ALEXANDER FORBES GROUP HOLDINGS LIMITED - Trading statement for the twelve months ended 31 March 2025

Trading statement for the twelve months ended 31 March 2025

Alexander Forbes Group Holdings Limited
(Incorporated in the Republic of South Africa)
(Registration Number: 2006/025226/06)
JSE Share Code: AFH and ISIN: ZAE000191516
("Alexforbes" or "the company" or "group")

TRADING STATEMENT FOR THE TWELVE MONTHS ENDED 31 MARCH 2025

Alexforbes is currently finalising its financial results for the twelve months ended 31 March 2025 (the current
year) which are expected to be released on the Stock Exchange News Service (SENS) and on the company's
website at www.alexforbes.com on or about 9 June 2025.

In terms of paragraph 3.4(b)(i) of the JSE Limited Listings Requirements, the board is reasonably certain that the
financial results for the current year are expected to increase by more than 20% from those of the previous
corresponding year (the prior year). The financial information on which this trading statement is based has not
been reviewed and reported on by the group's external auditors.

Based on the information currently available to the company, shareholders are advised that the financial results
for the current period are expected to be:

                                             As reported               Expected                  Expected (%)*
 For the period ended                     March 2024 (cents)       March 2025 (cents)
 Total operations
 Headline earnings per share                       61.5               67.7 to 73.8               10% to 20%
 Basic earnings per share                          54.7               68.4 to 73.8               25% to 35%
 Continuing operations
 Headline earnings per share                       52.9               55.5 to 60.8               5% to 15%
 Basic earnings per share                          45.6               54.7 to 59.3               20% to 30%
 Discontinued operations
 Headline earnings per share                       8.6                12.5 to 13.3               45% to 55%
 Basic earnings per share                          9.1                12.3 to 13.2               35% to 45%

*Percentages calculated based on rounded figures

The group's operating financial results are in line with expectations for the year ended 31 March 2025. The
results reflect continued growth in operating income owing to strong market growth which resulted in higher
average assets under management, inflationary increases from within our retirements and healthcare consulting
client base and high client retention. In addition, consolidation of acquisitions completed in previous financial
years and higher than expected two-pot claims volumes also contributed to our top line.

Expense growth was influenced by the previously disclosed change in our property lease contracts and the
related accounting treatment under IFRS 16, acquisitions that have been fully consolidated and higher costs
related to the implementation of the two-pot system.

The group's operating profit before non-trading and capital items for the current year is expected to grow
between 12% and 16%.

The anticipated increase in the basic and headline earnings per share as reflected above are impacted by the
following items:

- The prior year results reflect the impairment of goodwill, intangible assets and software of R90 million,
  included in non-trading and capital items, that differentiates basic earnings from headline earnings in
  continuing operations.

- In 2021 the group provided for a warrantee claim from a known error which required redress, relating to a UK
  subsidiary sold in 2012. This provision and subsequent payment of the claim by the group were referred to as
  the Enhanced Transfer Values (ETV) liability matter in previous financial disclosures (shareholders are also
  referred to the announcement released on SENS on 1 June 2021). The provision was made due to one
  insurer in our layered insurance programme declining to honour their insurance commitment. As previously
  reported, we pursued a legal process against the insurer in two phases, the first of which was ruled upon with
  finality in our favour on 2 April 2025. The award, which included both interest and costs, has resulted in a
  profit being recognised in discontinued operations amounting to R152 million, plus interest of R34 million
  being recognised in continuing operations in the current year. The group will continue to pursue the remainder
  of the claim through arbitration.

Carina Wessels
Executive: Governance, Legal, Compliance and Sustainability (Company Secretary)

20 May 2025
Sandton

Sponsor
RAND MERCHANT BANK (A division of FirstRand Bank Limited)
Date: 20-05-2025 08:30:00
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