Capitec Bank Holdings Limited (CPI) Earnings Call Transcript & Summary

Good afternoon, ladies and gentlemen, and good afternoon to the Capitec family. My name is Santie Botha and I Chair the Board of Capitec. It is my pleasure to welcome you to the 2025 Annual General Meeting of Shareholders of Capitec. Welcome to those shareholders also present here today, but as well as those ones joining virtually. During the first 6 months of calendar year 2025, the world has experienced and continue to experience major turmoil, angst and drama which in turn has reinforced a world of volatility, uncertainty, complexity and ambiguity on so many levels and across major global markets. As South Africans, we've seen no different. We were relieved with the eventual agreement of our country's budget 3.0 by the GNU.. We continue to witness the fight for survival of our Government of National Unity after just more than a year. We were spectators to an unhinged, I like to call it, overall office encounter, but we all contribute to enhancing our country's growth and potential in whatever way we can. In the world of Capitec, there is no ambiguity. The focus is crystal clear. The #1 priority is to serve our clients to the utmost of our ability. It is about building trust in our brand with metric-driven humility because ultimately, it is the scoreboard that counts. No drama, just results. Diversification of income streams is the central theme, where Capitec has transformed from starting out as a mere credit provider more than 2 decades ago to a diversified financial services group, serving more than 24 million clients today. Our world-class [ hiring ], executive team, has a razor sharp focus on fostering a client-centric culture, both and internally as well as externally by investing for the future in the constant up-skilling and re-skilling of our people in world-class technology and inclined insight-driven innovation. That is just to name an important few. The take-up and advancement of existing and brand-new digital offerings through the Capitec app ultimately results in sustainable long-term growth for all our stakeholders. Better never rest, is the mantra of Capitec, and it is prevalent in the work ethic throughout this incredible business. In March this year, we announced the retirement of our Group CEO, Gerrie Fourie after more than 11 years at the helm effective today. We also announced the appointment of Graham Lee to become the new Group CEO of Capitec with effect from tomorrow, but I will say a few words about both in my concluding remarks. Now let's start with the matters of this AGM. And Chris Otto always says speed it up chair. So, I will try. So as a quorum of members is present, we have at least three shareholders present and at least 25% of votes have been submitted on proxy. A notice of this meeting has been given in an appropriate manner, I declare this meeting properly constituted. The notice convening this meeting was distributed on the 20th of June 2025, allowing sufficient time for members to peruse the content thereof. I propose, therefore, that the notice be taken as read. The procedure for voting. This being a hybrid meeting with a virtual component, we will vote on a poll on all the resolutions proposed in the notice. Guidance on how to vote was included in the notice of this AGM and is available on the Capitec website in the Shareholder Center as well as the Computershare MeetNow registration portal, for online attendees. A copy of the guidance note on the voting procedure has also been made available at this venue, so please follow the instructions. We will open the voting on all the resolutions now to enable you to vote at your leisure, whilst I read through all the resolutions. I will allow for questions after all the resolutions have been read. Once all your questions have been dealt with at the end we will ask you to finalize your votes, close the poll and we will display the results on all the resolutions on the screens in front of you. Shareholders attending by electronic communication who wish to ask a question must select the Q&A icon. You can then either type your message in the chat box at the bottom of the messaging screen and present or if you want to engage verbally, which is new, press star 1 to raise your hand and join the queue on the web page. The moderator will test your audio first before you speak. And please speak slowly because the sound is not always that clear. The company's act requires that the audited annual financial statements, including the directors and Audit Committee reports, the report of our Social Ethics and Sustainability Committee and the remuneration report be presented to shareholders. A summary of the financial statements, and these reports are available on the Capitec website. Cora Fernandez who is here; Chairman of the Social Ethics and Sustainability Committee; is present to address any questions you might have at the end of this meeting. Gerrie Fourie our group CEO of Capitec will present an overview of Capitec's performance at the end of this AGM. So resolutions. We now move to the business of today. ordinary Resolutions 1, 2, 3. Three directors retire by rotation at this AGM and there are all three available for reelection. So everybody ready in the back. ordinary resolution #1, the reelection of Stan du Plessis as a Director of the company. Stan is an independent non-executive Director of Capitec and is the Chairman of our risk and capital management committee. He was previously the Chief Operating Officer and a professor of Economics at Stellenbosch University until 31 May 2025. He has retired from this role and has now been appointed as the CEO of STADIO Higher Education effective 1 August 2025. Stan is a specialist in macroeconomics and monetary policy and has been an adviser to the South African Reserve Bank and National Treasury on macroeconomic policy. He is the Chairman of the Bureau for Economic Research Governance Committee and is the past President of the Economic Society of South Africa. Stan was appointed to the Boards of Capitec and Capitec Bank on 25 September 2025. Stan is present. So Stan, please, will you stand? That is Stan. So please vote now. [Voting]

Ordinary resolution #2, the reelection of Cora Fernandez as a Director of the company. Cora is an independent nonexecutive director of Capitec. As already mentioned, she is the Chairman of our Social Ethics and Sustainability Committee. Cora has extensive experience and expertise in investment management and private equity. He was previously the Chief Executive of Institutional Business at Sanlam Investment Holdings, Managing Director of Sanlam Investment Management and the CEO of Sanlam Private Equity. Cora also serves on a few other listed company boards and other boards. Cora is a respected member of the Board and was appointed to Capitec's Board on 25 September 2020. Cora is present. So please, will you stand Cora. That is Cora. So please vote now. [Voting]

Ordinary resolution #3, the reelection of Piet Mouton as a Director of the company. Piet is a non-executive Director of Capitec. Piet was previously the CEO of PSG Group and serves as a non-executive Director on the Board of various companies. Piet was appointed to the Boards of Capitec and Capitec Bank on the 5th of October 2007. I don't want to say that's probably when this photo was taken. But Piet continues to demonstrate independence of mind and objectivity in decision-making. His contribution to the Board is highly valued. So Piet, the real Piet please stand up. Ordinary resolutions 4 and 5. The Board appointed two new directors, Raghu Malhotra, and Graham Lee, our Group CEO elect, during the year. Shareholders now have the opportunity to confirm their appointment. So order resolution, #4. The confirmation of the appointment of Raghu Malhotra as a Director of the company. Raghu is an independent nonexecutive Director of Capitec. He was appointed to the Board of Capitec and Capitec Bank, on 1 March 2025. Raghu is an international business, technology and finance executive with a proven track record of over three decades, driving organizational impact by elevating growth and profitability. He was integral to Mastercard global growth and innovation journey, holding senior leadership roles across multiple geographies and functions. Raghu was instrumental in the transformation of Mastercard from a product-led credit card business to a multi-rail solution-orientated technology organization. He recently retired as president of global enterprise growth at Mastercard and is now with us. So Raghu is present. So Raghu, please stand. Please vote now. [Voting]

Ordinary resolution #5, confirmation of the appointment of Graham Lee as a Director of Capitec effective tomorrow, the 19th July 2025. Graham will succeed Gerrie as Capitec's Group CEO. Graham joined Capitec Bank in 2003. He has fulfilled a number of leadership roles at Capitec in various divisions, including finance, information technology, credit, digital and data. He has over 25 years of working experience in financial and technology businesses in five different countries being Zimbabwe, the U.K., Australia, Nigeria and South Africa. Graham is present. So Graham, please stand. This is the new group CEO of Capitec as from tomorrow. So I think you should turn around again for everybody. That is Graham. So Ordinary Resolution 6 to 9 amendments were made to the company's act, some of which became effective in December 2024 in terms of the act, the members of the Social and Ethics committee must be elected by shareholders, the current members of Capitec Social Ethics and Sustainability Committee are Cora Fernandez, who is the Chair, Nadya Bhettay, Stan du Plessis; and Ismail Moola, who is our executive for risk. Shareholders now have the opportunity to confirm their membership of this committee. So ordinary resolution #6 is the reelection of Nadya Bhettay as a member of the SESCO. Nadya is present so Nadya, please stand. That is Nadya. So please vote now. [Voting]

So obviously, everybody see these, I am not -- because otherwise, we're going to be here for a long time is in our integrated annual report. Ordinary resolution #7, the reelection of Stan du Plessis as a member of the SESCO, so please vote now. [Voting]

Ordinary resolution #8, the reelection of Cora Fernandez as a member of the SESCO and Cora is obviously, the Chair. So please vote now. Then ordinary resolutio #9 is the reelection of Ismail Moola as a member of the SESCO. Ismail is present. So Ismail, please stand. Everybody can see you, that's Ismail. So please vote now. [Voting]

Ordinary resolution #10 is the reappointment of Deloitte as joint external auditor until the next AGM in 2026. Lito Nunes, Deloitte engagement partner for Capitec is present, so please vote now. [Voting]

Ordinary Resolution #11 is the reappointment of KPMG as joint external auditor until the next AGM in 2026. Gawie Kolbé KPMG's engagement partner for Capitec is present. So please vote now. [Voting]

Ordinary resolution #12. Authority to issue loss-absorbing capital securities and ordinary shares upon the occurrence of a trigger event. Please vote now. [Voting]

Ordinary resolution #13 is the general authority to issue ordinary shares for cash. Please vote now. [Voting]

Ordinary Resolutions 14 and 15 is the nonbinding endorsement of the remuneration policy and its implementation. So ordinary resolution #14, is the endorsement of the remuneration policy of Capitec. So please vote now. [Voting]

Ordinary resolution 15 is the endorsement of the implementation report of our remuneration policy. Please vote now on that as well. [Voting]

So there's 15 are our ordinary resolutions for today, and that it ends that section. Special resolutions. We have three, and we need a 75% approval on that, 75%. So special resolution #1 is the approval of the non-executive Director's fees for the financial year ending 28th February 2026. So please vote now. [Voting]

Special resolution #2 is the general authority to the company to repurchase and its subsidiaries to purchase up to 5% of the ordinary shares issued by the company. Please vote on that special resolution now. [Voting]

And then finally, special resolution #3 is the authority for the Board to authorize the company to provide financial assistance to related companies and corporations. So please vote now on that. [Voting]

So we have now concluded on all the resolutions for today at this AGM. And it's now question time. So I will now read the questions. So this is from -- hang on a minute. So I'm first going to take questions from the people in the room. We have a microphone over there and a microphone over there. So if you have a question, can you please go to the microphone and introduce yourself where you're from and then ask it, and we are here to answer your questions. So anyone in the room who would like to ask a question. That's not clear either in the report or something that you would like to know.

[indiscernible], shareholder? In 2002, I could buy a Capitec share for less than a rand, now it's trading around ZAR 3,400 a share. Have you considered a share split?

Okay. I'm going to ask Gerrie as outgoing CEO to actually answer that question because he is one of the founders since inception.

Short answer is no. The longer answer is we've probably discussed it about 6, 7, 8 years ago. But if you split the shares, all of this just more shares that you're working on and ZAR 3,400 -- if you got ZAR 3,400 a share is the same value. So look at the value that you created. So no, we're definitely not considering it.

But its accessibility to more shareholders to be able to afford to buy Capitec shares. You know a small shareholder...

You can go into easy equity, and you can do a partial share, rather than a share split.

Yes. But I mean I don't want to own 1/3 of the share. And I'm sure I'm not alone in that. Okay. Is it...

So it's not an option at the moment. If you want to discuss it further, we can do it maybe off-line as well. But I think the question has been answered.

No, absolutely. Are there going to be further questions after Gerrie's presentation.

No. So I think every shareholder should ask one question. So let's allow other shareholders...

Santie, I'm already standing here. Can I just ask a second question? Otherwise I'm going to get back to my chair and walk back to here.

Okay.

Everything seems to be about the app. And I spoke to Gerrie two years ago after the AGM about the fact that there were things you could do on the app that you cannot do an internet banking. Since then, more and more things being put on the app that are not available to people using internet banking. If you want to get a dongle for your internet banking, it's quite difficult now because very few branches have them. Are you attempting to put all clients onto cell phone banking as opposed to internet banking?

I assume it's me again. I think what is -- we've just approved this morning in the Board meeting extra $30 million. And what that is going to do, is going to take the app and put it on a tablet or on your computer. So the online security is not what it should be and it's difficult to support both. So you will have a full functionality that you've got on your app, you will have on your iPad or on your computer to make certain that you are safe and secured.

Timeline?

Probably in the next six months.

Thanks for those questions. Very probing questions. Very good. Okay. Anything else? Any other questions from people in the room? No more questions. Okay. Thank you. Now, let's have a look at some questions via text. The first question is from [indiscernible] from [indiscernible] Insight SA on behalf of various pension funds. His question is as follows. This is obviously also the first time I'm seeing this. Board diversity, sustainability expertise and remuneration alignment. Board diversity has improved but remains 64% male and 64% white with only one director holding explicit sustainability expertise. How will the nominations committee a, ensure that future Board appointments fill critical green skills gaps and b, what targeted interventions will the nominations committee implement to accelerate transformation, particularly at the board and top executive levels, given the South African socioeconomic context and Capitec's strategic ambitions in underserved markets. So clearly, I will answer that question as I chair the Directors Affairs Committee, and that's the Nominations Committee. So we have specific targets on both gender and race both from a board as well as executive management and lower levels committee that gets monitored. We have made major improvement across the board if you look at our integrated annual report, and that is something we monitor very, very closely. At executive level, there are targets. It's part of the short-term incentives of executives in terms of how we promote transformation in the business, and that's a priority in Capitec. In terms of the green skill gaps, we have training at Board level as well. In fact, we're having a training session on Tuesday, particularly on ESG across the spectrum, and this is at non-executive level. And I have to say in terms of the Social Ethics and Transformation Committee and Sustainability Committee chaired by Cora, an inordinate amount of work is done on exactly that with key measurements and targets that we look at Board level as well. So that's the first question. The second question is executive remuneration quantum and ESG misalignment. While Capitec FY '20 -- this is the question, while Capitec's FY 2025 financial performance was impressive, CEO remuneration rose nearly 60% to ZAR 104.8 million, driven by full LTI vesting and share price growth. However, ESG metrics in the LTI plan remain vague or absent. Why has Capitec not embedded specific, measurable ESG targets, for example, carbon intensity, diversity goals, financial inclusion, KPIs into long-term incentives especially in a sector where ESG is material to risk and reputation? So I'm going to start, and then I'm going to hand over just briefly to Cora. So in terms of ESG, in the nonfinancial component of our short-term incentives, there are specific targets for executives on exactly that. So in terms of targets, I think furthermore, Cora, you can maybe briefly elaborate on that.

Santie, I think we've acknowledged and we've communicated to a few shareholders that we are still in the formative years of our ESG journey, and we are focusing on disclosure. I think there are ESG targets within the LTI KRAs [indiscernible]. But I think the communication, the way we set it out in the AF, in the integrated annual report, needs to be expanded. So It's not clear. Currently, the only one that is obvious is the market conduct one.

Okay. The third question, we're still [indiscernible]. Over concentration of HEPS in STI and LTI plans. Both the STI and LTI structures rely heavily on HEPS as a primary metric. This duplication may lead to inflated reward without strategic differentiation. How does the Board justify using the same financial metric across short- and long-term plans and are there plans to introduce additional long-term strategic KPIs such as digital adoption, fraud reduction or market share in informal sectors to ensure forward-looking performance alignment. So I think important here, HEPS, Headline Earnings Per Share is really how well a business performs both in the short term as well as long term, and that has always been Capitec's scoreboard and it plays a very important role. I also think what you've seen over the last few years, we do have nonfinancial measures in the STI. And the nonstrategic measures do have strategic clear objectives across various areas. Vusi I don't know -- Vusi as Chairman of the Remuneration Committee, I don't know whether there's anything you would like to add to what I've just said.

I do not have anything else to add except we do have nonfinancial measures, and they do cover those things. We do have knowledge that from a disclosure point of view, we can improve on those matrices, but they are the -- but so in the upcoming reports, you'll see we'll disclose a bit more, but they do exist. Thank you.

Thank you, Vusi. Okay. The fourth question is another environmental question. And I actually think what will be worthwhile, as we say, in the beginning stages of our ESG journey is -- the question is about rising operational emissions versus reduction targets. So I would suggest that I'm-- clearly come and sit with us from a Sustainability Committee, and we can go through the detail because there's very specific questions about CO2 emissions that is asking about. And I think instead of having this question in front of a broad audience that we actually unpack this properly. Okay? Any other questions? Via text? There are no more questions via text. Are there any questions from incoming calls?

[Operator Instructions] Currently, there are no questions on the phone.

No questions on the phone. Okay. So if there are no further questions, we will close the poll and display the results of the votes on the screen. So can we please have a look at ordinary resolutions 1 to 5 first, please. If you are ready, Okay. Just talk amongst yourselves for one minute. I see that the hand is up. So let's just wait. Ordinary resolutions 1 to 5. Okay. Resolutions 1 to 5 all passed with the requisite majority. Then can we look at 6 to 10? Down a bit. All resolutions 6 to 10 have passed with the requisite majority. 11 to 15, all resolutions have passed with the requisite majority. Okay. Can we look at the special resolutions, the three special resolutions. Okay. So all the special resolutions have also passed with the requisite majority vote. So thank you very much to the team at the back. So ladies and gentlemen, as all our agenda items have now been dealt with. I would like to thank you all for attending our AGM and also for your interest in Capitec. I now declare the official AGM closed. But before I hand over to Gerrie. Please allow me a few extra minutes in closing. Let me start with Graham Lee, the new group CEO of Capitec, as I said, effective tomorrow. For those shareholders, that have not met Graham as yet. I'm sure you will get the opportunity to do so in the next few months. Graham will not be doing any talking today, but we'll have many opportunities as the group CEO going forward in Capitec, which is very important. Succession planning has always been viewed as an investment rather than a contingency, Graham's track record in business speaks volumes with a wealth of experience and achievements across various global markets and industries. In recent years, has been in charge of the exceptionally performing retail bank, or as it's now called Personal Banking division of Capitec. We wish Graham well in his new role as Group CEO steering the next chapter of this incredible business. Also congratulations and good wishes to Basani Maluleke. Where is Basani? Please stand up Basani, who will be taking over from Graham as executive for personal banking, best wishes Basani. Now Gerrie. Gerrie Fourie is one of the founders of Capitec and was handpicked by Michiel Le Roux 25 years ago. He has been the Group CEO of Capitec for the past 11 years. And will do his last presentation as Group CEO of Capitec today. Over the past 6-plus years, I have had the privilege to have worked with Gerrie and have observed his modus operandi first hand. He's an entrepreneur in his thinking and a phenomenal leader and CEO. His approach to business is unique and he set a very specific term from the top. And I would like to brand it as The Gerrie Fourie Top 15 on how to build a world-class business. So here it is. Number one, first and foremost, it is about client and solving in the client's best interest. Two, it is about the careful selection of an A team of fellow leaders at all layers of the business with 0 tolerance for nonperformance. Three, it's about building a pipeline of diverse and serious talent, also future talent, in brand new prospective areas. Think ahead, stay ahead. Number four, it's about getting the basics right, not [ sweating ] nonsense and not allowing any politicians inside. Integrity, is nonnegotiable. Trust is everything. Five, always living your fundamentals and building from your strength, never venturing into areas where you do not have the know-how critical skills or expertise. Six, if something new looks worthwhile, experiment first, be it in the form of a small stake, a pilot or consumer insights. Number seven, which I think is very important, know and understand enough of the detail of the business to know when even the experts or specialists talk nonsense. Never stop asking those very difficult questions. Number eight know the levers and the profit pools so that at a glance, you know when the numbers are out of sync. Nine, the involved and visible on all important matters. Show up, check in, sometimes when people don't expect you to be there. Number 10, communicate, communicate, communicate. Everyone is far and wide in the business must know and understand the essence of the business. 11, be disciplined and punctual. Meetings in Capitec start on time. and therefore, you always show up on time. 12, vision and strategy are important, but nothing is more important than decisiveness and execution excellence at speed. Everyone in the business must live that. Number 13, care deeply about everything with empathy and humility. 14, treat the business as if it's yours. And finally, 15, love the business. Love the brand, love the people in equal measures. Those 15 points make for an exceptional leader and CEO, and that is Gerrie. So for myself and everyone in the room, thank you, Gerrie, for dreaming big and for changing the lives of many South Africans for the better. Also, for sharing South Africa and the world what is possible with dedication and focus. Thank you. Over to you.

Thank you, Santie, for those nice words. Yes, it's been an incredible journey. I said to the Board this morning that the one thing was my passion was to be an entrepreneur and to build things. And my 25 years in the bank was to build and achieve what we've achieved. If I look at my presentation, I'm going to go a little bit memory lane. I'm not deviating a little bit. So I'm going to talk a little bit about the past. I'm going to go a little bit into results. And then I'm going to talk about, I think, the most important, what makes us different and then to talk about the future. But I couldn't not help to put my Michiel's favorite quote on when we started. That was at the AGM in 2003. He said Capitec will either be a small failure or huge success. Now you can judge, I don't think we are a small failure. So I'll leave that around. The other interesting quote that he said at that AGM, the share price was ZAR 6, and a shareholder asked, is the share price not too high?And Michiel's famous word says, I'm going to keep my shares. I still get that question quiet a lot. And I can tell you, I'm going to keep my shares. I think if you look at the Capitec evolution, I think it's just good to maybe spend some time, 2001 when we started. The four words that came out and that I put in [ Michiel Le ], I actually said we were a cash loaner because we were lending at 30% per month. It was actually quite incredible to think that we've actually done it. But we had a clear vision of where we're going to go and what we're going to do. We were a challenger. I think we are still -- if I look at it, I think we were crazy to say we take on the four traditional banks. And as you all know now, we're much bigger then on the -- on client numbers, 24 million, FNBs 11 million, other banks is 7 million, 8 million, but it just shows you what you can do. Getting the fundamentals right because the company has been built on fundamentals. And then everything we did in the beginning was just that financial friend of the client. I think where we are now, we are a fully diversified company. I think everyone, and I will unpack that in detail. You can probably see we're not a bank anymore. We are a financial services organization, going spanning over a wide variety of services that we provide to our clients. We're leading the financial space. If you look at our recognition and everything we've done, the way we've changed the financial services space, we can really say we are the leader. Interesting, what has happened is when we make market, we were also very functional product price, et cetera, et cetera. And what lately what's done, I think I'm getting soft, was more emotional connectivity with our clients and really connecting with your clients and then growing our client base making certain that they understand what we are standing for. It all start with your purpose. And it's interesting when we had our purpose many years ago and the start, we said we want to be the financial friend. Then we said we want to be the best bank in the world. But that was all retail based. And probably about three, four years ago, we said, but given that we're now a diversified company, what is our real purpose? What is -- what are we telling our people, where are we going and what are we going to do? And I think this actually tells really what the Capitec is all about. It's to make a meaningful difference. And I want to stand still on that word because we use it in whatever we lead and everything do. Are you making a meaningful difference? Are you making a meaningful difference in South Africa? Are you making a difference in people's lives by creating very simplistic, accessible, affordable financial solutions for our clients. That's basically what we're doing for and that's just what we're striving to do is to make a real meaningful difference in our clients' lives. Our vision, what is our vision? Where do we want to go? And it's an interesting one. It's all about trust. When we started, we had to build a brand. And if you build a brand, the two words that comes out and understanding that it's consistency and integrity. It's doing the same thing over and over and over, so your client really understand what you're doing. And for us today, everything what we're doing is about creating trust making certain our clients trust us, understand us so that they can do their financial services with ourselves. And then more importantly, as we're going, making certain we've got data. Our fundamentals, and I've said that many times, we took seven months to define what our fundamentals are simplicity, accessibility, affordability, personal experience. But every single thing that we're doing is to make certain that we actually are living those fundamentals. If you look at complex things, if you really want to know if certain -- a person can know his job is he really can take a very complex thing and actually portray it over to you in a very simplistic straightforward answer that you can actually understand it. And that's what you're doing to our client base. And I think a very good example is our point-of-sale machine that you've seen. We sent our team over to China, and they spend about three, four weeks there to go and find the best possible machine that can handle the western software. And I think everyone has seen that particular machine, the way the paper comes out, the feel of it. Then we went in and said we're going to change the whole pricing of point-of-sale machines. We've actually gone in and said, we've got two machines, the pro and the print, and we are reducing that pricing. And then the most important, everyone's got a retail shop nobody knows what is the commission rate that you actually are paying? And what did we go and do? We said, we'll be transparent, and we have fixed rates for everyone. It just shows what is our DNA, and that's what we've done six months ago. It just shows our passion for what we are doing. If you look at that vision and purpose, I want to share just our last here what we've actually done, living our purpose and our mission. [Presentation]

It's interesting. We talk about our community. We don't always talk about what we are doing in the community, but every single person in the bank gets extra three days a year leave to go and do whatever community work they can do it, they can do, they paint schools, they go and teach. There's a very famous picture of him. I don't know where it is. I'm seeing him actually sitting and giving maps but it's just our passion for our community and giving back into our core community. There's over 5,000 projects currently running in the last three months long back into our community. If I look at our journey, if I look at our journey, I'll break it up into three phases, if I look at back at the last 25 years. I think the first phase is -- and it's an interesting phrase is building a bank. We were a microlender, Nobody gave us a chance and we had to build and you build that with trust and confidence. And it's quite interesting if you look at those pictures. We actually only had two things to say that we will open a loan or give a loan in 10 minutes. And if you swipe, it's for free. We had basically nothing else to actually tell. But we're proud of what we were actually doing. And I see Raghu here, from Mastercard, I must tell that story. We -- [indiscernible] was adamant that we need to have a golden card, and all our clients will have a golden card. We went to Visa, Visa said no. Mastercard said no, but they will make a plan. And they came out and said they broke all their rules and said, but Capitec will have a golden card. 25 million, close to 25 million clients later, we're probably one of their biggest clients ever, just to think differently. I think if you look at building a brand, it's all about consistency, consistency. It's about the consistency, delivering of your products, your people, your processes, making certain that we deliver. So that first 10 years was all about building the brand and building Capitec. And it was basically in 2012 that people didn't ask anymore who is Capitec. I think the next phase for me is an interesting phase, is the first one, as we said, we need to create a unique client experience. And then we said we need to grow it side-by-side consulting. Now for the people that don't know you go into a branch, the computer is not between yourself and the client that sitting, yes. So the client and the consultant is actually looking at screens. But that is creating unique experience. But if -- because if you do, for example, an affordability assessment of the client, the client can actually see, yes your income, yes, your expenses, I can't afford it or can't afford it. It's not a computer that says no. You can see why you can't afford it. But it was completely new. Until today, I haven't seen another company that is done side-by-side consulting. In 2012, we went to go and said that our branch needs to look completely different. And you can see the branch, and I think everyone has seen the branch. And it's interesting now that was done in 2012. It's still around 2025. And whenever I go in a branch, I'm still extremely proud of the way the branch looks and portray the image of Capitec. Then probably the most important is switching to digital because what we said is our transaction volumes in our branches, were killing ourselves. We couldn't give service to our clients. And then we said we need to create an app. So the app was created in 2014. And that gives us the opportunity to really scale. Let me maybe explain it because people ask me, but you've got time and other people that's just digital, and you still believe in branches. We've got 880 branches. What has happened is we've moved 90% of our transactions, we've moved over to our app and now only 10% in the branch. But our branches are now selling and connecting with our clients. There's still 6 million clients coming into our branches every single month. And you can see it whenever we launch a product, there's an immediate take off because our 10,000 consultants understand those products and sell that into the community. So a tremendous opportunity that we've created. And today, if you ask myself, the most important thing we've got 24 million clients and our 880 branches. Then if I look at 2021 is -- that's where in 2017, we actually said we're not going to be a retail bank. We need to be a financial services organization. And as you all know by now, we've got four business units, and I will unpack the four business units. So we've diversified completely. We've also said we need to be tech-driven and cloud-driven. We were building everything ourselves. And we said we're going to be creating legacy systems. And then we brought in best of class, AWS, Microsoft, SAP, et cetera, et cetera, to build. The other big thing that we've done is because our data was everywhere. So credit had its own data, marketing and its own data, et cetera, et cetera. And now all our data is in the cloud. So if I'm looking from my data, I press my name, I get all my data, all my interactions in with the bank. That gives us power to really talk to our client and work with our particular clients. The insights that we've got out of all our data. We've expanded our leadership structure tremendously and over the last couple of years. Suddenly, there's a group ExCo. There is a retail ExCo. There's a business bank ExCo, there's a insurance ExCo, and there's a strategic initiative ExCo. So we're sitting now with a leadership -- senior leadership of about 40 to 50 people with an average age of 45. I want to explain this to you because I've never done that before the magic of Capitec of what we've done. And it's the Capitec flywheel. What makes Capitec different? The first thing is if you look at what we've done right in the beginning, we said we're going to create unique products and unique pricing for all our clients. We were the first bank that said all clients or get exactly the same products and will get exactly the same price. No differentiation, no pink card, no blue card, no golden card. Everyone gets a golden card. Everyone's pricing is exactly the same. The product is exactly the same. What is the effect of that? Client growth. And I think we all know the client growth by now. That enabled us to invest in the technology and data to really understand and support our client base. That gives us then insight into our client on how they behave and what they're doing, so that we can actually create value to themself. And the result of that is increased revenue. And with that increased revenue, we actually then plowed back into our pricing into our investing in new products. But the interesting thing is if you go and look at our per unit cost, has actually came down over the last couple of years. And that allowed us, if you look at our app, for example, we haven't increased prices on our app for the last eight years. We've just reduced our prices on our retail space and business banking, which is costing us about ZAR 600 million for the company. Why? Because of your economics of scale that we actually could create. The question is, did we create value for our clients and our stakeholders, shareholders? I think the answer is yes. Interesting enough, when you leave your office, you clean up your office and then I went through all my business plans of the bank and I had from 2003 up to 2016. And then from there, we went digital. So everything was digital. And I had the privilege to just read through all the business plans and just understanding, again, what did we say? What are we doing? And I just thought it would be good to share with yourselves if you go and look at where we were in February 2003? That was our financial results in 2003. Our net interest income, ZAR 290 million, our profit ZAR 30 million. Our cash and investments ZAR 160 million, our deposits ZAR 50 million -- ZAR 49 million. But look at the clients, 25,000 clients. Our branches 266. Our ATM only 58. And employees working for ourselves, I hope they were working for us, 1,200, 1180. 2015, and you can read yourself, but it's quite interesting to see. I think what the interesting part for me is if you look at our headline earnings, ZAR 2.5 billion. If you look at our net loans that advances, our book ZAR 32 billion. Our deposits ZAR 41 billion. And then we were sitting with clients, --6 million clients, 668 branches, 3,000, 3,500 ATMs and 10,000 people working for ourselves. Interesting amount of change. And then if I look at this year or the year that's passed our results for this year, you can see our transactional income interesting, no transactional income in 2003 and only ZAR 2.6 billion in 2015, ZAR 18 billion of transactions in 2025. Our credit side, ZAR 11 billion net loans and advances round figures, ZAR 90 billion, and our deposits staging ZAR 175 billion. Our clients, 24 million clients, our branch is 880, our ATMs, 8,800. And now there's a lot of people say we haven't got enough ATMs. The average of the other banks is 3,000. So just give you a sense of what the scale is that we work with. And then we're sitting with 17,000 people working for ourselves. So I think we can be proud of what we have achieved. I think everyone knew by now know we've grown our headline earnings last year were 30%. I think this is a couple of very interesting stats just to give you. Interesting, if you look at our net interest income, up 54% because the year before that, we have actually opened up of Ukraine and Russia, we didn't know about Putin. So we had to pull back. But you can see our net interest income up 54% but ZAR 11.9 billion. Our credit loss ratio is 7.5%, down from 8.7% in 2024. Our ROE. We figure that everyone looks at and people is going to ask me what should our ROE be? But it was at 29%. And I think we can be proud to say we're operating at this pace, and we actually are giving back to our clients to our shareholders a return of 29%. And then the most important one is 67%, close to 70% of our income is not coming from credit. It's coming from other income. So we've diversified completely away from a traditional bank, a traditional bank's credit income is plus/minus about 60%. Only plus/minus 30% of credit income is driving our income. 70% Of our income is coming from other income, and I'll unpack that as we go along. Just -- I just want to quickly show there. Again, you're seeing there, our net interest income, ZAR 11 billion. If I look at our transactional income up 17%, ZAR 14 billion. If I look at our value-added services, up 64%, ZAR 4.4 billion, our funeral ZAR 1.9 billion. And if I take out the extraordinary items in our OpEx, that was with [indiscernible] coming in and bonuses that we've paid our OpEx is up 14%. How is Capitec made up? Where is it coming from? I've explained that 24 million clients. I explained the 880 branches how important is and our ATMs. Of course, that's the heart of Capitec. That is actually driving Capitec. If I look at Personal Banking, Personal Banking contributed 45%, I'm excluding our value-added service around our strategic initiatives, and I'm excluding funeral. But ZAR 6.2 billion is coming from personal banking up 27%. If I look at our strategic initiatives, ZAR 3.2 billion. What is scary is that income was 0 five years ago. And ZAR 3.2 billion Henk is sitting there, he is driving strategic initiatives, ZAR 3.2 billion. And we're looking at funeral of insurance, insurance in totality, ZAR 3.5 billion, tremendous growth in that particular area. Business Banking, up close to ZAR 1 billion-- ZAR 700 million, and I'll unpack that, very strong growth, contributing 5%, and I believe there's a massive amount of opportunities in this particular area. And then Avafin, our international business for the people that know now, we're operating in Poland, Mexico, Czech, Latvia and Spain. Interesting, I was in Mexico now about a month ago. And you don't think how big the business has become and you walk in, and I thought I'm going to talk to about 60 people, and there was 140 people working for us in Mexico. In Avafin internationally, we've got now over 600 people working for ourselves. Myself and Henk is on our way next week, and we're going to Poland to go and look at that whole east block countries to say what opportunities there is for us in that particular area. Our client base, what is driving everything. If you look at our client base, 24 million. It's very close to 25 million. I can't give the figure. Otherwise, we can bring out a sense. I was hoping with my 25 years, I can't say you, we are at 25 million, but we are so close to it. We'll probably go through in the next month or two. 13 million people is using our app, 11 million is on a VAS. Our banking clients just over -- very close to ZAR 9 million and our business banking clients, 200,000 growing with about 15,000, 16,000 clients per month. Our retail clients are still growing with about 150,000 clients every single month. For me, that's a scary number. I've given up at ZAR 15 million to where that figure is going to go, but how do you actually optimize that particular. The one figure that I want to mention that's not on this slide is only 1.3 million clients is taking credit from ourself. And that's because how strict we are on the credit policy. What is interesting is in your high-income earners, ZAR 50,000 and more, we've got now a 15% market share. And that figure is growing, as you can see, a very strong growth of 26%. And then 51% of people in the age group between 18 and 65 has got a Capitec account. And if I look at the youth before 18, you can see there, 51% of them are actually also having a Capitec card, and that's our future clients. And then the whole emerging market or the informal business is a great opportunity for us going forward. The one big driver we've got is to move people away from cash. I hate cash. And I really would like all our shareholders here to think about to hate cash. And it's very, very simple why we hate cash if you draw ZAR 1,000 and you spend it, I don't know where you're spending it. But if you swipe, we understand what you're doing, and we can add value to your lives. So to take cash away as one of our big objectives in the bank. If I look at, what have we done? And I'm not going to unpack each one of them, but this is all our payment mechanisms that you can make use of, Capitec Pay, you've got pay wallet. You've got international payments. You've got pay to cell, scan to pay, PayShap, it's all methods that we actually use to get people to actually use electronic payments so that we can get data that we understand our clients better and we could create value. Interesting enough, 14% of our transactions are cash now. That figure was 2 years ago, 28%. Interesting, that ZAR 5.9 million is actually flat. And if you divide it by the number of clients, it's actually coming down. So a very important factor for us. What we are developing is that you will have one pay button on your app and the moment you press that we will then help you and assist you on what is the best method to pay, what is the most secure and what is the most cost-effective way to pay a particular client to assist our clients in what is the best option going forward. I think it's interesting to look at the stats on the payment space. If you look at card payments, that's what we all use card payments, the value spends ZAR 544 billion, 2.2 billion transactions that's coming through it. On Samsung Pay, Apple Pay, et cetera, et cetera, ZAR 34 billion that's been spent there, 159% up. E-commerce, driven by our Capitec Pay side up 47%, and that's ZAR 97 billion. And what for me is very interesting is to hold PayShap and pay to cell with the ability to pay something else with your cellphone number, how that is growing and making it easy for people not for people to do a proper payment to somebody else. What is interesting is 17 million of our clients are actually swiping their cards or using electronic payments side. VAS, value-added services, that is airtime, data that you actually buy. It is Lotto, its vehicle license, its bill payments, [ Harvey ] is sitting in front of me. And you can see the growth that's coming through there, up 34%, 1.4 million transactions that's come through. And I just looked at the number this morning by the end of May, we were sitting at 1.2 million transactions for 5 months, and we still got 7 to go. So you can imagine where this figure is going to look like by the end of this year. I think I've given you our market share is quite interesting is that 41% of prepaid electricity in South Africa has brought through Capitec. He goes on to his app and he buys prepaid and electricity, 41% of South Africa by via -- if you look at electricity, 27% is used as bought through Capitec. And then digital vehicle licenses, I think the best thing not to go and stand in the queue is that and for you that are worried about the ZAR 50, we've just reduced to ZAR 50 to ZAR 10 down to [ condo ] it. So you've got no excuse not to renew your license. Capitec Connect, the one that I'm extremely excited about. I think if I look at the telecommunications in totality, it's complex people, that's not on contract, don't know what they're paying for. They're special so the whole time running. So if you got this, then MTN has got a special, then Vodacom has got a special. Everyone is -- don't know what's happening. So that's what we actually said we need to disrupt that market and bring in transparency and simplicity. And you can see what we've done here is we brought out very simplistic pricing. You can see you can get a gig for ZAR 25; you can get 10 gig for ZAR 150. And I challenge you, you're going to struggle to beat those prices. What is interesting is the 1.6 million clients that's active is now just over 2 million. So a tremendous growth that's taking place in that particular area. And then petabytes, 13.4 petabytes that our clients have used. Now I don't know what a petabyte is. So I said the easiest way to explain it for the team is to tell me how many movies that is of 1.5 hours and it's 3.1 million movies for 1.5 hours. What is quite scary is in May, we've used -- our client base has used 2.5 petabytes just for the month. Now if you multiply that very quickly, it's over 30 petabytes. So that will be about 9 million to 10 million movies that you can actually watch for 1.5 hours. It just gives you a perspective. But I'm really excited about this business and where this business can grow. Insurance. I think a couple of points. As you all know, we had a 30%, 70% partnership with Sanlam where they were 30%, we're 70%. First of November, we took it completely over. So we own now 100% of our funeral plan [Technical Difficulty] 1st of November, it's actually what's scary if you think about it, is that we were running on this and 1st of November, we bring in 3 million policies straight over onto our systems to run on our system, handling the claims, handling the process and Catherine and her team has done a tremendous job making certain that we can handle that. And you can see now what's happened. That 2.6% is actually what is written on the Sanlam agreement close to 600,000 is now where we get 100% of the profits. And then life, 100,000 policies, we're selling about 15,000, 16,000 life policies per month. And what is quite interesting also disrupting that particular market, you're going to get a life policy up to ZAR 3 million it's made available to you 3, 4, 5 steps, then you've got it. And what is very insurance -- very nice and you can't see it on the screen is the client can decide is the money going to himself, to funeral, what is going to his wife, what is going to his children to make what is going to education so that he's got control of where the money is actually going the die -- the day he dies. So he is in control, making certain money as properly spent. Business Banking. As you all know, we bought Mercantile in November 2019. We actually built a rebuild business bank in totality. Unfortunately, I don't know about COVID. So COVID was a bit lazy in the first year, running COVID. But we've actually completed that rebuild. We've reduced our transactional fees, as you know, on exactly the same level as retail the first in South Africa, I think the first in the world, whereby if you pay a Capitec ZAR 1, Capitec to somebody to another bank, ZAR 2, a debit of ZAR 3, RTC ZAR 6 and drawing cash ZAR 10, business bank and retail exactly the same pricing. Interesting, that effect is close to ZAR 300 million that we've given back to our clients. What is interesting if you look at this particular graph, their profit is ZAR 700 million, they've grown even while we were building, they've grown with 33% year-on-year for the last 4, 5 years in that particular area. We've now changed our -- from building to grow. And all focus is now to grow the business banking side. So we've gone above the line. We've got teams going out to our client, both -- we're focusing on certain towns. I'm flying to Nelspruit next week Thursday. Friday, working with the business team, seeing businesspeople. But I think what we've built is very similar to what we've got in retail. All clients are treated the same. It doesn't matter how big your balance sheet is, how big your income statement is, everyone has got the same products, the same offer, the same pricing that's actually going through them. And that's all been supported by our relationship suite that is available 24/7. So if you got any problem or any questions or everything, you can either call or work with WhatsApp, working with those particular relationship clients to make certain that you get the necessary service. I'll touch on the emerging market later on, but I'm very excited because what we're doing is we're actually focusing on the small- and medium-sized businesses, we're not going to focus on the commercial businesses. We leave that to the other banks, but we're focusing on the SME side of businesses. I get this question; can we still grow? I believe we've got a very strong foundations. We've actually just built the foundations for a big portion of our businesses. I'm going to start off with our supporting functions, marketing, risk, finance, et cetera, et cetera, they are all world-class. Our data and tech world-class. They've got the foundations to have a lot of volumes. And then interesting, if you look at insurance, in total insurance, we've got about a 5% market share. In business banking, we've got a 1% market share. If I look at strategic initiatives, I think our market share can still grow there tremendously. I am looking at [indiscernible]. We probably had a 20% to 25% market share, and we should go up to a 40% market share. And then the most important thing is we look at personal banking is the tremendous potential we're sitting in that 24 million clients that we need to optimize. So if you ask me, I believe we've got tremendous foundations and a tremendous amount of opportunities to grow. I'm quickly going to share with you new solutions that we've launched and sharing with yourself what's happening. I think building trust is far as critical. We're spending a tremendous amount of time on anti-fraud and security. We've probably -- we've got about 300 to 400 people working on fraud alone. We've spent this year close to ZAR 200 million on fraud. And I'll just sit with international companies, and we for sure are leading it. But we're not winning it because as you close a gap, there's somebody else coming in. But it's very important aspect for us to actually work on us. And then for me, very important is as you're coming into the branch now you are recognized as you're coming into the branch so that when you go and sit in front of a consultant, you have really been helped. And then in-app calling and chat, I don't know who've seen it now, but you can actually now while you on your app, you can click in-app calling and you phone directly to our call center. In the past, you would have found ourselves, you don't have data, there's a drop off. Now it's for free, it's in your app and you can talk. And I think if you look at that app screen right on the left, you can see, we are on a call with you. Capitec is on the call with you because with Amazon Connect, we know exactly that it's a Capitec person talking to yourself making certain that you are secure. I've spoken about our pricing. And interesting is how you grow, but you also fall into the trap, we had 30 different pricing points, but we've reduced it to the 6, showing again how important simplicity and transparency is for ourselves. Then on credit card, accessible credit card, young people, people just starting hasn't got a credit card. They need a credit. So what have we done, we've actually created and say you're going to have credit to ZAR 600 for 3 months. You repay it over 3 months, you build up a credit history, and we're slowly growing yourself up from that particular end. It's interesting, we've given out 50,000 credit cards in 1.5 months into that particular market. We've also given for every single person that's on a credit card, you get 1 gig of data for free. So we've given out over 57 terabytes we've given away already by rewarding people on their credit card. We pay as you earn what I call cash flow lending, especially in the SME market, what you're sitting with SME, you hasn't got assets, so you need to understand is cash flow. How do you understand this cash flow? You need to look at all these inflows. Is cash that's coming in. He is -- he sees that's coming in. And if he swipes, you need to understand that and you provide lending on that. But what we are doing is now whenever there's money coming in, we agree with the client and then let's say it's 5%. We deduct 5% on any inflow so that he repays his loan. And that is the first in South Africa. We're now piloting with about 10,000 clients. And then we've created an SPV with SA home loans, whereby refinancing at ZAR 5 billion to grow our home loan book. Our home loan book was in the origin of about ZAR 3 billion to see how can we actually grow that. We're using our credit data from all credit teams plus that of them to optimize mortgages and offering mortgages into the market. And then our notice deposit, I think everyone has seen, we've launched our 7-day and 32-day deposits. In the first 6 months, we attracted ZAR 1.3 billion in savings in those particular products. And then the 2 that I think is quite exciting about [ Harvey ] promised me this morning, we're going to launch on Thursday. It's cross-border remittances, where many people can move money across. It's ZAR 100 billion market that and it's on average between 5% and 10% commission. So how do we offer value in those particular areas. And I think it's quite exciting to go into that particular market. And then if you look at Connect to actually port from a Vodacom to ourselves, it's a nightmare. And what we've now said, if you got a registered cabinet number, you will get 20% off on your data cost so that we encourage people to use their own data. Then on emerging markets, my favorite 10% quote. I think what is important is, I really believe that our unemployment rate is not 32%. I believe -- if we work the informal market, if we use all our data, we're much closer to 10% than what has been said. For me, it's not about 13% but if we want to unlock the potential in South Africa, we must grow entrepreneurs. And if you want to grow entrepreneurs, the biggest entrepreneurs that we've got currently is in the emerging market, what we call emerging market or informal market. I'm amazed working in those particular areas to see the size of the market, what is actually taking place in that particular market and how people is operating. I could tell you, numerous stories of are successful and the size of that particular market. And for what we're doing here is to say how unlock we -- how do we unlock the emerging market potential. How do we get these people point of sales? How do we actually give them very low banking fees? How do we give them banking capabilities? How do we give them credit so that they can grow their businesses and develop. And one of the stories that I can quickly tell a person bought juices for ZAR 2, he sold it for ZAR 5, then bought another case, we start financing himself. He's now employing about 3, 4 people, [indiscernible] and he is now looking at building a new spaza shop in a particular other side of Tembisa. So I believe in South Africa, we must actually focused on this particular market and grow. And we had very positive communication with the different ministers and stats SA working on this to say, how can we actually get the data and how can we actually grow this particular market. So this is a very big focus for ourselves. And I want to share this video with yourself just to get a feeling of what we're talking in the emerging markets. [Presentation]

I think if that doesn't touch you then I don't know. But you understand where our heart is, what we want to develop. It's interesting when we started the bank, 80% of the people were unbanked. Now 80% is banked in the retail base. In this particular market, 70% is unbanked. I believe we can fulfill our vision and bank the emerging market and help them to grow and develop South Africa. The question I always get is what makes us different? It's an interesting question. And I'd like to share that with yourself to say what makes us different. I think the first thing is, you can see there [indiscernible] talking to a retailer, understanding our market, working in the market. Our ExCo team was now in the last 3, 4 months, selling point of sale business accounts into the market, understand what's working and what is not working. I think the first thing that comes out, we're not a bank, we're a retailer. A retailers think client, then risk. A bank thinks risk, then client. We're a retailer. We don't think profit we think client and what value can we create for our clients. We've got -- when we develop products, we've got a 6-pager that we actually go and sit and say, you start with what is your media statement. What does the client wants to be, then you develop your product and then you go and deliver that particular product? And then in Capitec, every single thing is measured. Every single client touch point is measured. Every interaction is measured, and we create a product health score and a CSAT score by which we actually measure and understand 100% if our client is happy, yes or no. Our average now in the bank is 86%, where people are extremely happy with our service. We know exactly what is the 14% that we need to work on. And I can give you the CSAT square scores per process per product that we know and understand what we need to have. So you need to actually hand that obsession to work with your clients. The next one is the ability to deliver. We've got a very structured way of operating. We start September, October, we look at September 5 to 10 years from now. Then we look at October 1 to 3 years, then we write our business plans. We convert that into a budget. And then we've got 4 -- 3 cycles of 4 months where we make certain that we deliver on those cycles. There's very clear objectives. All the performance management is done in those cycles. And then we've got a mass management operating system, whereby we measure every single step to say, have we delivered on what we said we are going to deliver. That is part of our DNA. In very simple terms, if you move, we'll measure you. I think the other important thing is every business owner that owns a business owns an income statement has got a dedicated IT team that is supporting them to actually deliver on where we're going. And then I've said it before, I thought engineers just a person building a bridge or a road, but now we've got 750 engineers cloud data, et cetera. We don't move without engineers, making certain that we are optimally structured for engineering point of view. And it's quite scary if you look at this on delivery because I thought how do I get it over to yourself that you understand what we do. And this is actually the scale of our delivery. If you look at 2014, we did 1.1 billion transactions in 2014. In 2020, 10 billion transactions, last year, 19 billion transactions in a year to see how that graph is going, and that's the ability to scale from our IT platforms. If you look at our data, 1.5 trillion records of data a month that's coming in. 250 billion per day. It's quite scary if you think through it. If you look at the card transactions we processed in 2025, 2.2 billion. If you look at our card payments overseas, this is card payments overseas, this is not local. It's overseas internationally, as everyone, it's 15,000 every minute. People swiping. And if you look at our daily app logging, it's 19 million. What the point I'm trying to do to illustrate is if you look at our delivery side, the capability that we've built and the volumes that we actually are using. And then the data insights that we've got. People. People is everything we've got. That's the most important. What really makes Capitec is our people. If I look at it and I've spoken about how client obsessed we are, we don't see ourselves as a mature company. We see ourselves as a start-up that is obsessed with our client base, and we put client experience first. We've got a tremendous amount of energy that we want to portray. We measure people on their energy, and we embrace change and innovation, but we work as one team. And then on the ownership I hate committees. I love people that makes decisions, but they make decisions, what is best for the bank. Committees. It's just -- I'm too scared to make a decision. Somebody else is going to make us and then they move it from committee to committee, but to take ownership and to really be the CEO. And I think then the last and most important part is everyone is rewarded on the group's performance, not on that business performance, but the group, what that creates is no silos, but we work together as one big team. And I think that is important. We've said a lot about what we really want is that every single person in the bank is the CEO of what he is doing. He must own it. [Technical Difficulty] Then one that we have never shared before, lead better, leadership principles. What do we expect from our leaders. How must they behave? Where must they go? Every single leader that's been appointed in a position will go through a psychometrical test of a day making certain that the leader understands our culture and understand our leadership traits and is fit for what we want to achieve. I'm not going to unpack it, but I think it goes lead with a wine that people understand where we are going and what we are doing. I think big, innovative, execute with speed, raise the bar, challenge yourself to be better, quicker, faster for our client base. That's the DNA of the way we operate in Capitec, our CEO principles and our leadership principles. The question then comes out, what is our long-term strategy? Where are we going? What do we focus on? And maybe just -- we've developed this over the last 3, 4 years, and it's crystal clear where we want to go. The first one is focus on culture, and I think I've spoken enough about culture, client, delivery people, focusing on it so that a company can become 100 years, 200, 300 years old because if founders leave, the next generation must take over, but they must take over with a real culture in their hearts going forward. Developer ecosystem between our 4 businesses, how do you create the ecosystem to bring our 24 million clients to our business banking clients to our strategic initiative clients and how do you bring them back into insurance and you create a Capitec ecosystem with a reward system that if you're part of the Capitec family, you are rewarded for what you're doing. And that's a massive project that we're busy doing on because what is a business client looking for? He's looking for clients. We're sitting with the clients is how do we bring the clients to that particular area. Becoming a leading payment provider. Most important is, and I think everyone I stressed the importance of payments because then you understand the client, you can add value to the client. So how do we make payments easier, so we encourage people to actually pay so that we can understand clients and we can add value to clients. A single service platform, if I look at business banking is on their own system, retail is on their own system, and we're busy bringing all of that together under one system so that you can have a single view of our client. And it's going to be a 2-year project, making certain that it doesn't matter if you're a business bank or retail, you've got one system, and we can really understand who the clients are and what they are doing. Grow SMEs. That's business banking, growing the emerging markets, really unlocking that potential. And I really believe focusing on your small and medium businesses in South Africa that's not been looked after to make certain we can give them the service that we're giving in the personal service sites. Becoming a real data company, insights driven. You've seen the data that we're sitting. I believe if you look at the company going forward, tech and data is going to be critical because data is going to make certain that we can add value and we can grow the company. So that insights and also then using AI to actually optimize the experiences. AI as part of our lives. We're using it right through the organization. It's quite interesting the debates on it. Interesting we're sitting with all our products and people ask, but how does our consultants know what is happening and how can they actually service a particular client? Very easy. If a client asks a question that a consultant can't answer [Technical Difficulty] the question, AI tells, the bot tells exactly what to answer and you provide the answer to the client. We're getting -- we're handling about 4,000 calls a month via AI, handling the -- making certain they're giving the right insight to our particular clients. And then our long-term vision. This is not now I think the first couple is for the next 4, 5 years, but it's really established a global brand. [ Hank ] is looking after that. I'm going to spend a lot of time on it. But how do you build a Capitec global brand. Are we going to be a bank? Are we going to be a tech company? Are we going to be remittances? I think those are all the questions. Which countries are we going to go in. But long term, 5 years from now, where are we going? So that is our long-term strategy. On a page, crystal-clear with very strong focuses on delivering on those particular areas. Now we're getting to the end, the thank you side. I think if I start, I need to thank our clients, and you'll probably ask why we'll thank the clients. And the most I've learned in my 25 years where the bank is working with the clients. Asking them questions, asking any questions about the product, asking why they do certain things. And a lot of strategies has been developed asking your clients. It's interesting if I was out in the market and I hear the same thing 2, 3, 4 times, then I know we should do it. But really thanking them for their input and still today, giving us input where we're going. To our shareholders, yourself sitting here, we started off as a small company with a bold vision. And I think if I look at the vision that we still got, we still got a long way to go and do but thank you from your side. To the Capitec team, yes. And now I must concentrate. Yes, it was just a tremendous 25 years working with yourselves, the energy, the passion of the team. I think if you look at the team, how the team has supported us delivering on what we need to deliver. It's just incredible. I think the easiest way to explain it, it doesn't matter if the system is down, or something is wrong. There's no ask. 22nd of August 2021 or '22, we were down for 3 days. It was all. But our people worked 3, 4, 5 days nonstop without sleep. Nobody asked for over time, nobody asked for extra salary versus the passion. If you go into a branch, our consultants don't close a branch at 5. They closed a branch and the last client leaves. That is our family. Then my executive team, you are the best I think any other company in South Africa would like to have any one of you as a CEO to lead that particular company. And we're really privileged to have you to lead us, that as one team. We are at many debates, many discussions, many long hours, but it was always about solving problems and creating something unique for our clients. To the Board, Santie to you and the Board, it was a privilege working for you in the last 11 years. Thank you for the support. I actually thought this morning, everything I asked, I got. And it sounds [indiscernible] but I was just thinking and said, in 2020, COVID is happening and we cut back on the budget. And I then said to our team now we're going to grow because all other companies said, we're not going to grow. We're actually making certain that we survived. And then we grow and at it was scary that 3 years, with all the uncertainty, we invested an extra ZAR 6.8 billion. And that is what has created the 4 businesses. And I think that's that boldness that decisiveness that the Board's helped us to actually execute. So thank you very much, Santie, to the Board and Michiel and everyone that's on the board. Then to my family, my 2 sisters over here, my wife, yes, difficult part. I believe it's all about teamwork and if I look at teamwork and a marriage, I had the privilege to lead Capitec and to grow Capitec. And there was no one moment that she said no. She just took all other things away from me. All the admin, all the other things that needs to be done, so I could focus on Capitec. So Reinie from our side, thank you very much. And for the whole family, my dad is here, my biggest supporter, thank you very much. And there's our ExCo team. They're all sitting here, and if you want questions, you want answers, you can ask them directly. I'm going to leave this up so you can look at the picture and then go and ask questions. And then to Graham, he started in 2002 as my business analysis. He can't talk a word of Africa. So it is focused to get him to get to Africa. But I think if you look at a leader going forward, you need 4 things, especially running a bank or financial organization, a very good insight into tech, really understanding tech and how do you use tech to optimize the client. You need to understand data. You need to understand strategy, and you need to understand how to execute strategy. And then last, the most important passion for people. And I believe -- well, I know I believe, I know you've got all 4 of them, and it's a privilege for me to hand over the button to yourself and going to lead Capitec into the future. Thank you very much.