecting both higher sales volumes and tighter credit oversight. Group Treasury also enjoyed a surge in returns, aided by more favourable currency movements and interest rate conditions.
Yet the results were not without challenges. The group booked significant provisions linked to regulatory scrutiny in the UK motor-finance market. Even with that charge, FirstRand still managed to deliver record profits, underscoring the resilience of its diversified structure and prudent risk management.
Mary Vilakazi, who became the first woman to lead FirstRand as Group Chief Executive in 2024, described the results as a clear endorsement of the bank’s strategy. She emphasised that net interest income is expected to continue growing in the mid to high single digits over the next financial year, with earnings projected to expand steadily and return on equity expected to push toward the upper end of its target range.
Beyond the headline numbers, analysts point to FirstRand’s ability to absorb regulatory pressures abroad while still expanding its core franchises at home. The bank’s measured approach to growth across Africa, favouring selective entry into key markets rather than blanket expansion, has also been seen as a stabilising factor in uncertain times.
For South Africa’s financial sector, FirstRand’s performance sets a tone. It signals that even in a subdued economic environment, well-capitalised and diversified banks can deliver strong results, manage cross-border risks, and position themselves for sustained growth.
