Wrap Text
Consolidated Audited AFS for the year ended 28 February 2026, Cash Dividend Declaration, AR & Notice of AGM
ISA Holdings Limited
Incorporated in the Republic of South Africa
(Registration number: 1998/009608/06)
Share code: ISA
ISIN: ZAE000067344
("ISA" or "the company" or "the group")
CONSOLIDATED AUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 28 FEBRUARY
2026, CASH DIVIDEND DECLARATION, DISTRIBUTION OF ANNUAL REPORT AND NOTICE OF
ANNUAL GENERAL MEETING.
Audited Audited
year year
ended ended
28 Feb 26 28 Feb 25
Change R'000 R'000
Highlights from Statement
of Comprehensive Income:
Revenue 9% 127 887 117 721
Profit before
Other income and expenses 14% 64 166 56 090
Earnings after tax 10% 28 577 26 053
Earnings and diluted earnings
per share (cents) 7% 18.3 16.7
Highlights from Statement of
Financial Position:
Total assets -13% 86 519 99 187
Cash and cash equivalents -63% 13 905 37 630
Equity -17% 59 492 71 630
Total liabilities -2% 27 027 27 557
Highlights from Statement of
Changes in Equity:
Dividends paid during the year 132% 40 715 17 583
Ordinary dividend per share
paid (cents) -16% 9.4 11.2
Interim dividend per share
Paid (cents) 100% 9.4 -
Net asset value per share
at end of period (cents) 17% 38.1 45.8
Headline earnings per
share (cents) 10% 18.3 16.7
Diluted headline earnings per
share (cents) 10% 18.3 16.7
Notes to the statements:
RECONCILIATION OF HEADLINE EARNINGS
Earnings as per statement of comprehensive income 28 577 26 053
Headline earnings 28 577 26 053
Headline earnings per share (cents) 18.3 16.7
I am pleased to present our results for the full year ended 28 February 2026
("the current reporting period"), which continue to be underpinned by a high
portion of recurring revenue, a robust balance sheet and strong cash flows. In
context of the exceptionally challenging trading conditions in which we operate,
together with the extreme pressure on the local economy, I am satisfied with
our performance and humbled by the tremendous support that we have received
through this challenging time from our staff, customers, suppliers, vendor
partners and shareholders.
Financial
Revenue increased by 9% during the current reporting period to R127.9 million
compared to R117.7 million in the previous corresponding reporting period ("the
prior reporting period"), of which 82% is subscription derived and includes a
healthy mix of products, subscriptions and our Managed Security Service
offerings that feature MSS Pulse, our internally developed security
infrastructure management and monitoring platform.
Profit before other income and expenses increased by 14% during the current
reporting period to R64.2 million, from R56.1 million in the prior reporting
period, representing a healthy gross margin of 50%, compared to 48% in the prior
reporting period. With margin pressure on the sale of third-party products and
subscriptions continuing through the current reporting period, unfortunately a
reality of the IT security and broader ICT industries, this improvement in gross
profit is largely a result of the increased contribution to revenue from our
higher margin service offerings.
Operating expenditure increased by 8% to R34.5 million, compared to R31.9
million in the prior reporting period, which increase is primarily attributed
to payroll related expenses. On the topic of human resources, I'm pleased to
report that our continued investment in business process automation and the use
of artificial intelligence (AI) tooling is helping to ease operational pressures
while addressing the challenges of attracting and retaining the specialised
skills required to support growth and maintain the agility needed to protect
our customers' information and IT infrastructure in this rapidly evolving
industry.
On a less pleasing note, our share of profits from DataProof, our equity-
accounted investment, decreased by 10% to R5.5 million, from R6.1 million in
the prior reporting period. This decrease was far less pronounced than the
decrease in the prior reporting period, which gives management the confidence
needed to continue working on their current turnaround strategy in order to
return the business to a healthy state. As announced to our shareholders via
the SENS platform on 20 May 2026, we disposed of our entire stake in DataProof
subsequent to the current reporting period. We wish Thapeli Matsabu all the
best and look forward to continuing a mutually beneficial relationship with him
as a friend and business partner for many years into the future.
Earnings attributable to equity shareholders for the current reporting period
increased by a pleasing 10% to R28.6 million, from R26.1 million in the prior
reporting period, presented as headline and earnings per share of 18.3 cents,
from 16.7 cents in the prior reporting period.
Trade and other receivables increased by 39% to R18.7 million in the current
reporting period, from R13.4 million in the prior reporting period. Management
points out that this does not relate to a change in cash management practices
within the business, but rather to the timing and nature of deals within their
respective reporting periods, including the impact of contract assets arising
from certain larger multi-year contracts processed during the current reporting
period.
Cash and cash equivalents decreased by 63% to R13.9 million in the current
reporting period, from R37.6 million in the prior reporting period, this after
dividends of R40.7 million were paid to shareholders during the current
reporting period.
Cash Distribution
During the current reporting period an interim dividend of R14.7 million for
the half year ended 31 August 2025 was declared and paid to shareholders,
representing a cash distribution of 9.4 cents per share. With the realisation
of earnings of 18.3 cents per share for the current reporting period, we are
now pleased to declare a final ordinary dividend to shareholders for the year
ended 28 February 2026 of 8.9 cents per share, which will be subject to dividend
tax legislation.
The board of directors of ISA ("board") has reasonably concluded that the
company will satisfy the solvency and liquidity requirements immediately after
distribution thereof and for the next 12 months.
The salient dates for the ordinary dividend will be as follows:
Declaration date Wednesday, 27 May 2026
Last day to trade Tuesday, 21 July 2026
Shares trade ex-dividend Wednesday, 22 July 2026
Record date Friday, 24 July 2026
Payment date Monday, 27 July 2026
Share certificates may not be dematerialised or rematerialised between
Wednesday, 22 July 2026 and Friday, 24 July 2026, both days inclusive.
In terms of the dividend tax legislation, effective 1 April 2012, the
following additional information is disclosed:
- This is a dividend as defined in the Income Tax Act, 1962, and is payable
from income reserves.
- The South African dividend tax (DT) rate is 20%.
- The DT to be withheld by the company in respect of the ordinary dividend
amounts to 1.78 cents per share.
- The net ordinary dividend payable to shareholders who are not exempt from
DT is therefore 7.12 cents per share, while a gross ordinary dividend
of 8.9 cents per share is payable to those shareholders who are exempt
from DT.
- The issued share capital of the company at the declaration date comprises
170 592 593 ordinary shares.
- The company's income tax reference number is 9340/150/71/4.
Market and prospects
I continue to be optimistic about our long-term prospects, as the key drivers
of the information security market remain robust. With the continued evolution
and persistence of threats and attack vectors against organisational information
and IT resources, together with the increased regulatory and legislative
compliance requirements and the growing complexity of hybrid and cloud-based
environments, stakeholders continue to elevate the importance of security within
their organisations. By leveraging this sustained demand for information and
infrastructure security, as well as our positioning as a thought leader in this
market segment, we are likely to continue delivering above average tangible
returns over time.
Conclusion
On behalf of the board, I would like to take this opportunity to thank the
ISA team for their continued dedication and hard work. My appreciation is
also extended to my colleagues on the board for their wise counsel and
valuable input. Finally, I thank all stakeholders, customers and vendors for
their support, and I look forward to meeting shareholders at the Annual
General Meeting to be held on Thursday, 25 June 2026.
Integrated Annual Report
Shareholders are advised that the integrated annual report for the year ended
28 February 2026 has been distributed to shareholders today, 27 May 2026 and
will be available on the company's website at www.isa.co.za.
Notice of Annual General Meeting
Notice is hereby given that the Annual General Meeting of shareholders of ISA
("AGM") will be held at 10:00 on Thursday, 25 June 2026 through electronic
participation.
The salient information pertaining to the AGM is set out below:
Issuer name ISA Holdings Limited
Type of instrument Ordinary shares
ISIN number ZAE000067344
JSE code ISA
Meeting type Annual General Meeting
Meeting venue Virtual
Record date – to determine
which shareholders are entitled to
receive the notice Friday, 22 May 2026
Publication/Electronic distribution date Wednesday, 27 May 2026
Last day to trade – last day to trade to determine
eligible shareholders that may attend, speak and
vote at the AGM Monday, 15 June 2026
Record date – record date to determine eligible
Shareholders that may attend, speak and vote at
the AGM Friday, 19 June 2026
Meeting deadline date - (for administrative
purposes), forms of proxy for the AGM to be
lodged 10:00 on Tuesday, 23 June 2026
Virtual AGM date 10:00 on Thursday, 25 June 2026
Publication of results Thursday, 25 June 2026
Website link www.isaholdings.co.za
Shareholders who wish to participate electronically at the Annual General
Meeting are required to contact JSE Investor Services at
meetfax@jseinvestorservices.co.za; or alternatively contact JSE Investor
Services' offices on +27 86 154 6572 as soon as possible, but in any event, for
administrative purposes only, by no later than 10:00 on Tuesday, 23 June 2026.
RESULTS ANNOUNCEMENT
The content of this announcement is the responsibility of the directors of the
board. The results announcement does not include full or complete details of
the Consolidated Audited Annual financial statements for the year ended
28 February 2026 ("2026 AFS"). Any investment decision by investors or
shareholders should be based on the consideration of the 2026 AFS which are
available as detailed below. The information contained in this results
announcement has not been reviewed or reported on by the company's auditors.
The 2026 AFS have been audited by the company's auditor, Crowe JHB, who expressed
an unmodified audit opinion thereon. The audit report, together with the 2026
AFS included in the Annual Report are available on the JSE cloudlink:
https://senspdf.jse.co.za/documents/2026/jse/isse/isa/ye26.pdf
and has also published on the company's website at
https://www.isa.co.za/annualreports/ISAhold Integrated Annual Report 2026.pdf.
For and on behalf of the board,
Clifford Katz
Chief Executive Officer
Johannesburg
27 May 2026
Directors: CS Katz (Chief Executive Officer), PJG Green (Chief Technical
Officer), P Mogoboya (Financial Director), AJ Naidoo#,E Tsouros*, N
Maphothi*, O Seku*(Chairperson)
# Non-executive
* Independent non-executive
Designated Adviser: Merchantec Capital
www.isaholdings.co.za
Date: 27-05-2026 05:49:00
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.
Sharenet Sites 
