Capitec Boss Gerrie Fourie’s Total Salary Cut By R30 Million To R62 Million

Capitec boss Gerrie Fourie’s total remuneration has been cut by R30 million or 33% to R62 million in the 2023 financial year.

The banking group announced in its 2023 annual report that Fourie’s total remuneration is R62 million, down from R92 million in 2022.

The total remuneration consists of a guaranteed salary, which includes R16,9 million and R5,4 million in short-term incentives and R39,7 million in long-term incentives.

Andre du Plessis, Capitec’s CFO, received total remuneration of R31 million for the 2023 financial year compared to R60 million in 2022.

The banking group’s top four executives received a total of R114 million in salaries.

During the period under review, Capitec’s headline earnings increased by 15% to R9.7 billion.

Retail banking and insurance profits increased by 12% to R9.3 billion, while commercial banking profits grew by 124% to R389 million.

Net income from lending, investment and insurance operations increased by 14% to R17,2 billion (2022: R15,1 billion).

The banking group said the growth was due to the impact of growth in net loans and advances on interest income and credit life insurance income, as well as the impact of the increase in repo rates on interest income and interest expense.

At the end of February 2023, Capitec had 20.1 million active customers compared to 18.1 million in 2022.

“This provides us with the financial data of approximately one- third of the South African population,” Fourie said.

“This data allows us to understand our clients and the impact that the current deteriorating economic conditions are having on South Africans.

“Our clients expended on average 8% more on groceries and 16% more on fuel for the 2023 financial year than in the previous financial year.

“The increase in spend on groceries was tempered by the effect of clients buying more affordable products. The value of the average annual home loan debit orders increased by 20%, and the average amount of vehicle finance debit orders grew by 15%.”