STANDARD BANK GROUP LIMITED - Financial information provided to ICBC and update on the groups operational performance

Financial information provided to ICBC and update on the group’s operational performance

Standard Bank Group Limited
Registration No. 1969/017128/06
Incorporated in the Republic of South Africa
JSE share code: SBK
ISIN: ZAE000109815
NSX share code: SNB
(“Standard Bank Group” or “the group”)

Financial information provided to the Industrial and Commercial Bank of China Limited (“ICBC”) and
update on the group’s operational performance for the nine months ended 30 September 2018

Financial information provided to ICBC

On a quarterly basis the Standard Bank Group discloses to ICBC sufficient information to enable ICBC to equity
account the group's results. Accordingly, the following consolidated financial information, prepared on an
International Financial Reporting Standards (“IFRS”) basis, is being provided to ICBC for the nine months ended
30 September 2018.


Statement of changes in ordinary shareholders' equity for the nine months ended 30 September 2018

                             Balance at 1          IFRS 9          Earnings     Other movements     Balance as at
                            January 2018        transition    attributable to      for the period   30 September
                                               adjustment           ordinary                                  2018
                                                               shareholders

                                Rm               Rm               Rm                 Rm                 Rm

     Ordinary share
     capital                    162                                                                    162
     Ordinary share
     premium                   17 901                                                (273)            17 628
     Foreign currency
     translation and
     hedging reserve          (7 193)                                               2 989             (4 204)
     Foreign currency
     translation reserve
     (FCTR)                   (6 116)                                               3 0131            (3 103)
     Foreign currency
     net investment and
     cash flow hedging
     reserve                  (1 077)                                                (24)             (1 101)
     Retained earnings        144 539          (5 302)2         19 946             (17 437)3         141 746
     Empowerment
     reserve and
     treasury shares          (1 373)                                                (167)            (1 540)
     Other                     2 984           (959)2                                (694)            1 331
     Ordinary
     shareholders’ equity     157 020          (6 261)          19 946             (15 582)          155 123


1   The movement in the FCTR is primarily as a result of the weakening of the Rand against the US Dollar and
    other African currencies.
2   For more information on the IFRS 9 transition adjustment, please refer to the Standard Bank Group’s IFRS 9
    Transition Report which is available on the group’s Investor Relations website,
    http://reporting.standardbank.com/resultsreports.php
3 Primarily   comprises the ordinary dividends declared in March and August 2018 and transactions with non-
    controlling shareholders.
Update on the group’s performance for the nine months to 30 September 2018

For the nine months to 30 September 2018, the South African banking business performance reflected the
difficult domestic operating environment. In contrast, the Africa Regions businesses outside of South Africa
recorded strong growth. Net interest income, although supported by slightly stronger asset growth in the three
months to 30 September 2018, grew slower than non-interest revenue. Operating expense growth remained
above income growth resulting in negative jaws. Credit impairment charges continued to be well managed, with a
strong performance in Africa Regions partially offset by additional charges in South Africa.

In the nine months to 30 September 2018, banking activities headline earnings grew slightly faster than group
earnings and headline adjustable items were not significant. Earnings attributable to ordinary shareholders were
4% higher than recorded in the nine months to 30 September 2017.

The group’s Basel III disclosure as at 30 September 2018 will be released in November 2018.

With the exception of the reasonable assurance report issued by the group’s external auditors on the IFRS 9
transition adjustment, the information contained in this announcement and that on which the operational
performance update is based has not been reviewed nor reported on by the group's external auditors.

Johannesburg
18 October 2018

Lead sponsor
The Standard Bank of South Africa Limited

Independent sponsor
JP Morgan Equities South Africa Proprietary Limited

Namibian sponsor
Simonis Storm Securities (Proprietary) Limited

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