Investec PLC and Ltd on Friday lifted its full-year earnings guidance as topline growth continued to gain traction and impairment charges dropped significantly.

The Anglo-South African financial services company expects its adjusted earnings per share to range between 51 pence and 55p for the financial year ending March 31, up sharply from 28.9p in the prior year. The group in November forecast an increase to between 48p and 53p.

Basic earnings per share are seen ranging from between 48p to 52p, higher than 25.2p, while headline earnings per share is projected to grow to between 49p and 53p, from 26.6p.

For the 12 months, adjusted pretax operating profit is seen surging to between £642 million and £683 million, from £377.6 million.

Thanks to net inflows of £2.0 billion and positive market conditions, Investec said its Wealth & Investment business boosted funds under management by 6.6% year-on-year to £61.9 billion for the 11 months ended February 28.

It warned though that the current market volatility may hit funds under management at March 31.

Investec reassured that it has no material direct or indirect exposure to Russia or Ukraine. However, the outlook may be affected by uncertainty arising from the likely impacts of the Russian invasion of Ukraine on the global economy and financial markets, it cautioned.

Investec noted that the revenue momentum experienced in the first half of the financial year continued into the second half.

It added that expected credit loss impairment charges were ‘significantly’ lower given limited default experience and certain recoveries.

In Johannesburg, Investec PLC’s shares lost 1.4% to R 87.80 each, while its Ltd shares were down 1.1% to R 88.85 on Friday morning. In London, Investec PLC shares were down 2.6% to 447.50 pence each.

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