Trading Statement QUANTUM FOODS HOLDINGS LIMITED (Incorporated in the Republic of South Africa) Registration Number: 2013/208598/06 Share Code: QFH ISIN Code: ZAE000193686 ("Quantum Foods" or "the Company") TRADING STATEMENT In terms of the Listings Requirements of the JSE Limited, a listed company is required to issue a trading statement once it is satisfied that a reasonable degree of certainty exists that the financial results for the period to be reported upon next will differ by at least 20% from the financial results for the previous corresponding period. Shareholders are hereby advised that in respect of the twelve months ended 30 September 2017, the Company expects headline earnings per share of between 46.5 cents and 52.1 cents, being an increase of between 65% and 85% compared to the headline earnings of 28.2 cents per share for the previous corresponding period. Shareholders are further advised that in respect of the twelve months ended 30 September 2017, the Company expects earnings per share of between 52.1 cents and 59.9 cents, being an increase of between 33% and 53% compared to the earnings of 39.2 cents per share for the previous corresponding period. The results for the twelve months ended 30 September 2017 have been affected by: - Significantly lower feed costs in the second half of 2017 compared to both the first half of 2017 and the previous year following the harvest of a record maize crop in South Africa and a relatively stronger Rand; - This specifically impacted earnings in the eggs business where margin recovery in the second half of the year was further assisted by increased selling prices; - A solid contribution from the feeds business where external sales volumes increased, also with the Olifantskop feed mill being included for a full year compared to only 7 months in the previous year; - A R30million charge for the value of layer hens destroyed and associated clean- up costs following an outbreak of Avian Influenza on the Groups farms in the Western Cape in September 2017; and - A recovery in trading conditions for the other African businesses in the second half of 2017. Profit from the sale of a dormant Western Cape abattoir and a property in Oudtshoorn also not core to the Groups operations are included in the expected earnings per share for the twelve months ended 30 September 2017. Shareholders are reminded that profit from the sale of the Hartbeespoort abattoir amounting to 11.0 cents per share were included in 2016 earnings per share. Shareholders are further advised that, in terms of the general authorisation granted to the directors of the Company by shareholders, a total of 9 488 659 shares were bought back and cancelled by the Company during the year ended 30 September 2017. The financial information on which this trading statement is based has not been reviewed or reported on by the Company´s auditors. Quantum Foods´ financial results for the 12 month period ended 30 September 2017 are expected to be released on SENS on or about Thursday 23 November 2017. Wellington 19 October 2017 Sponsor PSG Capital Proprietary Limited Date: 19/10/2017 10:07:00 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.