Trading statement for the year ended 30 June 2017 TORRE INDUSTRIES LIMITED Incorporated in the Republic of South Africa (Registration number: 2012/144604/06) Share code: TOR ISIN: ZAE000188629 (“Torre” or “the Group”) TRADING STATEMENT FOR THE YEAR ENDED 30 JUNE 2017 In terms of paragraph 3.4(b) of the JSE Limited Listings Requirements, listed companies are required to publish a trading statement as soon as the board of directors is satisfied that a reasonable degree of certainty exists that the financial results for the period to be reported on next will vary by 20% or more when compared to those of the previous corresponding reporting period. Torre shareholders are advised that normalised headline earnings per share (“NHEPS”), headline earnings per share (“HEPS”) and earnings per share (“EPS”) will all be lower than the previously reported corresponding period due to: - Goodwill and other impairments deemed necessary in the course of the annual impairment assessments completed in terms of IAS 36 as part of the year end reporting process; - The impact of the disposal of Kanu Equipment Limited during the year, effective 31 May 2017; - Significantly lower earnings from discontinued operations attributable to the Group; - Prior year earnings included once off benefits from deferred purchase consideration adjustments and a specific once-off contractual sale in the Analytical Services segment; and - Current year earnings will be adversely affected following once-off restructuring and relocation costs incurred in the first half of the financial year. As such, NHEPS, HEPS and EPS from continuing and discontinued operations to 30 June 2017 are expected to decrease from the corresponding period as follows: 12 months to 30 June 2016 12 months to 30 June 2017 Actual Expected range NHEPS 21.40 cents 12.87 cents to 17.15 cents (40% to 20% down) HEPS 16.61 cents 9.15 cents to 12.47 cents (45% to 25% down) EPS 5.58 cents -83.8 cents to -82.9 cents The expected ranges of NHEPS, HEPS and EPS for continuing operations have been included in this trading statement to provide relevant information to shareholders due to the impact of discontinued operations. As such, NHEPS, HEPS and EPS for the Group from continuing operations to 30 June 2017 are expected to vary from the corresponding period as follows: 12 months to 30 June 2016 12 months to 30 June 2017 Actual Expected range NHEPS 7.95 cents 7.40 cents to 8.99 cents (7% down to 13% up) HEPS 4.14 cents 3.58 cents to 4.40 cents (14% down to 6% up) EPS -6.99 cents -80.78 cents to -79.4 cents A final gross cash dividend of 3 cents per share will be considered by the board of directors following no declaration of an interim dividend in the current financial year (FY2016: interim 3.5 cents per share, and final 2 cents per share, representing a total of 5.5 cents per share). The financial information on which the trading statement has been based has not been reviewed and reported on by Torre’s external auditors. Torre will release its full year results, along with the results of a strategic review, on 30 August 2017 at 10h00 (South African time) and will update the market in a presentation and international webcast in Johannesburg on the same day. The presentation and the audio playback thereof will be available for all stakeholders on the Group's website, www.torreindustries.com. Anyone who wishes to participate in the conference call can dial the following numbers: CALL/DIAL-IN DETAILS South Africa (Toll Free) : 0 800 200 648 Johannesburg : 011 535 3600 USA and Canada (Toll Free) : 1 855 481 5362 Other Countries : +27 11 535 3600 Johannesburg 16 August 2017 Sponsor RAND MERCHANT BANK (A division of FirstRand Bank Limited) Date: 16/08/2017 10:00:00 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.