Wrap Text
Unaudited combined consolidated financial results for the year ended 31 March 2013
Investec plc and
Investec Limited
(combined results)
Unaudited combined consolidated financial results in Pounds Sterling for the year ended 31 March 2013
Salient features
31 March 2013 31 March 2012 % change
Operating profit before goodwill, acquired intangibles, non-operating items, taxation and after non-controlling interests (GBP'000) 433 170 358 625 20.8
Earnings attributable to shareholders (GBP'000) 317 491 247 527 28.3
Adjusted earnings before goodwill, acquired intangibles and non-operating items (GBP'000) 316 709 257 579 23.0
Adjusted earnings per share (pence) 37.0 31.8 16.4
Basic earnings per share (pence) 32.5 25.7 26.5
Headline earnings per share (pence) 31.9 26.8 19.0
Dividends per share (pence) 18.0 17.0 5.9
Total equity (GBP'million) 4 005 4 013 (0.2)
Third party assets under management (GBP'million) 110 678 96 776 14.4
Combined consolidated income statement
Year to 31 March
GBP'000 2013 2012
Interest income 2 131 765 2 299 925
Interest expense (1 429 239) (1 600 878)
Net interest income 702 526 699 047
Fee and commission income 1 117 551 1 013 379
Fee and commission expense (144 876) (129 145)
Investment income 182 889 174 327
Trading income arising from
customer flow 70 859 77 066
balance sheet management and other trading activities 35 398 32 204
Other operating income 42 153 65 128
Total operating income before impairment losses on loans and advances 2 006 500 1 932 006
Impairment losses on loans and advances (251 012) (325 118)
Operating income 1 755 488 1 606 888
Operating costs (1 302 929) (1 230 628)
Depreciation on operating leased assets (16 072) (28 670)
Operating profit before goodwill and acquired intangibles 436 487 347 590
Impairment of goodwill (15 175) (24 366)
Amortisation of acquired intangibles (13 313) (9 530)
Costs arising from integration of acquired subsidiaries (13 119) (17 117)
Operating profit 394 880 296 577
Non-operational costs arising from acquisition of subsidiary (1 249) (5 342)
Profit before taxation 393 631 291 235
Taxation on operating profit before goodwill (78 800) (62 907)
Taxation on acquired intangibles and acquisition/disposal/integration of subsidiaries 5 977 8 164
Profit after taxation 320 808 236 492
Operating (income)/losses attributable to non-controlling interests (3 317) 11 035
Earnings attributable to shareholders 317 491 247 527
Earnings attributable to shareholders 317 491 247 527
Impairment of goodwill 15 175 24 366
Amortisation of acquired intangibles, net of taxation 9 852 7 052
Non-operational costs arising from acquisition of subsidiary (including integration costs),
net of taxation 11 852 16 773
Preference dividends paid (39 104) (39 306)
Additional losses/(earnings) attributable to other equity holders 109 (557)
Currency hedge attributable to perpetual equity instruments 1 334 1 724
Earnings before goodwill impairment and non-operating items 316 709 257 579
Headline adjustments (44 083) (40 326)
Headline earnings 272 626 217 253
Earnings per share (pence)
Basic 32.5 25.7
Diluted 30.6 24.3
Adjusted earnings per share (pence)
Basic 37.0 31.8
Diluted 34.8 30.1
Headline earnings per share (pence)
Basic 31.9 26.8
Diluted 30.0 25.4
Number of weighted average shares (million) 856.0 809.6
Combined consolidated statement of comprehensive income
Year to 31 March
GBP'000 2013 2012
Profit after taxation 320 808 236 492
Other comprehensive income/(loss):
Fair value movements on cash flow hedges taken directly to other comprehensive income (17 144) (34 691)
Gains on realisation of available-for-sale assets recycled through the income statement (1 713) (12 891)
Fair value movements on available-for-sale assets 4 387 (312)
Foreign currency adjustments on translating foreign operations (181 135) (196 351)
Pension fund actuarial (losses)/gains (6 195) 282
Total comprehensive income/(loss) 119 008 (7 471)
Total comprehensive loss attributable to non-controlling interests (15 815) (21 798)
Total comprehensive income/(loss) attributable to ordinary shareholders 95 719 (24 979)
Total comprehensive income attributable to perpetual preferred securities 39 104 39 306
Total comprehensive income/(loss) 119 008 (7 471)
Net of taxation of GBP8.2 million (year to 31 March 2012: GBP nil).
Summarised combined consolidated statement of changes in equity
Year to 31 March
GBP'000 2013 2012
Balance at the beginning of the year 4 012 522 3 961 102
Total comprehensive income/(loss) for the year 119 008 (7 471)
Share-based payments adjustments 63 154 69 796
Dividends paid to ordinary shareholders (147 660) (134 436)
Dividends paid to perpetual preference shareholders (39 104) (39 306)
Dividends paid to non-controlling interests (230) (390)
Issue of ordinary shares 34 685 219 642
Issue of perpetual preference shares 24 263 20 638
Share issue expenses (607)
Issue of equity by subsidiaries 72
Acquisition of non-controlling interests (3 814) (483)
Non-controlling interest relating to disposal of subsidiaries 220 5 177
Movement of treasury shares (58 395) (81 212)
Balance at the end of the year 4 004 649 4 012 522
Combined consolidated balance sheet
At 31 March
GBP'000 2013 2012*
Assets
Cash and balances at central banks 1 782 447 2 593 851
Loans and advances to banks 3 129 646 2 725 347
Non-sovereign and non-bank cash placements 420 960 642 480
Reverse repurchase agreements and cash collateral on securities borrowed 2 358 672 975 992
Sovereign debt securities 4 077 217 4 067 093
Bank debt securities 1 879 105 3 081 061
Other debt securities 457 652 377 832
Derivative financial instruments 1 982 571 1 913 650
Securities arising from trading activities 931 603 640 146
Investment portfolio 960 364 890 702
Loans and advances to customers 17 484 524 17 192 208
Own originated loans and advances to customers securitised 930 449 1 034 174
Other loans and advances 2 117 743 2 829 189
Other securitised assets 2 882 592 3 101 422
Interests in associated undertakings 27 950 27 506
Deferred taxation assets 165 457 150 381
Other assets 1 960 438 1 802 121
Property and equipment 126 538 171 685
Investment properties 451 975 407 295
Goodwill 466 906 468 320
Intangible assets 178 567 192 099
44 773 376 45 284 554
Other financial instruments at fair value through profit or loss in respect of liabilities to customers 6 226 142 6 265 846
50 999 518 51 550 400
Liabilities
Deposits by banks 2 976 464 2 967 428
Derivative financial instruments 1 443 325 1 421 130
Other trading liabilities 851 939 612 884
Repurchase agreements and cash collateral on securities lent 1 940 158 1 864 137
Customer accounts (deposits) 24 531 838 25 343 771
Debt securities in issue 1 901 776 2 243 948
Liabilities arising on securitisation of own originated loans and advances 926 335 1 036 674
Liabilities arising on securitisation of other assets 2 237 581 2 402 043
Current taxation liabilities 210 475 209 609
Deferred taxation liabilities 109 628 102 478
Other liabilities 1 887 402 1 575 154
39 016 921 39 779 256
Liabilities to customers under investment contracts 6 224 062 6 263 913
Insurance liabilities, including unit-linked liabilities 2 080 1 933
45 243 063 46 045 102
Subordinated liabilities 1 751 806 1 492 776
46 994 869 47 537 878
Equity
Ordinary share capital 223 221
Perpetual preference share capital 153 153
Share premium 2 494 618 2 457 019
Treasury shares (89 545) (72 820)
Other reserves (93 082) 82 327
Retained income 1 412 239 1 249 515
Shareholders' equity excluding non-controlling interests 3 724 606 3 716 415
Non-controlling interests 280 043 296 107
Perpetual preferred securities issued by subsidiaries 279 041 291 769
Non-controlling interests in partially held subsidiaries 1 002 4 338
Total equity 4 004 649 4 012 522
Total liabilities and equity 50 999 518 51 550 400
* As restated for reclassifications detailed in the commentary section of this report.
Summarised combined consolidated cash flow statement
Year to 31 March
GBP'000 2013 2012
Cash inflows from operations 718 271 658 379
Increase in operating assets (4 108 809) (2 538 282)
Increase in operating liabilities 1 985 688 3 393 045
Net cash (outflow)/inflow from operating activities (1 404 850) 1 513 142
Net cash (outflow)/ inflow from investing activities (22 258) 39 560
Net cash inflow from financing activities 187 894 105 679
Effects of exchange rate changes on cash and cash equivalents (142 019) (102 563)
Net (decrease)/increase in cash and cash equivalents (1 381 233) 1 555 818
Cash and cash equivalents at the beginning of the year 4 942 806 3 386 988
Cash and cash equivalents at the end of the year 3 561 573 4 942 806
Cash and cash equivalents is defined as including cash and balances at central banks, on demand loans and advances to banks and non-sovereign and non-bank cash
placements (all of which have a maturity profile of less than three months).
Investec plc Investec Limited
(Registration number 3633621) (Registration number 1925/002833/06)
JSE code: INP JSE code: INL
ISIN: GB00B17BBQ50 ISIN: ZAE000081949
Registered office: Registered office:
2 Gresham Street 100 Grayston Drive
London, EC2V 7QP Sandown
United Kingdom Sandton, 2196
Transfer secretaries: Transfer secretaries:
Computershare Investor Services (Pty) Ltd Computershare Investor Services (Pty) Ltd
70 Marshall Street, Johannesburg, 2001 70 Marshall Street, Johannesburg, 2001
Company secretary: Company secretary:
D Miller* B Coetsee
Directors: Sir David J Prosser* (Joint Chairman), F Titi (Joint Chairman), S Koseff^(Chief Executive)
B Kantor^(Managing Director), S E Abrahams, G F O Alford*, G R Burger^, C A Carolus,
P K O Crosthwaite*, O C Dickson*, H J du Toit^, B Fried*, D Friedland**, H Fukuda OBE*, I R Kantor,
M P Malungani, P R S Thomas ^Executive *British **Appointed 01 March 2013
Sponsor: Investec Bank Limited
Segmental geographic and business analysis of operating profit before goodwill,
acquired intangibles, non-operating items, taxation and after non-controlling interests
for the year to 31 March 2013
GBP'000 UK and other Southern Africa Australia Total group
Asset Management 59 341 80 823 140 164
Wealth & Investment 33 910 16 757 50 667
Specialist Banking 51 156 187 782 3 401 242 339
Total group 144 407 285 362 3 401 433 170
Non-controlling interest equity 3 317
Operating profit 436 487
Segmental geographic and business analysis of operating profit before goodwill,
acquired intangibles, non-operating items, taxation and after non-controlling interests
for the year to 31 March 2012
GBP'000 UK and other Southern Africa Australia Total group
Asset Management 58 922 74 771 133 693
Wealth & Investment 23 268 15 453 38 721
Specialist Banking 52 880 199 212 (65 881) 186 211
Total group 135 070 289 436 (65 881) 358 625
Non-controlling interest equity (11 035)
Operating profit 347 590
Commentary
Investec plc and Investec Limited (combined results)
Unaudited combined consolidated financial results in Pounds Sterling for the year ended 31 March 2013
OVERALL GROUP PERFORMANCE
Operating profit before goodwill, acquired intangibles, non-operating items and taxation and after non-controlling interests (adjusted operating profit)
increased 20.8% to GBP433.2 million (2012: GBP358.6 million). The Asset Management and Wealth & Investment businesses reported solid results
benefiting from higher levels of average funds under management and net inflows in excess of GBP4.9 billion. The Specialist Banking business incurred
lower impairments than the prior year, whilst operating profit before impairments declined marginally.
The South African business reported an increase in operating profit of 13.4% in Rand terms benefiting from growth in revenue and fixed cost containment.
The Australian business returned to profitability as a result of a significant decline in impairments. The UK business reported results slightly ahead of the
prior year. Overall group results have been negatively impacted by the depreciation of the average Rand: Pounds Sterling exchange rate of approximately
13% over the year.
The main features of the period under review are:
- Adjusted earnings attributable to shareholders before goodwill, acquired intangibles and non-operating items increased 23.0% to GBP316.7 million
(2012: GBP257.6 million) an increase of 34.8% on a currency neutral basis.
- Adjusted earnings per share (EPS) before goodwill, acquired intangibles and non-operating items increased 16.4% from 31.8 pence to 37.0 pence an
increase of 27.7% on a currency neutral basis.
- Recurring income as a percentage of total operating income amounts to 68.6% (2012: 67.7%).
- The credit loss charge as a percentage of average gross core loans and advances has improved from 1.12% at 31 March 2012 to 0.84%.
- Third party assets under management increased 14.4% to GBP110.7 billion (2012: GBP96.8 billion) an increase of 20.6% on a currency neutral
basis.
- Customer accounts (deposits) decreased 3.2% to GBP24.5 billion (2012: GBP25.3 billion) - an increase of 3.7% on a currency neutral basis.
- Core loans and advances increased 1.0% to GBP18.4 billion (2012: GBP18.2 billion) - an increase of 8.1% on a currency neutral basis.
- The board proposes a final dividend of 10.0 pence per ordinary share equating to a full year dividend of 18.0 pence (2012: 17.0 pence) resulting in a
dividend cover based on the group's adjusted EPS before goodwill and non-operating items of 2.1 times (2012: 1.9 times), consistent with the group's
dividend policy.
BUSINESS UNIT REVIEW
The successful strategic alignment of the group towards low capital intensive businesses over the past few years has resulted in a scaleable platform from
which the group's Asset Management and Wealth Management businesses can continue to grow. These businesses have sound franchises and are well
placed to broaden their client base and maintain net inflows. Substantial effort through the One-Bank process has been made to align infrastructure and
processes and to create the appropriate platforms for future growth and development of the Specialist Bank. The focus of the bank remains on efficiency
and balance sheet optimisation, whilst growing the business organically and running down the legacy portfolios. The group has a strong core banking
franchise which it will continue to broaden and develop.
Asset Management
Asset Management increased adjusted operating profit 4.8% to GBP140.2 million (2012: GBP133.7 million) benefiting from higher average funds under
management, net inflows of GBP4.1 billion and strong growth in performance fees. Total funds under management amount to GBP69.8 billion (2012:
GBP61.6 billion).
Wealth & Investment
Wealth & Investment adjusted operating profit increased by 30.9% to GBP50.7 million (2012: GBP38.7 million) benefiting from higher average funds under
management with net inflows of GBP0.8 billion recorded. Total funds under management amount to GBP40.4 billion ( 2012: GBP34.8 billion). Williams
de Broë migrated onto the group's platforms in August 2012 and the business has been rebranded Investec Wealth & Investment. Costs relating to the
integration of the acquisition are reflected in the group's 2013 financial results. During the year, the South African business saw an increase in the conversion
of non-discretionary to discretionary client mandates attracting higher management fees.
Specialist Banking
Specialist Banking increased adjusted operating profit 30.1% to GBP242.3 million (2012: GBP186.2 million).
South Africa reported an increase in net interest due to higher lending and fixed income balances, whilst investment income was bolstered by a solid
performance from the private equity and investment properties portfolios. Net fees and commissions and trading income from customer flow have been
negatively impacted by lower activity in the corporate and institutional banking businesses.
The UK benefited from an increase in net fees and commissions in the corporate advisory business. Levels of transactional activity within the private
banking and corporate and institutional banking businesses however, remain mixed. The principal investment portfolios performed well and the division
recorded good growth in its professional and specialised lending and asset finance loan portfolios.
Australia reported a significant decrease in impairments. The professional finance franchise continues to perform well. The business also benefited from
strong growth in fees earned in the corporate advisory and corporate and specialised lending units.
Further information on key developments within each of the business units is provided in a detailed report published on the group's website:
http://www.investec.com.
FINANCIAL STATEMENT ANALYSIS
Total operating income
Total operating income increased by 3.9% to GBP2,006.5 million (2012: GBP1,932.0 million).
Net interest income increased by 0.5% to GBP702.5 million (2012: GBP699.0 million) due to growth in the lending and fixed income portfolios. This was
offset by less interest earned on the legacy portfolios which are running down, higher subordinated debt costs and a lower return on the group's liquid
asset and cash portfolio.
Net fee and commission income increased by 10.0% to GBP972.7 million (2012: GBP884.2 million). The group benefited from higher average funds under
management, solid net inflows and the acquisitions of Evolution Group plc and the NCB Group. The Specialist Banking business recorded an increase in
net fees and commissions largely due to a good performance by the corporate advisory, aviation finance and transactional banking divisions. The corporate
and institutional banking and prime broking businesses recorded lower levels of activity.
Investment income increased by 4.9% to GBP182.9 million (2012: GBP174.3 million) due to a strong performance from the South African Property
business and the group's unlisted investment portfolios. This was partially offset by lower income earned on the fixed income portfolio in the UK.
Trading income arising from customer flow decreased 8.1% to GBP70.9 million (2012:GBP77.1 million) whilst trading income arising from other trading
activities increased by 9.9% to GBP35.4 million (2012: GBP32.2 million) due to effective balance sheet management.
Other operating income includes associate income, assurance income and income earned on an operating lease portfolio acquired.
Impairment losses on loans and advances
Impairments on loans and advances decreased from GBP325.1 million to GBP251.0 million. The UK reported a moderate decrease whilst impairments in
Australia were GBP50 million lower than the prior year. The South African business reported a marginal increase in impairments in Rands.
Since 31 March 2012 the level of defaults has improved with the percentage of default loans (net of impairments but before taking collateral into account) to
core loans and advances amounting to 2.73% (2012: 3.31%). The ratio of collateral to default loans (net of impairments) remains satisfactory at 1.26 times
(2012: 1.39 times). The credit loss charge as a percentage of average gross core loans and advances has improved from 1.12% at 31 March 2012
to 0.84%.
Operating costs and depreciation
The ratio of total operating costs to total operating income amounted to 65.5% (2012:64.7%).
Total operating expenses grew by 5.9% to GBP1,302.9 million (2012: GBP1,230.6 million) as a result of the acquisitions of the Evolution Group plc, the
NCB Group and Alliance Equipment Finance.
Impairment of goodwill
The current year's goodwill impairment relates to Asset Management businesses acquired in prior years and the group's Trust businesses.
Amortisation of acquired intangibles
Amortisation of acquired intangibles relates to the Wealth & Investment business and mainly comprises amortisation of amounts attributable to client
relationships.
Costs arising from acquisitions
As anticipated in the 2012 financial year a further cost of GBP12.3 million (before tax) arose on the integration of the Evolution Group plc, and GBP2.0 million
arose on the acquisition and integration of the NCB Group.
Taxation
The effective tax rate amounts to 18.1% (2012:18.1%)
Profits attributable to non-controlling interests
Profits attributable to non-controlling interests mainly comprise GBP2.3 million relating to Euro denominated preferred securities issued by a subsidiary of
Investec plc which are reflected on the balance sheet as part of non-controlling interests. (The transaction is hedged and a forex transaction profit arising on
the hedge is reflected in operating profit before goodwill with the equal and opposite impact reflected in earnings attributable to non-controlling interests).
BALANCE SHEET ANALYSIS
Since 31 March 2012:
- Total shareholders' equity (including non-controlling interests) decreased by 0.2% to GBP4.0 billion an increase of 4.4% on a currency neutral basis.
The weakening of the closing Rand exchange rate relative to Pounds Sterling has resulted in a reduction in total equity of GBP188 million.
- Net asset value per share decreased 0.1% to 391.5 pence and net tangible asset value per share (which excludes goodwill and intangible assets)
increased by 0.4% to 318.2 pence largely as a result of the depreciation of the Rand as described above.
- The return on adjusted average shareholders' equity increased from 7.8% to 9.5%.
The group's gearing ratios remain low with core loans and advances to equity at 4.6 times (2012:4.5 times) and total assets (excluding assurance assets)
to equity at 11.2 times (2012:11.3 times).
Liquidity and funding
Diversifying Investec's funding sources has been a key element in improving the quality of the group's balance sheet and reducing its reliance on wholesale
funding. As at 31 March 2013 the group held GBP9.8 billion in cash and near cash balances (GBP 4.6 billion in Investec plc and GBP 5.2 billion in Investec
Limited) which amounted to 32.9% of its liability base. Loans and advances to customers as a percentage of customer deposits amounted to 71.3%
(2012: 67.8%).
Capital adequacy
The group met its capital adequacy targets of a minimum tier one capital ratio of 10.5% (adjusted from 11% as a consequence of Basel III) and a total
capital adequacy ratio range of 14% to 17% on a consolidated basis for each of Investec plc and Investec Limited respectively. Basel lll was implemented
on 1 January 2013 in South Africa and Australia and this had a moderate effect on capital ratios. Capital adequacy ratios remain sound in both Investec
plc and Investec Limited, as reflected in the table below.
31 Mar 2013 31 Mar 2012
Investec plc Basel II Basel II
Capital adequacy ratio 16.9% 17.5%
Tier 1 ratio 11.0% 11.6%
Investec Limited Basel III Basel II
Capital adequacy ratio 15.5% 16.1%
Tier 1 ratio 10.8% 11.6%
Credit and counterparty exposures
The group lends mainly to high net worth and high income individuals, mid to large sized corporates, public sector bodies and institutions. The majority of
the group's credit and counterparty exposures reside within its three core geographies. Net defaults on core loans and advances have decreased and are
adequately covered by collateral, as detailed in the Financial statement analysis above.
OUTLOOK
The broader economic environment continues to be volatile with a strong rally in global equity markets partially negated by weak conditions on the ground
in Europe and the UK. The South African economy also has its challenges as labour unrest and weak global demand impact on the currency and growth.
The positioning of the group, as a specialist bank and asset manager with a focus on less capital intensive businesses, leaves us well placed should market
conditions continue to improve.
On behalf of the boards of Investec plc and Investec Limited
Sir David J Prosser Fani Titi Stephen Koseff Bernard Kantor
Joint Chairman Joint Chairman Chief Executive Officer Managing Director
22 May 2013
NOTES TO THE COMMENTARY SECTION ABOVE
- PRESENTATION OF FINANCIAL INFORMATION
Investec operates under a Dual Listed Companies (DLC) structure with premium/primary listings of Investec plc on the London Stock Exchange and
Investec Limited on the JSE Limited.
In terms of the contracts constituting the DLC structure, Investec plc and Investec Limited effectively form a single economic enterprise in which the
economic and voting rights of ordinary shareholders of the companies are maintained in equilibrium relative to each other. The directors of the two
companies consider that for financial reporting purposes, the fairest presentation is achieved by combining the results and financial position of both
companies.
Accordingly, the year-end results for Investec plc and Investec Limited present the results and financial position of the combined DLC group under IFRS,
denominated in Pounds Sterling. In the commentary above, all references to Investec or the group relate to the combined DLC group comprising Investec
plc and Investec Limited.
Unless the context indicates otherwise, all comparatives included in the commentary above relate to the year ended 31 March 2012.
Amounts represented on a currency neutral basis assume that the closing exchange rates of the group's relevant exchange rates, as reflected below,
remain the same as at 31 March 2013 when compared to 31 March 2012.
- FOREIGN CURRENCY IMPACT
The group's reporting currency is Pounds Sterling. Certain of the group's operations are conducted by entities outside the UK. The results of operations
and the financial condition of the individual companies are reported in the local currencies in which they are domiciled, including Rands, Australian Dollars,
Euros and US Dollars. These results are then translated into Pounds Sterling at the applicable foreign currency exchange rates for inclusion in the group's
combined consolidated financial statements. In the case of the income statement, the weighted average rate for the relevant period is applied and, in the
case of the balance sheet, the relevant closing rate is used.
The following table sets out the movements in certain relevant exchange rates against Pounds Sterling over the period:
Year to Year to
31 Mar 2013 31 Mar 2012
Currency per GBP1.00 Close Ave Close Ave
South African Rand 13.96 13.44 12.27 11.85
Australian Dollar 1.46 1.53 1.54 1.52
Euro 1.18 1.23 1.20 1.16
Dollar 1.52 1.58 1.60 1.60
Exchange rates between local currencies and Pounds Sterling have fluctuated over the period. The most significant impact arises from the volatility of the
Rand. The average exchange rate over the period has depreciated by 13.4% and the closing rate has depreciated by 13.8% since 31 March 2012.
Accounting policies and disclosures
These unaudited combined consolidated financial results have been prepared in terms of the recognition and measurement criteria of International Financial
Reporting Standards, and the presentation and disclosure requirements of IAS 34, Interim Financial Reporting.
The accounting policies applied in the preparation of the results for the year ended 31 March 2013 are consistent with those adopted in the financial
statements for the year ended 31 March 2012. The financial results have been prepared under the supervision of Glynn Burger, the Group Risk and Finance
Director.
Balance sheet reclassifications
The group has moved warehoused assets and liabilities into other loans and advances and deposits by banks, respectively. This change arises from
simplifying the face of the balance sheet with the relevant information more appropriately detailed in the notes to the financial statements. The change has
no impact to the income statement, balance sheet (other than noted below), cash flow statement and equity.
Changes to
As previously previously
GBP'000 Restated reported reported
31 March 2012
Other loans and advances 2 829 189 1 397 477 1 431 712
Warehoused assets- Kensington warehouse funding 1 431 712 (1 431 712)
Deposits by banks 2 967 428 2 132 516 834 912
Deposits by banks- Kensington warehouse funding 834 912 (834 912)
31 March 2011
Other loans and advances 2 678 349 1 066 168 1 612 181
Warehoused assets- Kensington warehouse funding 1 612 181 (1 612 181)
Deposits by banks 2 834 435 1 858 893 975 542
Deposits by banks- Kensington warehouse funding 975 542 (975 542)
ADDITIONAL INFORMATION
Investec Asset Management Senior Management to Acquire 15% Shareholding in Investec Asset Management
As announced on 14 March 2013, The Boards of Directors of Investec have reached an agreement with Forty Two Point Two (NewCo) and the senior
management team of Investec Asset Management Limited and Investec Asset Management Holdings Pty Limited (together Investec Asset Management)
to acquire an initial 15% shareholding (the Interest) in Investec Asset Management for GBP180 million in cash. NewCo has also been granted an option
(the Option) to acquire up to a further 5% of Investec Asset Management equity over the next seven years (together with the Interest, the Transaction).
The Participants, led by Investec Asset Management Chief Executive Officer, Hendrik du Toit, comprise 40 senior management and employees of Investec
Asset Management. The option for NewCo to acquire up to a further 5% of Investec Asset Management equity over the next seven years will provide an
opportunity for wider participation amongst Investec Asset Management employees. The Transaction is conditional upon, among other things, the approval
of shareholders of Investec plc and Investec Limited at General Meetings to be convened for that purpose as well as certain regulatory approvals. Subject
to the conditions being met, completion of the Transaction is expected to take place in the third quarter of 2013.
PROVISO
- Please note that matters discussed in this announcement may contain forward looking statements which are subject to various risks and uncertainties
and other factors, including, but not limited to:
- the further development of standards and interpretations under International Financial Reporting Standards (IFRS) applicable to past, current and
future periods, evolving practices with regard to the interpretation and application of standards under IFRS.
- domestic and global economic and business conditions.
- market related risks.
- A number of these factors are beyond the group's control.
- These factors may cause the group's actual future results, performance or achievements in the markets in which it operates to differ from those
expressed or implied.
- Any forward looking statements made are based on the knowledge of the group at 22 May 2013.
- The information in the announcement for the year ended 31 March 2013, which was approved by the board of directors on 22 May 2013, does not
constitute statutory accounts as defined in Section 435 of the UK Companies Act 2006. The 31 March 2012 financial statements were filed with the
registrar and were unqualified with the audit report containing no statements in respect of sections 498(2) or 498(3) of the UK Companies Act.
- The audited financial statements and the annual report for the year ended 31 March 2013 will be posted to shareholders on 28 June 2013. These
accounts will be available on the group's website at the same date.
Investec plc
Ordinary dividend announcement
Registration number: 3633621
Share code: INP
ISIN: GB00BI7BBQ50
Declaration of dividend number: 22
In terms of the DLC structure, Investec plc shareholders who are not South African resident shareholders may receive all or part of their dividend entitlements
through dividends declared and paid by Investec plc on their ordinary shares and/or through dividends declared and paid on the SA DAN share issued by
Investec Limited.
Investec plc shareholders who are South African residents, may receive all or part of their dividend entitlements through dividends declared and paid by
Investec plc on their ordinary shares and/or through dividends declared and paid on the SA DAS share issued by Investec Limited.
Notice is hereby given that an final dividend number 22 of 10 pence (2012: 9 pence) per ordinary share has been recommended by the board in respect of
the financial year ended 31 March 2013 and payable to shareholders recorded in the members' register of the company at the close of business on Friday,
26 July 2013, which will be paid as follows:
- for non-South African resident Investec plc shareholders, through a dividend payment by Investec plc of 10 pence per ordinary share
- for South African resident shareholders of Investec plc, through a dividend payment by Investec plc of 2 pence per ordinary share and through a
dividend paid by Investec Limited, on the SA DAS share equivalent to 8 pence per ordinary share.
The relevant dates for the payment of dividend number 22 are as follows:
Last day to trade cum-dividend
On the London Stock Exchange (LSE) Tuesday, 23 July 2013
On the Johannesburg Stock Exchange (JSE) Friday, 19 July 2013
Shares commence trading ex-dividend
On the London Stock Exchange (LSE) Wednesday, 24 July 2013
On the Johannesburg Stock Exchange (JSE) Monday, 22 July 2013
Record date (on the JSE and LSE) Friday, 26 July 2013
Payment date (on the JSE and LSE) Monday, 12 August 2013
Share certificates on the South African branch register may not be dematerialised or rematerialised between Monday, 22 July 2013 and Friday, 26 July
2013, both dates inclusive, nor may transfers between the UK and SA registers take place between Monday, 22 July 2013 and Friday, 26 July 2013, both
dates inclusive.
Additional information for South African resident shareholders of Investec plc
- Shareholders registered on the South African register are advised that the distribution of 10 pence, equivalent to a gross dividend of 144 cents per share,
has been arrived at using the Rand/Pound Sterling average buy/sell forward rate, as determined at 11h00 (SA time) on Wednesday, 22 May 2013.
- Investec plc UK tax reference number: 2683967322360
- The issued ordinary share capital of Investec plc is 605 196 771 ordinary shares.
- The dividend paid by Investec plc to South African resident shareholders and the dividend paid by Investec Limited on the SA DAS share are subject
to South African Dividends Tax of 15% (subject to any available exemptions as legislated).
- No Secondary Tax on Companies (STC) Credits have been utilised in respect of this ordinary share dividend declaration
- Shareholders registered on the South African register who are exempt from the Dividends Tax will receive a gross dividend of 144 cents per share,
comprising 115.20 cents per share paid by Investec Limited on the SA DAS share and 28.80 cents per ordinary share paid by Investec plc.
- Shareholders registered on the South African register who are not exempt from paying the Dividends Tax will receive a net dividend of 122.40 cents per
share, comprising
- 97.92 cents per share paid by Investec Limited on the SA DAS share (gross dividend of 115.20 cents per share less Dividends Tax of 17.28 cents
per share) and
- 24.48 cents per share paid by Investec plc (gross dividend of 28.80 cents per share less Dividends Tax of 4.32 cents per share)
By order of the board
D Miller
Company Secretary 22 May 2013
Investec Limited
Ordinary share dividend announcement
Registration number: 1925/002833/06
Share code: INL
ISIN: ZAE000081949
Declaration of dividend number 115
Notice is hereby given that a final dividend number 115 of 144 cents (2012: 121 cents) per ordinary share has been recommended by the board in respect
of the financial year ended 31 March 2013 payable to shareholders recorded in the shareholder's register of the company at the close of business on
Friday, 02 August 2013.
The relevant dates for the payment of dividend number 115 are as follows:
Last day to trade cum-dividend Friday, 26 July 2013
Shares commence trading ex-dividend Monday, 29 July 2013
Record date Friday, 02 August 2013
Payment date Monday, 12 August 2013
The final gross dividend of 144 cents per ordinary share has been determined by converting the Investec plc distribution of 10 pence per ordinary share
into Rands using the Rand/Pounds Sterling average buy/sell forward rate at 11h00 (SA time) on Wednesday, 22 May 2013.
Share certificates may not be dematerialised or rematerialised between Monday, 29 July 2013 and Friday, 02 August 2013, both dates inclusive.
Additional information to take note of:
- The Investec Limited company tax reference number: 9800/181/71/2
- The issued ordinary share capital of Investec Limited is 279 639 164 ordinary shares.
- The dividend paid by Investec Limited is subject to South African Dividends Tax (Dividends Tax) of 15% (subject to any available exemptions as
legislated).
- No Secondary Tax on credits (STC) have been utilised in respect of this ordinary share dividend declaration.
- Shareholders who are exempt from paying the Dividends Tax will receive a gross dividend of 144 cents per ordinary share.
- Shareholders who are not exempt from paying the Dividends Tax will receive a net dividend of 122.40 cents per ordinary share (gross dividend of
144 cents per ordinary share less Dividends Tax of 21.60 cents per ordinary share).
By order of the board
B Coetsee
Company Secretary 22 May 2013
Investec plc
Preference share dividend announcement
Registration number: 3633621
Share code: INPP
ISIN: GB00B19RX541
Non-redeemable non-cumulative non-participating preference shares (preference shares)
Declaration of dividend number 14
Notice is hereby given that preference dividend number 14 has been declared for the period 01 October 2012 to 31 March 2013 amounting to
7.47945 pence per preference share payable to holders of the non-redeemable non-cumulative non-participating preference shares as recorded in the
books of the company at the close of business on Friday, 14 June 2013.
For shares trading on the Johannesburg Stock Exchange (JSE), the dividend of 7.47945 pence per preference share is equivalent to a gross dividend
of 107.49615 cents per share, which has been determined using the Rand/Pound Sterling average buy/sell forward rate as at 11h00 (SA Time) on
Wednesday, 22 May 2013.
The relevant dates relating to the payment of dividend number 14 are as follows:
Last day to trade cum-dividend
On the Channel Islands Stock Exchange (CISX) Tuesday, 11 June 2013
On the Johannesburg Stock Exchange (JSE) Friday, 07 June 2013
Shares commence trading ex-dividend
On the Channel Islands Stock Exchange (CISX) Wednesday, 12 June 2013
On the Johannesburg Stock Exchange (JSE) Monday, 10 June 2013
Record date (on the JSE and CISX) Friday, 14 June 2013
Payment date (on the JSE and CISX) Tuesday, 25 June 2013
Share certificates may not be dematerialised or rematerialised between Monday, 10 June 2013 and Friday, 14 June 2013, both dates inclusive, nor may
transfers between the UK and SA registers may take place between Monday, 10 June 2013 and Friday, 14 June 2013 both dates inclusive.
For SA resident preference shareholders, additional information to take note of:
- Investec plc tax reference number: 2683967322360
- The issued preference share capital of Investec plc is 15 081 149 preference shares.
- The dividend paid by Investec plc to South African resident shareholders is subject to South African Dividends Tax (Dividends Tax) of 15% (subject to
any available exemptions as legislated).
- No Secondary Tax on Companies (STC) credits have been utilised in respect of this preference share dividend declaration.
- The net dividend amounts to 91.37173 cents per preference share for preference shareholders liable to pay the Dividends Tax and 107.49615 cents
per preference share for preference shareholders exempt from paying the Dividends Tax.
By order of the board
D Miller
Company Secretary 22 May 2013
Investec plc
Rand denominated preference share dividend announcement
Registration number: 3633621
Share code: INPPR
ISIN: GB00B4B0Q974
Rand denominated non-redeemable, non-cumulative, non-participating perpetual preference shares (preference shares)
Declaration of dividend number 4
Notice is hereby given that preference dividend number 4 has been declared for the period 01 October 2012 to 31 March 2013 amounting to 402.64384 cents
per preference share payable to holders of the Rand denominated non-redeemable non-cumulative non-participating perpetual preference shares as
recorded in the books of the company at the close of business on Friday, 14 June 2013.
The relevant dates relating to the payment of dividend number 4 are as follows:
Last day to trade cum-dividend Friday, 07 June 2013
Shares commence trading ex-dividend Monday, 10 June 2013
Record date Friday, 14 June 2013
Payment date Tuesday, 25 June 2013
Share certificates may not be dematerialised or rematerialised between Monday, 10 June 2013 and Friday, 14 June 2013, both dates inclusive.
For SA resident preference shareholders, additional information to take note of:
- Investec plc tax reference number: 2683967322360
- The issued preference share capital of Investec plc is 2 275 940 preference shares.
- The dividend paid by Investec plc to South African resident shareholders is subject to South African Dividends Tax (Dividends Tax) of 15% (subject to
any available exemptions as legislated).
- No Secondary Tax on Companies (STC) credits have been utilised in respect of this preference share dividend declaration.
- The net dividend amounts to 342.24726 cents per preference share for preference shareholders liable to pay the Dividends Tax and 402.64384 cents
per preference share for preference shareholders exempt from paying the Dividends Tax.
By order of the board
D Miller
Company Secretary 22 May 2013
Investec Limited
Preference share dividend announcement
Registration number: 1925/002833/06
Share code: INPR
ISIN: ZAE000063814
Non-redeemable non-cumulative non-participating preference shares (preference shares)
Declaration of dividend number 17
Notice is hereby given that preference dividend number 17 has been declared for the period 01 October 2012 to 31 March 2013 amounting to
329.61696 cents per share payable to holders of the non-redeemable non-cumulative non-participating preference shares as recorded in the books of the
company at the close of business on Friday, 14 June 2013.
The relevant dates for the payment of dividend number 17 are as follows:
Last day to trade cum-dividend Friday, 07 June 2013
Shares commence trading ex-dividend Monday, 10 June 2013
Record date Friday, 14 June 2013
Payment date Tuesday, 25 June 2013
Share certificates may not be dematerialised or rematerialised between Monday, 10 June 2013 and Friday, 14 June 2013, both dates inclusive.
Additional information to take note of:
- The Investec Limited company tax reference number: 9800/181/71/2
- The issued preference share capital of Investec Limited is 32 214 499 preference shares.
- The dividend paid by Investec Limited is subject to South African Dividends Tax (Dividends Tax) of 15% (subject to any available exemptions as
legislated).
- Preference shareholders who are exempt from paying the Dividends Tax will receive a gross dividend of 329.61696 cents per preference share.
- Preference shareholders who are not exempt from paying the Dividends Tax will receive a net dividend of 323.16158 cents per preference share (gross
dividend of 329.61696 cents per preference share, having utilised Secondary Tax on Companies credits as part of the dividend equivalent to 286.58110
cents per preference share).
- The total Secondary Tax on Companies credits utilised as part of this declaration amount to R92 320 665.59.
By order of the board
B Coetsee
Company Secretary 22 May 2013
Date: 23/05/2013 08:02:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE').
The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of
the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct,
indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on,
information disseminated through SENS.