Investec Plc, the specialist bank and wealth manager, posted a "strong" operational performance in the first half, with five of its six core businesses recording a substantial increase in earnings.
The bank, with listings in London and Johannesburg Stock Exchanges, said its strategy of growing revenue from less capital intensive, fee earning businesses has made good progress.
"Investec has delivered a strong operating performance across most of its divisions......... looking ahead there are, of course, reasons for caution, but we are encouraged by the overall levels of activity we see in our businesses." said Bernard Kantor, Managing Director of Investec.
Investec, whose principal markets are the United Kingdom, South Africa and Australia, operates in six areas namely, Asset Management, Wealth and Investment, Property Activities, Private Banking, Investment Banking and Capital Markets.
Third party assets under management grew 4.9 percent to 77.8 billion pounds ($123.9 billion).
The group's operating profit before non-operating items and goodwill rose 5.6 percent to 228.2 million pounds, with Capital Markets and Investment Banking posting a 81 percent and 59 percent rise in operating profit, respectively.
Capital Markets division benefitted from good levels of activity across the advisory and structuring businesses, while Investment Banking unit was helped by an improved performance from some of the investments held in the UK and South African portfolio.
Operating profit at Asset Management and Wealth and Investment units rose 69.1 percent and 36 percent respectively. Property Activities unit generated an increase in operating profit of 39.8 percent, the group said.
Private Banking, the group's South African division, however posted a loss of 3.9 million pounds because of low activity levels and increased impairments.
The group's net interest income grew 8.0 percent to 321.2 million pounds due to improved margins within the Private Banking division.
Investec targets a minimum tier one capital ratio of 11 percent and a total capital adequacy ratio range of 14 percent to 17 percent on a consolidated basis for each of Investec Plc and Investec Ltd.
Based on a review of the Basel III requirements, the group believes that its current capital structure and capital ratios exceed the minimum capital requirements for 2013.
Shares of Investec, a constituent of FTSE 100 index, closed Wednesday's regular trading session at 500 pence on the London Stock Exchange.