ZEDER INVESTMENTS LIMITED - Trading Statement

Trading Statement

ZEDER INVESTMENTS LIMITED
(Incorporated in the Republic of South Africa)
(Registration number: 2006/019240/06)
Share code: ZED
ISIN: ZAE000088431
(“Zeder” or “the Company”)


SUM-OF-THE-PARTS (“SOTP”) VALUE AND RECURRING HEADLINE EARNINGS


Zeder, an investment holding company, continues to use the SOTP value and recurring headline
earnings per share benchmarks to provide management and investors with a realistic and transparent
way of evaluating Zeder’s performance.

Zeder’s SOTP value is calculated using the quoted market prices for all JSE-listed investments and
market-related valuations for unlisted investments.

Zeder’s consolidated recurring headline earnings is the sum of its effective interest in that of each of
its underlying investments. The result is that investments in which Zeder holds less than 20% and are
generally not equity accountable in terms of accounting standards, are included in the calculation of
consolidated recurring headline earnings. Once-off items are excluded from recurring headline
earnings.

TRADING STATEMENT

In terms of the Listings Requirements of the JSE Limited, a listed company is required to publish a
trading statement as soon as it becomes reasonably certain that the financial results for the next
period to be reported on will show a 20% or more difference from those of the previous corresponding
period.

Zeder hereby advises that a reasonable degree of certainty exists that:

1.     Its SOTP value as at 27 September 2018 was R6.20 per share.

2.     For the six-month period ended 31 August 2018:

       -     Recurring headline earnings per share will be between 9,5 cents and 10,1 cents, or
             between 150,0% and 165,8% higher than the 3,8 cents reported for the six-month period
             ended 31 August 2017;

       -     Headline earnings per share will be between 29,9 cents and 30,7 cents, or between
             595,3% and 614,0% higher than the 4,3 cents reported for the six-month period ended
             31 August 2017; and

       -     Attributable earnings per share will be between 26,8 cents and 27,8 cents, or between
             262,2% and 275,7% higher than the 7,4 cents reported for the six-month period ended
             31 August 2017.

The significant increase in Zeder’s recurring headline earnings per share during the period under
review is mainly due to a strong recovery in earnings from most of its underlying investee companies
compared to the previous period.

Zeder’s headline earnings per share increased mainly as a result of the above, and due to the upward
fair value adjustment of the investment in Joy Wing Mau (previously known as Golden Wing Mau),
which is in process of being disposed of as announced on the JSE Limited’s Stock Exchange News
Service (SENS) on 21 September 2018.

Attributable earnings per share increased by a lower percentage than headline earnings per share
mainly due to an impairment in Agrivision goodwill in the current period in contrast to a non-headline
profit on disposal of underlying business operations at a subsidiary level during the previous period.

The first six months of Zeder’s earnings traditionally represents the lesser half of its annual earnings
as this period reflects the annual input-cost cycle associated with many of its agriculture investments
as well as the softer half of the annual consumer sales and spending cycles associated with its other
investments. Year-on-year comparisons at the interim stage of reporting may therefore reflect
seasonal variances.

This financial information has not been reviewed or reported on by the auditor of Zeder. The unaudited
results for the six-month period ended 31 August 2018 will be published on or about 9 October 2018.

Stellenbosch
1 October 2018

Sponsor

PSG Capital

Date: 01/10/2018 01:00:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). 
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