Picture: Siphiwe Sibeko
JOHANNESBURG - JSE-Listed investment holding company RMB Holdings (RMH) on Friday in its results for the year to end June delivered an 11% higher dividend of 327 cents a share to its shareholders.

The company said on Friday that the group was focusing on three initiatives: diversify its income streams, optimisation of its established business and modernisation, which focuses on identifying new business, trends and technologies.

RMH last year diversified its income streams and formed RMH Property via acquisitions of a 27.5% interest in Atterbury Property Holdings Proprietary, 34.1%  in Propertuity Development Proprietary and 40% in Genesis Properties Three.

RMH would focus on the newly-created property business in identifying opportunities for both the core portfolio and specialist portfolio, it said.

The group would evaluate expanding RMH’s geographic footprint further, either independently or through the existing portfolio.

In the results, RMH reported 7% increase in normalised earnings to R8.2 billion, up from R7.7bn, while normalised earnings per share amounted to 578.5c a share, up from 542.5c.

RMH’s main interest is still its 34% investment in FirstRand.

The RMH results included the first contribution by RMH Property, which was mostly off-set by an increase in finance cost and the amortisation of a intangible asset created on acquisition.

RMH Property delivered R8 million in operating profit.

FirstRand franchises, FNB, RMB and WesBank all produced resilient operating results.

During the period FirstRand produced a good performance, despite the challenging economic climate, increasing normalised earnings by 7% and delivered a return on equity (ROE) of 23.4%


“We remain confident that both our clear strategy, in conjunction with the solid investment portfolio and underpinned by unwavering values, will allow RMH to continue delivering on its primary objective of creating sustainable, long-term value for shareholders,” the group said.

FNB increased pre-tax profits by 5% and produced an ROE of 37.4% FNB South Africa grew profits 8%, while the portfolio in the rest of Africa experienced a 32% decline in profits.

RMB increased pre-tax profits increased by 10% and an improved ROE of 26.2% was delivered while WesBank’s pre-tax profit increased 2% and it delivered a ROE of 20%