Investec sees FY profit up, helped by equities rally

JOHANNESBURG (Reuters) - South African investment bank and asset manager Investec said on Thursday full-year earnings probably rose as much as 17 percent as strong flows into its asset and wealth management arms offset unfavourable currency swings and bad debts.

Investec, whose other major markets are Britain and Australia, said pound-denominated adjusted earnings per share grew by between 14 and 17 percent in the year to end-February. Rand earnings are seen up to 34 percent higher.

Thomson Reuters Starmine Estimates expect a 25 percent increase in adjusted earnings per share.

The company said assets under management rose 13 percent to 110 billion pounds, boosting fees earned on them thanks to a rally in equity markets.

Although Investec said bad debts fell by 22 percent, they remain at elevated levels with its credit loss ratio seen at between 0.83 percent and 0.88 percent from 1.12 percent. The ratio excludes its troubled UK mortgage lender Kensington.

Lending increased by 3 percent to 18.8 billion pounds.

Investec, which is also listed in London, has in the past paid for its exposure to home loans in its offshore markets.

Investec shares were up 0.7 percent in Johannesburg, ahead of a 0.35 percent rise by the benchmark Top-40 index.

Source: http://news.yahoo.com/investec-sees-fy-profit-helped-equities-rally-085425914--sector.html

daughtry lakers trade ann arbor news ides of march elizabeth smart nick young south dakota state