Media release: Sekunjalo posts impressive interim results Sekunjalo Investments Limited (Incorporated in the Republic of South Africa) Registration number 1996/006093/06 Share code: SKJ and ISIN: ZAE000017893 (“Sekunjalo” or “the Group” or “the Company”) MEDIA RELEASE 22 April 2014 SEKUNJALO POSTS IMPRESSIVE INTERIM RESULTS Group Revenue Up By 7% Operating Profits Increased By 18% Profit Before Taxation Up By 35% Total Assets Increased by 7% Tangible net Asset Value Up By 7% South Africa’s leading empowerment company, Sekunjalo Investments Limited today reported solid results in bottom line earnings, cash flow and net asset value for the interim period ended 28 February 2014. The Group, as an investment holding company, has set its objective to increase net asset value (NAV) by improving the operational performance of its underlying businesses and investments, and has done so successfully for the period under review. The Executive Chairman of Sekunjalo Investments Limited, Dr Iqbal Survé said he is delighted by the performance of the listed subsidiary of the Sekunjalo Investment Holding Company. Dr Survé has indicated that he is particularly pleased that the fishing and IT subsidiaries, as well as the investments in Pioneer Foods and British Telecom all continue to perform strongly, which has strengthened the Group’s financial position. Dr Survé has mentioned that the performance has to be applauded, as traditionally Sekunjalo’s results for the first half of the year are not as good as the second half of the year due to the seasonal nature of some of the businesses in the Group. Group revenue has grown by 7% from the prior interim period due to the strong operational performance of the underlying businesses. The Group’s gross profit percentage of 32% was achieved by improved margins and driving efficiencies throughout the Group’s operations. Profit before taxation for the period increased significantly to R32.7million by R8.5million compared to the prior period of R24.2million, driven mainly by the organic growth of subsidiary companies and the strategies implemented during the last two years. Earnings and headline earnings per share have increased by 13% and 12% respectively as a result of the operational performance of the subsidiaries. The Group’s asset base increased by R61.6million to R959.6 million, from R897.9 million for the comparative period under review. Net asset value (NAV) per share grew to 100.23c from 93.79c for the interim period, while tangible NAV per share grew to 90.17c from 83.83c for the same period. Sekunjalo’s CEO, Khalid Abdulla said that this performance was as a result of improved operational efficiencies, which compares well with the prior interim period. He is pleased that the business strategies implemented are showing the expected results for the six month period under review. The Sekunjalo Investments strategy of growing NAV by investing its surplus capital in its underlying businesses is reaping the benefits as a result of this approach, and the board and the company are looking forward to a strong performance in the years ahead. He said the re-investment in the organic growth of the Group’s operations are showing the benefits as expected with operating profits of R38.9million for the period under review (R32.9million – 2013). Premier Fishing has steadily improved its performance with the major contribution coming from the south coast rock lobster and Abalone divisions. The fishing sector generally performs better in the second half of the year due to the seasonal nature of the industry. The Information Technology and Communication operations continue to perform well above expectation since the successful implementation of the National Health Laboratory Systems project which now moves to annuity maintenance mode. Abdulla said that the healthcare division’s revenue has grown by 29% with the natural chemical range of products in the healthcare division showing a good improvement in performance. The performance of the Group’s investments in large multinational companies, British Telecom Communication Services South Africa and Pioneer Foods Group have, as indicated, also contributed to the Group’s solid interim results. The fishing and ITC divisions have built a strong platform for further organic growth and the Group is well positioned to increase its investments further through acquisition. ENDS For further comment please contact: Khalid Abdulla - 083 707 4211 Cherie Hendricks - 021-427 1400 or 083 718 4493 Sponsor: PSG Capital Date: 22/04/2014 01:00:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). 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