| In terms of paragraph 3.4(b)(i) of the JSE Limited Listings Requirements, companies are required to guide the market when they are satisfied that a reasonable degree of certainty exists that the financial results for the six months ended 31 December 2024 (the “current reporting period”) to be reported on, will differ by at least 20% from the twelve months ended 30 June 2024 (the “previous corresponding period”). |
| Accordingly, AfroCentric shareholders are advised that: |
- A loss per share for the current reporting period is expected to be between 14.63 cents and 15.29 cents in comparison to the earnings per share of 6.67 cents per share in the previous corresponding period (as previously reported); and
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- Headline earnings per share for the current reporting period is expected to be between 1.78 cents and 5.82 cents reflecting a decrease of between 85.6% and 95.6% in comparison to the 40.32 cents per share in the previous corresponding period (as previously reported).
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| Due to Afrocentric changing its financial year end from 30 June to 31 December, the loss per share and headline earnings per share for the six months ended 31 December 2024 are not comparable to earnings per share and headline earnings per share for the year ended 30 June 2024. |
| The decline in headline earnings and earnings per share over the comparable six-month period is attributed to a combination of factors including our investment in digital and clinical capabilities, with a view of accelerating our strategy, and adverse trading conditions arising in the retail cluster. Earnings per share are further impacted by lower profitability due to margin erosion and channel pressure arising in the retail cluster, resulting in an impairment of goodwill within the retail cluster. |
| Despite reporting a decline in profitability over the last six months, Afrocentric remains confident in the execution of its strategy, supported by a resilient balance sheet, that is anticipated to ensure a return to growth and long-term sustainability. |
| Further information will be provided in AfroCentric’s results for the current financial period, which are expected to be published on or about 3 March 2025. |
| For the full document click the link below: |
| AfroCentric Investment Corporation Limited |
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