REG - Ninety One PLC - Half-year Report and Dividend Declaration
20/11/2024 07:00
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RNS Number : 8621M Ninety One PLC 20 November 2024
Ninety One plc Ninety One Limited
Incorporated in England and Wales Incorporated in the Republic of South Africa
Registration number 12245293 Registration number 2019/526481/06
Date of registration: 4 October 2019 Date of registration: 18 October 2019
LSE share code: N91 JSE share code: NY1
JSE share code: N91 ISIN: ZAE000282356
ISIN: GB00BJHPLV88
Interim results for the six months to 30 September 2024
20 November 2024
Highlights
‒ Positive markets, muted demand for risk-on strategies.
‒ Extending market leadership in South Africa: long-term agreement
with Sanlam.
‒ Closing assets under management increased by 1% to £127.4 billion.
‒ Net outflows of £5.3 billion.
‒ Management fees net of adjusted operating expenses remained flat.
‒ Adjusted operating profit margin of 30.5%.
‒ Basic earnings per share decreased by 12% to 7.8 pence and adjusted
earnings per share decreased by 11% to 7.3 pence.
‒ Interim dividend of 5.4 pence per share.
‒ Competitive long-term investment performance.
‒ Staff shareholding increased to 32.0%.
£ billion 30 September 2024 30 September 2023 31 March
2024
Assets under management 127.4 123.1 126.0
Net flows (5.3) (4.3) (9.4)
Average assets under management 126.7 125.3 123.9
Key financials((1)) Six months to 30 September 2024 Six months to 30 September 2023 Change
%
Profit before tax (£'m) 93.3 104.0 (10)
Adjusted operating profit (£'m) 88.6 97.9 (9)
Adjusted operating profit margin 30.5% 32.6%
Basic earnings per share (p) 7.8 8.9 (12)
Adjusted earnings per share (p) 7.3 8.2 (11)
Interim dividend per share (p) 5.4 5.9 (8)
Note: (1) Please refer to explanations and definitions on pages 10-13.
Hendrik du Toit, Founder and Chief Executive Officer, commented:
"During this reporting period, Ninety One benefited from positive performance
in equity and bond markets. Demand for risk-on strategies, especially emerging
markets, remained muted. This affected our ability to produce new business at
historic rates. It is encouraging to note that we have experienced a
significant improvement in inflows and business opportunities since September.
In spite of cyclical demand headwinds, we remain committed to our focus areas
and chosen markets.
Today we announce a significant agreement with Sanlam, where Ninety One will
gain preferred access to its distribution network and become Sanlam's primary
active investment partner. Subject to the necessary approvals, the agreement
will bolster our market leadership position in South Africa. This is a vote of
confidence in the future of South Africa.
Looking ahead we are encouraged by an environment of lower interest rates,
broadening markets and an improving new business pipeline. This optimism
should be tempered by the elevated levels of political risk in the world in
which we operate."
For further information please contact:
Investor relations
Varuni Dharma
varuni.dharma@ninetyone.com (mailto:varuni.dharma@ninetyone.com)
+44(0) 203 938 2486
Media enquiries
Jeannie Dumas (for UK & International)
jeannie.dumas@ninetyone.com (mailto:jeannie.dumas@ninetyone.com)
+44 (0) 203 938 3084
Kotie Basson (for South Africa)
kotie.basson@ninetyone.com (mailto:kotie.basson@ninetyone.com)
+27 (0) 82 375 1317
Investor presentation
A presentation to investors and financial analysts will be held at our London
office (55 Gresham Street, EC2V 7EL) at 9.00 am (UK time) on 20 November 2024.
There will be a live webcast available for those unable to attend. The webcast
registration link is available at
https://ninetyone.com/interim-results-webcast
(https://ninetyone.zoom.us/webinar/register/WN_q5eToOfZRuid766lEGfHKQ#/registration)
. A copy of the presentation will be made available on the Company's website
at https://ninetyone.com/interim-results-presentation
(https://ninetyone.com/interim-results-presentation) at 8.00 am (UK time).
Forward-looking statements
This announcement does not constitute or form part of any offer, advice,
recommendation, invitation or inducement to any person to underwrite,
subscribe for or otherwise acquire or dispose of securities in Ninety One plc
and its subsidiaries or Ninety One Limited and its subsidiaries (together,
"Ninety One"), nor should it be construed as legal, tax, financial, investment
or accounting advice.
This announcement may include statements, beliefs or opinions that are, or may
be deemed to be, "forward-looking statements". These forward-looking
statements may be identified by the use of forward-looking terminology,
including the terms "believes", "estimates", "plans", "projects",
"anticipates", "targets", "aims", "continues", "expects", "intends", "hopes",
"may", "will", "would", "could" or "should" or, in each case, their negative
or other variations or comparable terminology, or by discussions of strategy,
plans, objectives, goals, future events or intentions. No representation or
warranty is made that any of these statements or forecasts will come to pass
or that any forecast results will be achieved. Forward-looking statements may
and often do differ materially from actual results. Any forward-looking
statements contained in the announcement speak only as of their respective
dates, reflect Ninety One's current view with respect to future events and are
subject to risks relating to future events and other risks, uncertainties and
assumptions relating to Ninety One's business, results of operations,
financial position, liquidity, prospects, growth and strategies.
Except as required by any applicable law or regulation, Ninety One expressly
disclaims any obligation or undertaking to release publicly any updates or
revisions to any forward-looking statements contained in this announcement or
any other forward-looking statements it may make whether as a result of new
information, future developments or otherwise.
About Ninety One
Ninety One is an independent investment manager, founded in South Africa in
1991, which operates and invests globally.
Ninety One is listed on the London and Johannesburg Stock Exchanges.
CHIEF EXECUTIVE OFFICER'S REVIEW
The reporting period was once again characterised by challenging market
conditions for active managers and emerging markets alike, as elevated
interest rates continued to support investor preferences for lower-risk
assets. While demand for risk-on strategies remained muted, broader market
dynamics began to emerge, as it became increasingly clear that the interest
rate cycle had peaked. This has created a more supportive backdrop,
particularly in emerging markets, where performance was robust. Emerging
markets outperformed the S&P during the reporting period, and net inflows
were noted in actively managed emerging market funds in September, suggesting
a potential turning point.
Markets were generally positive over the period, resulting in a modest
increase in assets under management in spite of net outflows, and currency
effects due to Sterling strength. A disciplined approach to costs,
notwithstanding ongoing investment in growth initiatives and technology,
enabled the business to achieve flat underlying earnings excluding variable
income.
We have made significant progress in building out our alternative credit
platform. To date, Ninety One has secured investment commitments in excess of
$500 million for our Emerging Markets Transition Debt strategy, as well as
seed capital for our second European Credit Opportunities strategy and our
South African Infrastructure Credit strategy. We are closing our third Africa
Credit Opportunities fund during this quarter and preparing for an additional
strategy to be launched before the end of this financial year. The remit of
our infrastructure credit team has been expanded into Asia, with exciting
deals in the pipeline. Demand in the multi-asset credit space is also
building. This is supported by significant investment in skills and systems,
including key appointments. We are excited about the prospects in this area.
Investment returns have improved relative to the previous year. This helps to
set us up to capture flows when they return to the parts of the market in
which we operate.
Today we are announcing that Sanlam and Ninety One have reached a significant
agreement. Sanlam is South Africa's largest non-bank financial services group.
Ninety One has been appointed as Sanlam's primary active investment manager,
resulting in the transfer of approximately R400bn (£17bn) of assets. Ninety
One will gain preferred access to Sanlam's distribution network. This offers
an opportunity to reach deeper into the South African savings market than
before. Sanlam has also agreed to be an anchor investor in our private and
specialist credit strategies. The agreement is long-term in nature, and is a
significant vote of confidence in the future of South Africa.
Over the period, Ninety One was supported by positive markets, but experienced
disappointing flows for reasons relating to risk appetite and investor demand
for most of the areas in which we specialise. We are proud of the fact that we
have maintained the underlying levels of profitability and contained costs
while funding ambitious investment in future growth. Since September, we have
seen an improvement in flows and pipeline, which gives us confidence that the
worst is behind us. While market conditions remain uncertain, we are focused
on the long-term. With strengthened investment performance and a growing
pipeline, Ninety One is optimistic about regaining business momentum and
capturing opportunities in emerging and global markets.
OPERATING REVIEW
Assets under management ("AUM")
Closing AUM increased by 1% to £127.4 billion (31 March 2024: £126.0
billion), reflecting net outflows and positive markets. The market and foreign
exchange impact in the first half was positive £6.7 billion (H1 2024:
negative £1.9 billion).
AUM by asset class
£ million 30 September 2024 31 March 2024 Change %
Equities 57,955 58,367 (1)
Fixed income 31,144 31,920 (2)
Multi-asset 21,199 20,359 4
Alternatives 4,622 4,312 7
South African fund platform 12,462 11,068 13
Total 127,382 126,026 1
AUM decreased across equities and fixed income, and increased across the other
asset classes.
AUM by client group
£ million 30 September 2024 31 March 2024 Change %
United Kingdom 22,707 24,182 (6)
Africa 55,133 51,259 8
Europe 14,053 14,559 (3)
Americas 15,162 15,373 (1)
Asia Pacific((1)) 20,327 20,653 (2)
Total 127,382 126,026 1
Note: (1) Asia Pacific includes Middle East.
Overall, AUM remains well-diversified by client geography ("client groups")
and split broadly in line with the prior period. AUM reduced across the
majority of regions, with the exception of Africa.
AUM by client type
£ million 30 September 2024 31 March 2024 Change %
Advisor 45,418 45,538 -
Institutional 81,964 80,488 2
Total 127,382 126,026 1
AUM remained relatively flat in the advisor channel, but increased by 2% in
the institutional channel. The split between channels remains relatively
unchanged from the prior period.
Net flows
In the first half, we experienced net outflows of £5.3 billion (H1 2024: net
outflows of £4.3 billion). This was driven by limited appetite for both
greater risk-on asset classes and growth oriented strategies.
Net flows by asset class
£ million Six months to Six months to
30 September 2024
30 September 2023
Equities (2,799) (3,041)
Fixed income (1,886) (928)
Multi-asset (1,078) (462)
Alternatives 87
208
South African fund platform 260 93
Total (5,295) (4,251)
There were net inflows into the South African fund platform and alternatives
reflecting healthy demand. These were outweighed by net outflows across the
remaining asset classes due to lower demand for risk-on strategies. The
largest contributor to net outflows, equities, was driven mostly by global
strategies. Net outflows in fixed income were primarily from local currency
emerging market sovereign strategies. Multi-asset net outflows were driven by
income and total return strategies.
Net flows by client group
£ million Six months to Six months to
30 September 2024
30 September 2023
United Kingdom (1,818) (1,675)
Africa (820) 158
Europe (959) (533)
Americas (322) (1,137)
Asia Pacific((1)) (1,376) (1,064)
Total (5,295) (4,251)
Note: (1) Asia Pacific includes Middle East.
Each client group saw net outflows, due to reduced demand globally for risk-on
strategies. The largest net outflows were in the UK and Asia Pacific client
groups, driven by global equity strategies and emerging market sovereign and
currency strategies, respectively.
Net flows by client type
£ million Six months to Six months to
30 September 2024
30 September 2023
Advisor (1,983) (864)
Institutional (3,312) (3,387)
Total (5,295) (4,251)
The institutional channel drove the majority of net outflows, driven by
reduced demand for global equities and emerging market fixed income from the
Asia Pacific and Africa client groups. In the advisor channel, there were net
inflows in the Africa client group, but net outflows in all other client
groups.
Investment performance
Firm-wide investment performance((1))
During the first half of financial year 2025, our short-, medium- and
long-term firm-wide investment performance improved compared to the levels
reported at the end of financial year 2024.
1 Year 3 Year 5 Year 10 Year Since inception
Outperformance 68% 48% 68% 79% 74%
Underperformance 32% 52% 32% 21% 26%
Note: (1) Firm-wide outperformance is calculated as the sum of the total
market values for individual portfolios that have positive active returns on a
gross basis expressed as a percentage of total AUM. Our percentage of firm
outperformance is reported on the basis of current AUM and therefore does not
include terminated funds. Total AUM excludes double-counting of pooled
products and third party assets administered on our South African fund
platform. Benchmarks used for the above analysis include cash, peer group
averages, inflation and market indices as specified in client mandates or fund
prospectuses. For all periods shown, market values are as at 30 September
2024.
FINANCIAL REVIEW
Financial results((1))
£ billion Six months to 30 September 2024 Six months to 30 September 2023 Year ended
31 March 2024
Closing AUM 127.4 123.1 126.0
Net flows (5.3) (4.3) (9.4)
Average AUM 126.7 125.3 123.9
£ million (unless stated otherwise) Six months to 30 September 2024 Six months to 30 September 2023 Change %
Management fees 282.4 282.2 0
Performance fees 7.9 12.1 (35)
Net revenue 290.3 294.3 (1)
Other income 0.2 5.3 (96)
Adjusted operating revenue 290.5 299.6 (3)
Adjusted operating expenses (201.9) (201.7) 0
Adjusted operating profit 88.6 97.9 (9)
Adjusted net interest income 9.6 8.3 16
Share scheme net expense (4.9) (2.2) n.m.
Profit before tax 93.3 104.0 (10)
Tax expense (24.5) (24.7) (1)
Profit after tax 68.8 79.3 (13)
Average management fee rate (basis points, "bps") 44.5 45.0
Adjusted operating profit margin 30.5% 32.6%
Total full-time employees 1,190 1,180 1
Note: (1) Please refer to explanations and definitions on pages 10 - 13.
Adjusted operating profit decreased 9% to £88.6 million (H1 2024: £97.9
million). The adjusted operating profit margin decreased to 30.5% (H1 2024:
32.6%). Profit before tax decreased 10% to £93.3 million (H1 2024: £104.0
million).
This financial review covers alternative performance measures to reflect the
manner in which management monitors and assesses the financial performance of
Ninety One. Reconciliations to equivalents of the IFRS® Accounting Standards
are provided in the alternative performance measures section. Movements
discussed as part of the commentary below apply equally to the IFRS®
Accounting Standards equivalent movements.
Assets under management
Closing AUM increased by 1% to £127.4 billion (31 March 2024: £126.0
billion), reflecting net outflows of £5.3 billion (H1 2024: £4.3 billion)
and positive market and foreign exchange movements of £6.7 billion (H1 2024:
negative £1.9 billion). Average AUM increased 1% to £126.7 billion (H1 2024:
£125.3 billion).
Adjusted operating revenue
Management fees increased slightly to £282.4 million (H1 2024: £282.2
million), against a 1% increase in average AUM. The average management fee
rate decreased to 44.5 bps (H1 2024: 45.0 bps).
Performance fees were lower at £7.9 million (H1 2024: £12.1 million). Other
income decreased to £0.2 million (H1 2024: £5.3 million) and consists of
operating interest, gains or losses on FX and investments, and share of profit
from associates.
Adjusted operating expenses
Adjusted operating expenses increased marginally to £201.9 million (H1 2024:
£201.7 million), driven by increases in business expenses, partially offset
by a decrease in employee remuneration.
Employee remuneration represented 62% (H1 2024: 65%) of the total expense base
and overall, decreased by 4% to £124.6 million (H1 2024: £130.3 million).
This was driven mostly by a decrease in variable remuneration in line with
decreased adjusted operating profit. Average headcount over the period
remained flat at 1,190 (H1 2024: 1,189). Over 50% of employee remuneration is
variable and the resulting compensation ratio was 42.9% (H1 2024: 43.5%).
Business expenses increased by 8% to £77.3 million (H1 2024: £71.4 million).
The period-on-period split of business expenses was relatively unchanged from
the prior period and the largest expense item remained third party
administration.
Effective tax rate
The effective tax rate for the six months to 30 September 2024 was 26.3% (H1
2024: 23.8%), against a headline UK corporation tax rate of 25.0% (H1 2024:
25.0%) and a headline South Africa corporation tax rate of 27.0% (H1 2024:
27.0%). The main reasons for the increase in the effective tax rate were an
increased proportion of profits in higher tax jurisdictions as well as
additional tax related to new global minimum tax rules.
Assets and liabilities
The following review refers to shareholders' numbers only, and excludes the
items that relate to Ninety One's investment-linked insurance business
(undertaken through one of its South African entities, Ninety One Assurance).
Total assets decreased to £698.5 million (31 March 2024: £761.4 million),
mainly reflecting payment of variable compensation in April 2024. Total
liabilities decreased to £350.6 million (31 March 2024: £393.8 million), as
bonus provisions are for a half year period only.
Ninety One's liquidity position comprises cash and cash equivalents of £331.7
million (31 March 2024: £375.3 million). Ninety One maintains a consistent
liquidity management model, with liquidity requirements monitored carefully
against its existing and longer-term obligations. To meet the daily
requirements of the business and to mitigate its credit exposure, Ninety One
diversifies its cash and cash equivalents across a range of suitably
credit-rated corporate banks and money market funds.
Capital and regulatory position
£ million 30 September 2024 31 March 2024
Equity 347.9 367.6
Non-qualifying assets(2) (43.9) (43.9)
Qualifying capital 304.0 323.7
Dividend (48.6) (58.2)
Estimated regulatory requirement (112.5) (112.2)
Estimated capital surplus 142.9 153.3
Notes:
(1) The above table represents the amalgamated position across Ninety One plc
and its subsidiaries and Ninety One Limited and its subsidiaries, which for
regulatory capital purposes are separate groups. Both groups of companies had
an estimated capital surplus at 30 September 2024 and 31 March 2024.
(2) Non-qualifying assets comprise assets that are not available to meet
regulatory requirements.
The estimated regulatory capital requirement increased slightly to £112.5
million (31 March 2024: £112.2 million). Ninety One has an expected capital
surplus of £142.9 million (31 March 2024: £153.3 million), which is
consistent with the commitment to a capital-light balance sheet. This resulted
in Ninety One having a capital coverage of 227% of its capital requirement (31
March 2024: 237%). The capital requirements for all Ninety One companies are
monitored throughout the year.
Dividends and returns of capital
During the period, Ninety One undertook a share buyback programme. Noting the
share price and the capital coverage, the Board considered it prudent to
deploy the surplus capital on the balance sheet in this manner.
The Board has considered the strength of the balance sheet and the outlook for
the remainder of the period. In line with the stated dividend policy, the
Board has declared an interim dividend of 5.4 pence per share. The interim
dividend will be paid on 31 December 2024 to shareholders recorded on the UK
and South African share registers on 13 December 2024.
Alternative performance measures
Ninety One uses non-IFRS measures which include measures used by management to
monitor and assess the financial performance of Ninety One.
Items are included in or excluded from adjusted operating revenue and expenses
based on management's assessment of whether they contribute to the core
operations of the business. In particular:
‒ share of profit from associates, as well as net gain on investments and
other income, are included in adjusted operating revenue as these items are
directly attributable to operations;
‒ deferred employee benefit scheme movements are deducted from adjusted
operating revenue and adjusted operating expenses as the movements offset and
do not impact operating performance;
‒ subletting income is excluded from adjusted operating revenue and
deducted from adjusted operating expenses as it is a recovery of costs rather
than a core revenue item;
‒ the share scheme net credit/expense is excluded from adjusted operating
expenses and employee remuneration so that they reflect the position as though
all awards during the period were fully expensed in the same period; and
‒ interest expense on lease liabilities is excluded from adjusted net
interest income and included in adjusted operating expenses to reflect the
operating nature of this expense.
Adjusted earnings per share is calculated on the after tax adjusted operating
profit divided by the number of shares in issue at the end of the period, as
management's assessment is that this is a reliable measure of Ninety One's
operating performance.
These non-IFRS measures are considered additional disclosures and in no case
are intended to replace the financial information prepared in accordance with
the basis of preparation detailed in the condensed consolidated financial
statements. Moreover, the way in which Ninety One defines and calculates these
measures may differ from the way in which these or similar measures are
calculated by other entities. Accordingly, they may not be comparable to
measures used by other entities in Ninety One's industry.
The non-IFRS measures are considered to be pro forma financial information,
have been compiled for illustrative purposes only and are the responsibility
of Ninety One's Board. Due to their nature, they may not fairly present Ninety
One's financial position, changes in equity, results of operations or cash
flows. The non-IFRS financial information has been prepared with reference to
JSE Guidance Letter: Presentation of pro forma financial information dated 4
March 2010 and in accordance with paragraphs 8.15 to 8.33 in the JSE Listings
Requirements and the Revised SAICA Guide on Pro forma Financial Information
(issued September 2014), to the extent applicable given the Non-IFRS Financial
Information's nature. This pro forma financial information has not been
reviewed or reported on by Ninety One's external auditors.
These non-IFRS measures, including reconciliations to their nearest condensed
consolidated financial statements equivalents, are as follows:
£ million Six months to Six months to
30 September 2024
30 September 2023
Net revenue 290.3 294.3
Share of profit from associates 0.5 0.8
Net gain on investments and other income 1.1 4.9
Adjustments:
Deferred employee benefit scheme (gain)/loss (0.8) 0.2
Subletting income (0.6) (0.6)
Adjusted operating revenue 290.5 299.6
£ million Six months to Six months to
30 September 2024
30 September 2023
Operating expenses 206.4 202.4
Adjustments:
Share scheme net expense (4.9) (2.2)
Deferred employee benefit scheme (gain)/loss (0.8) 0.2
Subletting income (0.6) (0.6)
Interest expense on lease liabilities 1.8 1.9
Adjusted operating expenses 201.9 201.7
£ million Six months to Six months to
30 September 2024
30 September 2023
Staff expenses 129.5 132.5
Adjustments:
Share scheme net expense (4.9) (2.2)
Employee remuneration 124.6 130.3
£ million Six months to Six months to
30 September 2024
30 September 2023
Adjusted operating revenue 290.5 299.6
Adjusted operating expenses (201.9) (201.7)
Adjusted operating profit 88.6 97.9
Adjusted operating profit margin 30.5% 32.6%
£ million Six months to Six months to
30 September 2024
30 September 2023
Net interest income 7.8 6.4
Adjustments:
Interest expense on lease liabilities 1.8 1.9
Adjusted net interest income 9.6 8.3
£ million (unless stated otherwise) Six months to Six months to
30 September 2024
30 September 2023
Profit after tax 68.8 79.3
Adjusted net interest income (1) (9.6) (8.3)
Share scheme net expense (1) 4.9 2.2
Tax on adjusting items (1) 1.3 1.6
Adjusted earnings attributable to ordinary shareholders 65.4 74.8
Number of ordinary shares (m) 900.2 911.5
Adjusted earnings per share (p) 7.3 8.2
Note: 1 This comprises a component of "non-operating items" per adjusted
earnings per share definition on page 13.
Foreign currency
Ninety One prepares its financial information in British pound sterling. The
results of operations and the financial condition of Ninety One's individual
companies are reported in the local currencies of the countries in which they
are domiciled, including South African rand and US dollar. These results are
then translated into pound sterling at the applicable foreign currency
exchange rates for inclusion in the condensed consolidated financial
statements. The following table sets out the movement in the relevant exchange
rates against pound sterling for the six month periods ended 30 September 2023
and 2024, and the year ended 31 March 2024.
30 September 2024 31 March 2024 30 September 2023
Period end Average Year end Average Period end Average
South African rand 22.89 23.39 23.84 23.54 23.09 23.48
US dollar 1.34 1.28 1.26 1.26 1.22 1.26
DEFINITIONS
Adjusted earnings attributable to shareholders: Calculated as profit after tax
adjusted to remove non-operating items.
Adjusted earnings per share (Adjusted EPS): Adjusted earnings attributable to
shareholders divided by the number of ordinary shares in issue at the end of
the period.
Adjusted net interest income: Calculated as net interest income or expense
adjusted to exclude interest expense on lease liabilities for office premises.
Adjusted operating expenses: Calculated as operating expenses adjusted to
exclude share scheme movements and deferred employee benefit scheme movements,
but adjusted to include subletting income and interest expense on lease
liabilities.
Adjusted operating profit: Calculated as adjusted operating revenue less
adjusted operating expenses.
Adjusted operating profit margin: Calculated as adjusted operating profit
divided by adjusted operating revenue.
Adjusted operating revenue: Calculated as net revenue, adjusted to include
share of profit from associates, net gain/loss on investments and other
income, but adjusted to exclude deferred employee benefit scheme movements and
subletting income.
Assets under management (AUM): The aggregate assets managed on behalf of
clients. For some private markets investments, the aggregate value of assets
managed is based on committed funds by clients; this is changed to the lower
of committed funds and net asset value, in line with the fee basis. Where
cross investment occurs, assets and flows are identified, and the duplication
is removed.
Average AUM: Calculated as the average of opening AUM for the period, and the
month end AUM for each of the subsequent months in the period.
Average exchange rate: Calculated as the average of the daily closing spot
exchange rates in the relevant period.
Average management fee rate: Management fees divided by average AUM
(annualised for non-twelve month periods), expressed in basis points.
Basic earnings per share (Basic EPS): Profit attributable to shareholders
divided by the weighted average number of ordinary shares outstanding during
the period, excluding own shares held by Ninety One share schemes.
Compensation ratio: Calculated as employee remuneration divided by adjusted
operating revenue.
Diluted earnings per share: Profit for the period attributable to shareholders
divided by the weighted average number of ordinary shares outstanding during
the period, plus the weighted average number of ordinary shares that would be
issued on the conversion of all the potentially dilutive shares into ordinary
shares.
Employee remuneration: Calculated as staff expenses adjusted for share scheme
movements.
Headline earnings per share (HEPS): Ninety One is required to calculate HEPS
in accordance with JSE Listings Requirements, determined by reference to
circular 1/2023 "Headline Earnings" issued by the South African Institute of
Chartered Accountants.
JSE: Johannesburg Stock Exchange, the exchange operated by the JSE Limited, a
public company incorporated and registered in South Africa, under the
Financial Markets Act.
LSE: London Stock Exchange, the securities exchange operated by the London
Stock Exchange plc under the Financial Services and Markets Act 2000, as
amended.
Management fees: Recurring fees net of commission expense.
Net flows: The increase in AUM received from clients, less the decrease in AUM
withdrawn by clients, during a given period. Where cross investment occurs,
assets and flows are identified, and the duplication is removed.
Net revenue: Represents revenue in accordance with IFRS, less commission
expense.
Non-operating items: Include gains/losses on disposal of subsidiaries,
adjusted net interest income, share scheme movements, and tax on adjusting
items.
Non-qualifying assets: Comprise assets that are not available to meet
regulatory requirements.
PRINCIPAL RISKS AND UNCERTAINTIES
Ninety One faces a number of risks in the normal course of business. The Board
has the ultimate responsibility for risk management. It approves Ninety One's
risk appetite and general risk management framework and monitors the operation
of the framework.
The risk management framework is utilised across all categories of risk within
Ninety One and employs tools including risk assessments, key indicators,
stress and scenario tests and learnings from internal and external events.
This informs business decisions, helps direct resources and helps to ensure
Ninety One is appropriately capitalised.
There have been no significant changes to Ninety One's risk management
approach in the period. The principal risks faced by Ninety One remain
unchanged since the year end and continue to be the principal risks for the
second half of the financial year. These comprise business and strategic
risks, investments risks and operational risks. A detailed description of
each, including an overview of the risk management and mitigation approach, is
disclosed on pages 27 to 33 of the Integrated Annual Report 2024, which can be
accessed via the Investor Relations home page on the website at
www.ninetyone.com (http://www.ninetyone.com) . In addition, Ninety One
continues to monitor potential emerging risks and the risk of financial loss
resulting from the physical or transitional impacts of climate change.
STATEMENT OF DIRECTORS' RESPONSIBILITIES
For the six months ended 30 September 2024
The directors acknowledge their responsibility for the preparation and
presentation of the interim condensed consolidated financial statements.
Each of the directors of Ninety One plc and Ninety One Limited confirms to the
best of his or her knowledge and belief that:
‒ The condensed set of interim consolidated financial statements, which
comprises the condensed consolidated statement of comprehensive income,
condensed consolidated statement of financial position, condensed consolidated
statement of changes in equity, condensed consolidated statement of cash flows
and the related explanatory notes, has been prepared in accordance with the
basis of preparation, which includes the IAS 34 Interim Financial Reporting as
issued by the International Accounting Standards Board and as adopted for use
in the UK (which is identical in all material respects to the version issued
by the IASB) and presents fairly, in all material respects, the assets,
liabilities, financial position and profits of Ninety One for the six months
ended 30 September 2024.
‒ Under the UK Disclosure Guidance and Transparency Rules ("DTR"), the
interim management report includes a fair review of the information required
by:
‒ DTR 4.2.7R, being an indication of important events that have occurred
during the first six months of the financial year and their impact on the IFRS
interim condensed consolidated financial information and a description of the
principal risks and uncertainties for the remaining six months of the year;
and
‒ DTR 4.2.8R, being related party transactions that have taken place in
the first six months of the financial year and that have materially affected
the financial position or performance of the entity during that period; and
any changes in the related party transactions described in Ninety One's
Integrated Annual Report 2024, that could have had a material effect on the
financial position or performance of the enterprise in the first six months of
the current financial year.
‒ The results for the six months ended 30 September 2024, taken as a
whole, present a fair, balanced and understandable assessment of Ninety One's
position and prospects.
There was no change to the board of directors during the six months ended 30
September 2024. A list of current directors is maintained on the Ninety One
website: https://ninetyone.com (https://ninetyone.com) .
On behalf of the board of directors
Hendrik du Toit
Kim McFarland
Chief Executive Officer
Finance Director
19 November 2024
19 November 2024
Independent review report of PricewaterhouseCoopers LLP to Ninety One plc and
PricewaterhouseCoopers Inc. to the shareholders of Ninety One Limited
For the purpose of this report, the terms 'we' and 'our' denote
PricewaterhouseCoopers LLP in relation to UK legal, professional and
regulatory responsibilities and reporting obligations to Ninety One plc and
PricewaterhouseCoopers Inc. in relation to South African legal, professional
and regulatory responsibilities and reporting obligations to the shareholders
of Ninety One Limited. When we refer to PricewaterhouseCoopers LLP or
PricewaterhouseCoopers Inc. such reference is to that specific entity to the
exclusion of the other.
The interim financial statements, as defined below, consolidate the accounts
of Ninety One plc and Ninety One Limited and their respective subsidiaries
(the "Group") and include the Group's share of joint arrangements and
associates.
PricewaterhouseCoopers LLP is the appointed auditor of Ninety One plc, a
company incorporated in the United Kingdom in terms of the United Kingdom
Companies Act 2006. PricewaterhouseCoopers Inc. is the appointed auditor of
Ninety One Limited, a company incorporated in South Africa in terms of the
Companies Act of South Africa. PricewaterhouseCoopers LLP and
PricewaterhouseCoopers Inc. reviewed the interim financial statements of the
Group.
Report on the condensed consolidated interim financial statements
We have reviewed Ninety One plc and Ninety One Limited's condensed
consolidated interim financial statements (the "interim financial statements")
in the 'Interim results for the six months to 30 September 2024' ("the interim
results") of Ninety One plc and Ninety One Limited for the six month period
ended 30 September 2024 (the "period").
The interim financial statements comprise:
‒ the condensed consolidated statement of financial position as at 30
September 2024;
‒ the condensed consolidated statement of comprehensive income for the
period then ended;
‒ the condensed consolidated statement of cash flows for the period then
ended;
‒ the condensed consolidated statement of changes in equity for the
period then ended; and
‒ the explanatory notes to the interim financial statements.
The interim financial statements included in the accompanying interim results
of Ninety One plc and Ninety One Limited have been prepared in accordance with
UK adopted International Accounting Standard 34, 'Interim Financial
Reporting', International Accounting Standard 34, 'Interim Financial
Reporting' as issued by the International Accounting Standards Board (IASB),
the Disclosure Guidance and Transparency Rules sourcebook of the United
Kingdom's Financial Conduct Authority, the South African Institute of
Chartered Accountants (SAICA) Financial Reporting Guides as issued by the
Accounting Practices Committee and Financial Pronouncements as issued by the
South African Financial Reporting Standards Council and the requirements of
the Companies Act of South Africa.
Conclusion of PricewaterhouseCoopers LLP for Ninety One plc
Based on our review, nothing has come to our attention that causes us to
believe that the interim financial statements are not prepared, in all
material respects, in accordance with UK adopted International Accounting
Standard 34, 'Interim Financial Reporting' and the Disclosure Guidance and
Transparency Rules sourcebook of the United Kingdom's Financial Conduct
Authority.
Basis for PricewaterhouseCoopers LLP's conclusion for Ninety One plc
We conducted our review in accordance with International Standard on Review
Engagements (UK) 2410, 'Review of Interim Financial Information Performed by
the Independent Auditor of the Entity' issued by the Financial Reporting
Council for use in the United Kingdom ("ISRE (UK) 2410"). A review of interim
financial information in accordance with ISRE (UK) 2410 consists of making
enquiries, primarily of persons responsible for financial and accounting
matters, and applying analytical and other review procedures.
A review in accordance with ISRE (UK) 2410 is substantially less in scope than
an audit conducted in accordance with International Standards on Auditing (UK)
and, consequently, does not enable us to obtain assurance that we would become
aware of all significant matters that might be identified in an audit.
Accordingly, we do not express an audit opinion.
We have read the other information contained in the interim results and
considered whether it contains any apparent misstatements or material
inconsistencies with the information in the interim financial statements.
Conclusions of PricewaterhouseCoopers LLP relating to going concern
Based on our review procedures, which are less extensive than those performed
in an audit as described in the Basis for PricewaterhouseCoopers LLP's
conclusion for Ninety One plc section of this report, nothing has come to our
attention to suggest that the directors have inappropriately adopted the going
concern basis of accounting or that the directors have identified material
uncertainties relating to going concern that are not appropriately disclosed.
This conclusion is based on the review procedures performed in accordance with
ISRE (UK) 2410. However, future events or conditions may cause the group to
cease to continue as a going concern.
Conclusion of PricewaterhouseCoopers Inc. to the shareholders of Ninety One Limited
Based on our review, nothing has come to our attention that causes us to
believe that the accompanying interim financial statements of Ninety One
Limited for the six months ended 30 September 2024 are not prepared, in all
material respects, in accordance with International Accounting Standard 34,
'Interim Financial Reporting', as issued by the IASB, the SAICA Financial
Reporting Guides as issued by the Accounting Practices Committee and Financial
Pronouncements as issued by the South African Financial Reporting Standards
Council and the requirements of the Companies Act of South Africa.
Basis for PricewaterhouseCoopers Inc.'s conclusion to the shareholders of Ninety One Limited
We conducted our review in accordance with International Standard on Review
Engagements (ISRE) 2410, 'Review of Interim Financial Information Performed by
the Independent Auditor of the Entity' ('ISRE 2410') as issued by the
International Auditing and Assurance Standards Board. ISRE 2410 requires us to
conclude whether anything has come to our attention that causes us to believe
that the interim financial statements are not prepared in all material
respects in accordance with the applicable financial reporting framework. This
standard also requires us to comply with relevant ethical requirements.
A review of interim financial statements in accordance with ISRE 2410 is a
limited assurance engagement. We perform procedures, primarily consisting of
making inquiries of management and others within the entity, as appropriate,
and applying analytical procedures, and evaluate the evidence obtained. The
procedures performed in a review are substantially less than those performed
in an audit conducted in accordance with International Standards on Auditing.
Accordingly, we do not express an audit opinion on these interim financial
statements.
Responsibilities for the interim financial statements and the review
Our responsibilities and those of the directors
The interim results, including the interim financial statements, is the
responsibility of, and has been approved by the directors. The directors are
responsible for preparation and presentation of the accompanying interim
financial statements in accordance with UK adopted International Accounting
Standard 34, 'Interim Financial Reporting', International Accounting Standard
34, 'Interim Financial Reporting' as issued by the IASB, the Disclosure
Guidance and Transparency Rules sourcebook of the United Kingdom's Financial
Conduct Authority, the SAICA Financial Reporting Guides as issued by the
Accounting Practices Committee and Financial Pronouncements as issued by the
South African Financial Reporting Standards Council and the requirements of
the Companies Act of South Africa, and for such internal control as the
directors determine is necessary to enable the preparation of interim
financial statements that are free from material misstatement, whether due to
fraud or error. In preparing the accompanying interim results, including the
interim financial statements, the directors of Ninety One plc are responsible
for assessing the Ninety One plc's ability to continue as a going concern,
disclosing, as applicable, matters related to going concern and using the
going concern basis of accounting unless the directors either intend to
liquidate the group or to cease operations, or have no realistic alternative
but to do so.
Our responsibility is to express a conclusion on the interim financial
statements in the interim results based on our review.
Use of the review report of PricewaterhouseCoopers LLP
PricewaterhouseCoopers LLP's conclusions, including the Conclusions relating
to going concern, are based on procedures that are less extensive than audit
procedures, as described in the Basis for PricewaterhouseCoopers LLP's
conclusion for Ninety One plc paragraph of this report. This report, including
the conclusions, has been prepared for and only for the company for the
purpose of complying with the Disclosure Guidance and Transparency Rules
sourcebook of the United Kingdom's Financial Conduct Authority and for no
other purpose. PricewaterhouseCoopers LLP does not, in giving these
conclusions, accept or assume responsibility for any other purpose or to any
other person to whom this report is shown or into whose hands it may come save
where expressly agreed by our prior consent in writing.
PricewaterhouseCoopers LLP
PricewaterhouseCoopers Inc.
Chartered Accountants
Director: NA Jacobs
London, UK
Registered Auditor
19 November 2024
Cape Town, South Africa
19
November 2024
The examination of controls over the maintenance and integrity of the Group's
website is beyond the scope of the review of the financial statements.
Accordingly, we accept no responsibility for any changes that may have
occurred to the financial statements since they were initially presented on
the website.
CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
For the six months ended 30 September 2024
Six months ended Six months ended
30 September 2024 30 September 2023
£'m £'m
Notes (Reviewed) (Reviewed)
Revenue 2 343.0 350.2
Commission expense (52.7) (55.9)
Net revenue 290.3 294.3
Operating expenses 3 (206.4) (202.4)
Share of profit from associates 0.5 0.8
Net gain on investments and other income 4 1.1 4.9
Operating profit 85.5 97.6
Interest income 5 9.6 8.3
Interest expense 5 (1.8) (1.9)
Profit before tax 93.3 104.0
Tax expense 6 (24.5) (24.7)
Profit after tax 68.8 79.3
Other comprehensive income/(expense)
Items that will not be reclassified to profit or loss:
Net remeasurements on pension fund (1.2) -
Items that may be reclassified subsequently to profit or loss:
Foreign exchange differences on translation of foreign subsidiaries 4.1 (3.7)
Other comprehensive income/(expense) for the period 2.9 (3.7)
Total comprehensive income for the period 71.7 75.6
Earnings per share (pence)
Basic 7(a) 7.8 8.9
Diluted 7(a) 7.8 8.9
CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION
At 30 September 2024
30 September 2024 30 September 2023 31 March
2024
£'m £'m £'m
Notes (Reviewed) (Reviewed) (Audited)
Assets
Investments 9 47.2 43.0 49.4
Investment in associates 1.3 1.4 1.4
Property and equipment 20.4 22.1 21.3
Right-of-use assets 66.6 73.8 72.0
Deferred tax assets 28.1 23.9 28.5
Other receivables 2.4 3.4 2.5
Pension fund asset 0.9 2.5 2.7
Total non-current assets 166.9 170.1 177.8
Investments 9 20.6 16.7 25.4
Linked investments backing policyholder funds 12 11,330.0 9,724.8 10,298.3
Income tax recoverable 4.9 13.4 11.6
Trade and other receivables 239.5 230.2 230.1
Cash and cash equivalents 331.7 319.5 375.3
Total current assets 11,926.7 10,304.6 10,940.7
Total assets 12,093.6 10,474.7 11,118.5
Liabilities
Other liabilities 10 30.7 33.7 33.0
Lease liabilities 78.9 89.7 84.7
Deferred tax liabilities 46.6 29.3 38.3
Total non-current liabilities 156.2 152.7 156.0
Policyholder investment contract liabilities 12 11,319.5 9,709.6 10,278.5
Other liabilities 10 19.7 15.2 24.2
Lease liabilities 10.1 9.8 10.0
Trade and other payables 230.7 240.4 272.8
Income tax payable 9.5 9.2 9.4
Total current liabilities 11,589.5 9,984.2 10,594.9
Equity
Share capital 11(a) 408.1 424.7 418.7
Demerger reserves 11(b) (321.3) (321.3) (321.3)
Own share reserve 11(c) (63.3) (53.0) (49.8)
Other reserves 11(b) (12.7) (13.4) (10.7)
Retained earnings 336.9 300.6 330.5
Shareholders' equity excluding non-controlling interests 347.7 337.6 367.4
Non-controlling interests 0.2 0.2 0.2
Total equity 347.9 337.8 367.6
Total equity and liabilities 12,093.6 10,474.7 11,118.5
CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
For the six months ended 30 September 2024
Attributable to shareholders of parent companies
Share capital Demerger reserves Own share reserve Other reserves Retained earnings Total Non-controlling interests Total equity
Notes £'m £'m £'m £'m £'m £'m £'m £'m
At 1 April 2024 418.7 (321.3) (49.8) (10.7) 330.5 367.4 0.2 367.6
Profit for the period - - - - 68.8 68.8 - 68.8
Other comprehensive income - - - 4.1 (1.2) 2.9 - 2.9
Total comprehensive income - - - 4.1 67.6 71.7 - 71.7
Transactions with shareholders
Share-based payment charges related to Ninety One share scheme 11(b) - - - 8.6 - 8.6 - 8.6
Own shares purchased 11(c) - - (25.4) - - (25.4) - (25.4)
Vesting and release of share awards 11(b),(c) - - 11.9 (14.7) - (2.8) - (2.8)
Share buyback transactions 11(a) (10.6) - - - (2.5) (13.1) - (13.1)
Dividends paid 8 - - - - (58.7) (58.7) - (58.7)
Total transactions with shareholders (10.6) - (13.5) (6.1) (61.2) (91.4) - (91.4)
At 30 September 2024 408.1 (321.3) (63.3) (12.7) 336.9 347.7 0.2 347.9
At 1 April 2023 441.2 (321.3) (51.4) (6.6) 287.9 349.8 0.1 349.9
Profit for the period - - - - 79.2 79.2 0.1 79.3
Other comprehensive expense - - - (3.7) - (3.7) - (3.7)
Total comprehensive income - - - (3.7) 79.2 75.5 0.1 75.6
Transactions with shareholders
Share-based payment charges related to Ninety One share scheme 11(b) - - - 7.1 - 7.1 - 7.1
Own shares purchased 11(c) - - (12.0) - - (12.0) - (12.0)
Vesting and release of share awards 11(b),(c) - - 10.4 (10.2) - 0.2 - 0.2
Share buyback transactions (16.5) - - - (4.3) (20.8) - (20.8)
Dividends paid 8 - - - - (62.2) (62.2) - (62.2)
Total transactions with shareholders (16.5) - (1.6) (3.1) (66.5) (87.7) - (87.7)
At 30 September 2023 424.7 (321.3) (53.0) (13.4) 300.6 337.6 0.2 337.8
CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS
For the six months ended 30 September 2024
Six months ended Six months ended
30 September 2024 30 September 2023
£'m £'m
Notes (Reviewed) (Reviewed)
(Restated)(1)
Cash flows from operations - shareholders 13(a) 59.0 57.2
Cash flows from operations - policyholders(1) 13(a) (20.6) (36.1)
Cash flows from operations(1) 38.4 21.1
Interest received 9.6 8.4
Interest paid in respect of lease liabilities 13(b) (1.8) (1.9)
Dividends received from associates 0.6 0.6
Income tax paid (29.6) (31.6)
Net cash flows from operating activities(1) 17.2 (3.4)
Cash flows from investing activities
Acquisition of investments (14.8) (12.5)
Disposal of investments 22.2 21.2
Additions to property and equipment (1.2) (1.2)
Net cash flows from investing activities 6.2 7.5
Cash flows from financing activities
Principal elements of lease payments 13(b) (4.8) (4.9)
Purchase of own shares 11(c) (25.4) (12.0)
Share buyback 11(a) (11.8) (18.8)
Dividends paid 8 (58.7) (62.2)
Net cash flows from financing activities (100.7) (97.9)
Cash and cash equivalents at 1 April(1) 457.1 470.9
Net change in cash and cash equivalents(1) (77.3) (93.8)
Effect of foreign exchange rate changes(1) 17.2 (2.2)
Cash and cash equivalents at 30 September(1) 397.0 374.9
Cash and cash equivalents at 30 September consist of:
Cash and cash equivalents available for use by the Group 331.7 319.5
Cash and cash equivalents presented within other assets:
Cash and cash equivalents presented within linked investments backing 65.3 55.4
policyholder funds(1)
Cash and cash equivalents at 30 September(1) 397.0 374.9
1.The comparative amounts have been restated to remove the impact of an
unrecognised policyholder reduction which was offset against cash and cash
equivalents presented within linked investments backing policyholder funds at
1 April 2023 and 30 September 2023. Accordingly, the prior period numbers have
been amended as follows:
- Cash and cash equivalents at 1 April and 30 September have changed from
£450.9 million to £470.9 million and £352.5 million to £374.9 million
respectively;
- Cash and cash equivalents presented within linked investments backing
policyholder funds has changed from £33.0 million to £55.4 million;
- Cash flows from operations - policyholders has changed from net outflow of
£39.3 million to £36.1 million;
- Cash flows from operations has changed from net inflow of £17.9 million to
£21.1 million;
- Net cash flows from operating activities has changed from net outflow of
£6.6 million to £3.4 million;
- Net change in cash and cash equivalents has changed from net outflow of
£97.0 million to £93.8 million; and
- Effect of foreign exchange rate changes has changed from (£1.4) million to
(£2.2) million.
NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
For the six months ended 30 September 2024
General information
Ninety One operates as a dual-listed company ("DLC") under a DLC structure.
The DLC structure comprises Ninety One plc, a public company incorporated in
England and Wales under the UK Companies Act 2006 and Ninety One Limited, a
public company incorporated in South Africa under the South African Companies
Act 71 of 2008. Under the DLC structure, Ninety One plc and Ninety One
Limited, together with their direct and indirect subsidiaries, effectively
form a single economic enterprise (the "Group") in which the economic and
voting rights of ordinary shareholders of the companies are maintained in
equilibrium relative to each other. The Group is listed on the London and
Johannesburg Stock Exchanges.
1 Basis of preparation
The interim condensed consolidated financial statements for the six months
ended 30 September 2024 ("Interim financial statements") have been prepared in
accordance with:
- IAS 34 Interim Financial Reporting as issued by the International
Accounting Standards Board ("IASB") and UK-adopted International Accounting
Standard 34 Interim Financial Reporting, which as it applies to the Group's
Interim financial statements, is identical in all material respects to the
version issued by the IASB;
- the accounting policies and significant judgements and estimates
applied in the preparation of these Interim financial statements are
consistent with those applied to the Group's consolidated financial statements
for the year ended 31 March 2024;
- the South African Institute of Chartered Accountants ("SAICA")
Financial Reporting Guides as issued by the Accounting Practices Committee and
Financial Pronouncements as issued by the Financial Reporting Standards
Council and the requirements of the Companies Act of South Africa; and
- the Disclosure Guidance and Transparency Rules ("DTR") of the
Financial Conduct Authority in the UK.
The Interim financial statements have been prepared on the historical cost
basis with the exception of linked investments backing policyholder funds,
policyholder investment contract liabilities, investments, money market funds
within cash and cash equivalents, other liabilities and the pension fund asset
which are measured at fair value through profit or loss.
The Interim financial statements do not constitute statutory accounts as
defined in Section 435 of the Companies Act 2006 in the UK. The results for
the full year 31 March 2024 have been taken from the Group's Integrated Annual
Report 2024. Therefore, these interim results should be read in conjunction
with the Integrated Annual Report 2024 which were prepared in accordance with
UK-adopted international accounting standards, International Financial
Reporting Standards as issued by the IASB and under the DTR at that time.
PricewaterhouseCoopers LLP reported on the 31 March 2024 financial statements,
and their report was unmodified and did not contain a statement under Section
498(2) or (3) of the Companies Act 2006 in the UK. The Integrated Annual
Report 2024 has been filed with the Registrar of Companies in the UK.
The Interim financial statements are unaudited but have been reviewed by
PricewaterhouseCoopers LLP and PricewaterhouseCoopers Inc., who expressed
unmodified review conclusions.
The presentation currency of the Group is Pounds Sterling ("£"), being the
functional currency of Ninety One plc. The functional currency of Ninety One
Limited is South African Rand. All values are rounded to the nearest million
("£'m"), unless otherwise indicated.
The functional currencies of subsidiary undertakings are determined based on
the primary economic environment in which the entity operates. Foreign
currency transactions are translated into the functional currency of the
entity in which the transactions arise, based on rates of exchange ruling at
the date of the transactions.
Going concern
The Board of Directors has considered the resilience of the Group and taken
into account its current financial position and the principal and emerging
risks facing the business, including the impacts that climate change, current
events and market conditions have had on the Group's financial performance and
outlook. The Board of Directors has performed a going concern assessment by
applying various stressed scenarios, including plausible downside assumptions,
about the impact on assets under management, profitability of the Group and
known commitments. All scenarios show that the Group would maintain sufficient
resources to enable it to continue operating profitably for a period of at
least 12 months from the date of the release of these results. The Interim
financial statements have therefore been prepared on a going concern basis.
2 Segmental reporting
Revenue primarily consists of management fees and performance fees derived
from investment management activities. As an integrated global investment
manager, the Group operates a single-segment investment management business.
All financial, business and strategic decisions are made centrally by the
chief operating decision maker (the "CODM") of the Group. The CODM is the
Chief Executive Officer of the Group. Reporting provided to the CODM is on an
aggregated basis which is used for evaluating the Group's performance and the
allocation of resources. The CODM monitors operating profit for the purpose of
making decisions about resource allocation and performance assessment. Given
that only one segment exists, no additional information is presented in
relation to it, as it is disclosed throughout the Interim financial
statements. Revenue is disaggregated by geographic location of contractual
entities, as this best depicts how the nature, amount, timing and uncertainty
of the Group's revenue and cash flows are affected by economic factors.
Revenue is generated from a diversified customer base and the Group has no
single customer that it relies on. Non-current assets other than financial
instruments and deferred tax assets are allocated based on where the assets
are physically located.
Six months ended Six months ended
30 September 2024 30 September 2023
Revenue from external clients Notes £'m £'m
United Kingdom 215.6 229.6
South Africa 82.1 77.8
Rest of the world 45.3 42.8
343.0 350.2
Performance fees included in revenue above 7.9 12.1
Non-current assets
United Kingdom 65.8 70.7
South Africa 3.0 2.3
Rest of the world 19.5 24.3
88.3 97.3
Six months ended Six months ended
30 September 2024 30 September 2023
3 Operating expenses by nature £'m £'m
Staff expenses 129.5 132.5
Deferred employee benefit scheme gain/(loss) 0.8 (0.2)
Depreciation of right-of-use assets 13(a) 4.6 4.6
Depreciation of property and equipment 13(a) 2.1 2.0
Auditors' remuneration 1.0 0.9
Third party administration(1) 21.2 18.9
Other administrative expenses(1) 47.2 43.7
206.4 202.4
1. The comparative amounts have been re-presented to provide further
disaggregation of expenses by nature, thus resulting in a split out of the
"Third party administration". The total operating expenses amount remains
unchanged.
Six months ended Six months ended
30 September 2024 30 September 2023
4 Net gain on investments and other income £'m £'m
Deferred employee benefit scheme gain/(loss) 0.8 (0.2)
(Loss)/gain on other investments (0.5) 0.9
Net gain on investments 13(a) 0.3 0.7
Foreign exchange (loss)/gain (2.5) 0.5
Subletting income 0.6 0.6
Other income 2.7 3.1
1.1 4.9
Six months ended Six months ended
30 September 2024 30 September 2023
5 Interest income/expense £'m £'m
Interest income from financial assets measured at amortised cost 1.9 2.0
Interest income from money market funds measured at fair value through profit 7.7 6.3
or loss
Interest income 13(a) 9.6 8.3
Interest expense on lease liabilities 13(b) (1.8) (1.9)
Interest expense 13(a) (1.8) (1.9)
Six months ended Six months ended
30 September 2024 30 September 2023
6 Tax expense £'m £'m
Current tax - current year 22.7 23.9
Current tax - adjustment for prior years 0.1 (0.4)
Current tax expense 22.8 23.5
Deferred tax - current year 1.6 1.2
Deferred tax - adjustment for prior years 0.1 -
Deferred tax expense 1.7 1.2
24.5 24.7
The estimated average annual effective tax rate used for the six months ended
30 September 2024 is 26.3% (30 September 2023: 23.8%). The increase is largely
driven by the increase in profit in higher tax jurisdictions and the
recognition of the global minimum tax under Pillar Two legislation.
7 Earnings per share
The Group calculates earnings per share ("EPS") on a number of different bases
in accordance with IFRS and prevailing South African requirements.
7(a) Basic and diluted earnings per share
The calculations of basic and diluted EPS are based on IAS 33 Earnings Per
Share.
Basic EPS is calculated by dividing profit attributable to shareholders by the
weighted average number of ordinary shares outstanding during the period,
excluding own shares held by the Group.
Diluted EPS is calculated by dividing profit attributable to shareholders by
the weighted average number of ordinary shares outstanding during the period,
plus the weighted average number of ordinary shares that would be issued on
the conversion of all the potentially dilutive shares into ordinary shares.
Six months ended Six months ended
30 September 2024 30 September 2023
£'m £'m
Profit attributable to shareholders 68.8 79.3
The calculation of the weighted average number of ordinary shares for the
purpose of calculating basic and diluted earnings per share is:
Six months ended Six months ended
30 September 2024 30 September 2023
Number of shares Number of shares
Millions Millions
Weighted average number of ordinary shares for the purpose of calculating 879.1 895.5
basic EPS
Effect of dilutive potential shares - share awards 4.2 -
Weighted average number of ordinary shares for the purpose of calculating 883.3 895.5
diluted EPS
Basic EPS (pence) 7.8 8.9
Diluted EPS (pence) 7.8 8.9
7(b) Headline earnings and diluted headline earnings per share
The Group is required to calculate headline earnings per share ("HEPS") in
accordance with the JSE Listings Requirements, determined by reference to
circular 1/2023 "Headline Earnings" issued by the South African Institute of
Chartered Accountants.
There are no adjustments between profit attributable to shareholders and
headline earnings for the six months ended 30 September 2024 and 2023. As a
result, HEPS and diluted HEPS are the same as basic EPS and diluted EPS.
Six months ended Six months ended
30 September 2024
30 September 2023
8 Dividends Pence per share £'m Pence per share £'m
Prior year's final dividend paid 6.4 58.7 6.7 62.2
On 19 November 2024, the Board of Directors declared an interim dividend for
the six months ended 30 September 2024 of 5.4 pence per ordinary share, an
estimated £48.6 million in total. The dividend is expected to be paid on 31
December 2024 to shareholders on the register at the close of business on 13
December 2024.
30 September 2024 30 September 2023 31 March
2024
9 Investments £'m £'m £'m
Non-current
Investment in unlisted investment vehicles 18.6 8.8 16.1
Deferred compensation investments 24.4 30.3 29.3
Other investments 4.2 3.9 4.0
47.2 43.0 49.4
Current
Deferred compensation investments 17.3 13.7 22.2
Seed investments 3.3 3.0 3.2
20.6 16.7 25.4
30 September 2024 30 September 2023 31 March
2024
10 Other liabilities £'m £'m £'m
Non-current
Deferred compensation liabilities 25.7 32.1 31.2
Third party interests in consolidated funds(1) 5.0 1.6 1.8
30.7 33.7 33.0
Current
Deferred compensation liabilities 19.7 15.2 24.2
50.4 48.9 57.2
1. This was referred to as "Other liabilities" in prior periods and has been
renamed to reflect the nature of this liability.
11 Share capital and other reserves
11(a) Share capital
During the six months ended 30 September 2024, the Group bought back and
cancelled 7.2 million shares in Ninety One Limited on-market for a total
consideration of R276.1 million (equivalent to £11.8 million) including
transaction costs. These transactions have resulted in a reduction in share
capital of R216.8 million (equivalent to £10.6 million) and retained earnings
of R59.3 million (equivalent to £2.5 million). Total ordinary shares in issue
and share capital of the Group at 30 September 2024 were 900.2 million shares
with nominal value of £408.1 million (30 September 2023: 911.5 million shares
with a nominal value of £424.7 million; 31 March 2024: 907.4 million shares
with a nominal value of £418.7 million).
To maintain the same equalisation ratio in the DLC structure, an equal amount
of special converting shares in Ninety One plc were redeemed following the
cancellation of ordinary shares in Ninety One Limited.
11(b) Demerger reserves and other reserves
Demerger reserves
The Group demerged from Investec in March 2020 and reserves were created
during the demerger process as below:
30 September 2024 30 September 2023 31 March
2024
£'m £'m £'m
Distributable reserve 732.2 732.2 732.2
Merger reserve 183.0 183.0 183.0
DLC reserve (1,236.5) (1,236.5) (1,236.5)
(321.3) (321.3) (321.3)
Other reserves
The movements in other reserves during the period/year were:
Share-based payment reserve Foreign currency translation reserve Total
£'m £'m £'m
At 1 April 2024 32.0 (42.7) (10.7)
Foreign exchange differences on translation of foreign subsidiaries - 4.1 4.1
Share-based payment charges 8.6 - 8.6
Vesting and release of share awards (14.7) - (14.7)
At 30 September 2024 25.9 (38.6) (12.7)
At 1 April 2023 29.6 (36.2) (6.6)
Foreign exchange differences on translation of foreign subsidiaries - (3.7) (3.7)
Share-based payment charges 7.1 - 7.1
Vesting and release of share awards (10.2) - (10.2)
At 30 September 2023 26.5 (39.9) (13.4)
At 1 April 2023 29.6 (36.2) (6.6)
Foreign exchange differences on translation of foreign subsidiaries - (6.5) (6.5)
Share-based payment charges 16.5 - 16.5
Vesting and release of share awards (14.1) - (14.1)
At 31 March 2024 32.0 (42.7) (10.7)
11(c) Own share reserve
Movements in the own shares reserve during the period/year were:
30 September 2024 30 September 2023 31 March 2024
Number of shares Number of shares Number of shares
Millions £'m Millions £'m Millions £'m
Opening balance 23.3 49.8 22.6 51.4 22.6 51.4
Own shares purchased 13.9 25.4 7.1 12.0 7.4 12.5
Own shares vested and released (5.8) (11.9) (4.7) (10.4) (6.7) (14.1)
Closing balance 31.4 63.3 25.0 53.0 23.3 49.8
12 Fair values of financial instruments
The fair values of all financial instruments are substantially similar to
carrying values reflected in the condensed consolidated statement of financial
position as they are short-term in nature, subject to variable, market-related
interest rates or stated at fair value in the condensed consolidated statement
of financial position. The Group measures fair values including policyholders'
assets and liabilities using the following fair value hierarchy that reflects
the significance of the inputs used in making the measurements:
Level 1: Quoted market price (unadjusted) in an active market for an identical
instrument.
Level 2: Prices that are not traded in an active market but are determined
using valuation techniques, which are based on observable inputs. The Group's
level 2 financial instruments principally comprise unquoted investments
including mutual funds, collective investment schemes, debt securities,
derivatives and policyholder investment contract liabilities. Valuation
techniques may include using a broker quote in an active market or an
evaluated price based on a compilation of primarily observable market
information utilising information readily available via external sources.
Level 3: Valuation techniques that include significant inputs that are
unobservable. Unobservable inputs are only used to measure fair value to the
extent that relevant observables inputs are not available.
Financial instruments measured at fair value at the end of the reporting
period by the level in the fair value hierarchy were:
Level 1 Level 2 Level 3 Total
At 30 September 2024 Notes £'m £'m £'m £'m
Deferred compensation investments 9 41.7 - - 41.7
Seed investments 9 3.3 - - 3.3
Unlisted investment vehicles 9 - 2.6 16.0 18.6
Other investments 9 - 4.2 - 4.2
Money market funds 258.8 - - 258.8
Investments backing policyholder funds 918.0 10,340.3 71.7 11,330.0
Total financial assets measured at fair value 1,221.8 10,347.1 87.7 11,656.6
Policyholder investment contract liabilities - (11,319.5) - (11,319.5)
Other liabilities 10 - (50.4) - (50.4)
Total financial liabilities measured at fair value - (11,369.9) - (11,369.9)
At 30 September 2023 (Restated)
Deferred compensation investments 9 44.0 - - 44.0
Seed investments 9 3.0 - - 3.0
Unlisted investment vehicles 9 - - 8.8 8.8
Other investments 9 - 3.9 - 3.9
Money market funds 236.8 - - 236.8
Investments backing policyholder funds 724.5 8,943.0 57.3 9,724.8
Total financial assets measured at fair value 1,008.3 8,946.9 66.1 10,021.3
Policyholder investment contract liabilities - (9,709.6) - (9,709.6)
Other liabilities(1) 10 - (48.9) - (48.9)
Total financial liabilities measured at fair value - (9,758.5) - (9,758.5)
Level 1 Level 2 Level 3 Total
At 31 March 2024 Notes £'m £'m £'m £'m
Deferred compensation investments 9 51.5 - - 51.5
Seed investments 9 3.2 - - 3.2
Unlisted investment vehicles 9 - 2.4 13.7 16.1
Other investments 9 - 4.0 - 4.0
Money market funds 294.0 - - 294.0
Investments backing policyholder funds 743.9 9,485.9 68.5 10,298.3
Total financial assets measured at fair value 1,092.6 9,492.3 82.2 10,667.1
Policyholder investment contract liabilities - (10,278.5) - (10,278.5)
Other liabilities 10 - (57.2) - (57.2)
Total financial liabilities measured at fair value - (10,335.7) - (10,335.7)
1. The comparative amount was reclassified from level 1 to level 2 to
correctly reflect the measurement of these liabilities.
During all of the above reporting periods, there were no transfers between
level 1 and level 2. The Group's policy is to recognise transfers between
levels of fair value hierarchy as at the end of the reporting period in which
they occur. Carrying amounts of the financial assets and financial liabilities
measured at amortised cost approximate fair value.
Information about level 3 fair value measurements
Unlisted investment vehicles represent the Group's investment in Ninety One
Africa Private Equity Fund 2 L.P. and Ninety One Global Alternative Fund 2
SCSp RAIF - European Credit Opportunities Fund 1 at 30 September 2024, 30
September 2023 and 31 March 2024. The key unobservable input used in
measuring their fair values is the value of the underlying investments of
these funds which are calculated by the General Partners using multiple
valuation techniques such as amortised cost, EBITDA multiple or NPV.
If the value of the underlying level 3 investments within unlisted investment
vehicles increased by 10% (30 September 2023: 10%, 31 March 2024:10%) at
period/year end, the Group estimates that the fair value measurement of these
reported level 3 assets would have increased by £1.6 million (30 September
2023: £0.9 million, 31 March 2024: £1.4 million). A decrease of 10% would
have had the equal but opposite effect.
Investments backing policyholder funds include credit exposures that are not
actively traded and where the principal input in their valuation (i.e. credit
spreads) is unobservable. Accordingly, an alternative valuation methodology
has been applied being an EBITDA multiple, discounted cashflow models with
spread adjustments for any credit rating downgrades or expected cost recovery.
All of the investment risk associated with these assets is borne by
policyholders and that the value of these assets is exactly matched by a
corresponding liability due to policyholders. The Group bears no risk from a
change in the market value of these assets except to the extent that it has an
impact on management fees earned.
If the value of the underlying level 3 investments within investments backing
policyholder funds increased by 10% (30 September 2023: 10%, 31 March 2024:
10%) at period/year end, the Group estimates that the fair value measurement
of these reported level 3 assets would have increased by £7.2 million (30
September 2023: £5.7 million, 31 March 2024: £6.9 million). A decrease of
10% would have had the equal but opposite effect.
The movements during the period/year in the balance of the level 3 fair value
measurements were:
30 September 2024 30 September 2023 31 March
2024
Unlisted investment vehicles £'m £'m £'m
Opening balance 13.7 8.0 8.0
Purchase 3.0 - 5.1
Unrealised (loss)/gain (0.7) 0.8 0.6
Closing balance 16.0 8.8 13.7
30 September 2024 30 September 2023 31 March
2024
Investments backing policyholder funds £'m £'m £'m
Opening balance 68.5 45.9 45.9
Purchase/(disposal) 6.0 17.0 (7.9)
Transfer from level 2 - - 27.8
Unrealised (loss)/gain (5.6) (3.9) 6.4
Foreign exchange adjustment 2.8 (1.7) (3.7)
Closing balance 71.7 57.3 68.5
13 Notes to the condensed consolidated statement of cash flows
13(a) Reconciliation of cash flows from operations
Six months ended Six months ended
30 September 2024 30 September 2023
Notes £'m £'m
(Restated)
Cash flows from operations - shareholders
Profit before tax 93.3 104.0
Adjusted for:
Net gain on investments 4 (0.3) (0.7)
Depreciation of right-of-use assets 3 4.6 4.6
Depreciation of property and equipment 3 2.1 2.0
Interest income 5 (9.6) (8.3)
Interest expense 5 1.8 1.9
Net loss of pension fund 0.2 0.1
Share of profit from associates (0.5) (0.8)
Share-based payment charges related to Ninety One share scheme 11(b) 8.6 7.1
Working capital changes:
Trade and other receivables (3.1) 33.4
Trade and other payables (31.3) (79.6)
Other liabilities (6.8) (6.5)
59.0 57.2
Cash flows from operations - policyholders
Net fair value (gains)/losses on linked investments backing policyholder funds (475.8) 62.1
Net fair value change on policyholder investment contract liabilities 665.7 128.0
Net (withdrawal by)/contribution received from policyholders (66.8) 37.4
Net acquisition of linked investments backing policyholder funds(1) (132.7) (278.2)
Working capital changes:
Trade and other receivables (6.3) (3.1)
Trade and other payables (10.8) 17.7
Other movements 6.1 -
(20.6) (36.1)
1. The comparative amounts have been restated to remove the impact of
unrecognised policyholder reduction which was offset against cash and cash
equivalents presented within linked investments backing policyholder funds.
13(b) Reconciliation of liabilities arising from financing activities
The table below details changes in the Group's liabilities from financing
activities, including both cash and non-cash changes. Liabilities arising from
financing activities are liabilities for which cash flows were, or future cash
flows will be, classified in the condensed consolidated statement of cash
flows as cash flows from financing activities.
Lease liabilities
Six months ended Six months ended
30 September 2024 30 September 2023
£'m £'m
At 1 April 94.7 102.7
Changes from cash flows:
Principal elements of lease payments (4.8) (4.9)
Interest paid in respect of lease liabilities (1.8) (1.9)
Payment of lease liabilities (6.6) (6.8)
Other changes:
Additions and remeasurement of lease liabilities 0.1 1.5
Interest expense on lease liabilities 5 1.8 1.9
Foreign exchange adjustment (1.0) 0.2
At 30 September 89.0 99.5
14 Events after the reporting date
Other than the dividend declared by the Board presented in note 8, no event
was noted after the reporting date that would require disclosures in or
adjustments to the condensed consolidated financial statements.
Annexure to the condensed consolidated financial statements
Condensed consolidated statement of financial position (including policyholder
figures) - Unaudited
At 30 September 2024 At 30 September 2023 At 31 March 2024
Policy-holders Share-holders Total Policy-holders Share-holders Total Policy-holders Share-holders Total
£'m £'m £'m £'m £'m £'m £'m £'m £'m
Assets
Investments - 47.2 47.2 - 43.0 43.0 - 49.4 49.4
Investment in associates - 1.3 1.3 - 1.4 1.4 - 1.4 1.4
Property and equipment - 20.4 20.4 - 22.1 22.1 - 21.3 21.3
Right-of-use assets - 66.6 66.6 - 73.8 73.8 - 72.0 72.0
Deferred tax assets - 28.1 28.1 - 23.9 23.9 - 28.5 28.5
Other receivables - 2.4 2.4 - 3.4 3.4 - 2.5 2.5
Pension fund asset - 0.9 0.9 - 2.5 2.5 - 2.7 2.7
Total non-current assets - 166.9 166.9 - 170.1 170.1 - 177.8 177.8
Investments - 20.6 20.6 - 16.7 16.7 - 25.4 25.4
Linked investments backing policyholder funds 11,330.0 - 11,330.0 9,724.8 - 9,724.8 10,298.3 - 10,298.3
Income tax recoverable - 4.9 4.9 - 13.4 13.4 - 11.6 11.6
Trade and other receivables 65.1 174.4 239.5 67.8 162.4 230.2 58.8 171.3 230.1
Cash and cash equivalents - 331.7 331.7 - 319.5 319.5 - 375.3 375.3
Total current assets 11,395.1 531.6 11,926.7 9,792.6 512.0 10,304.6 10,357.1 583.6 10,940.7
Total assets 11,395.1 698.5 12,093.6 9,792.6 682.1 10,474.7 10,357.1 761.4 11,118.5
Liabilities
Other liabilities - 30.7 30.7 - 33.7 33.7 - 33.0 33.0
Lease liabilities - 78.9 78.9 - 89.7 89.7 - 84.7 84.7
Deferred tax liabilities 45.8 0.8 46.6 29.2 0.1 29.3 38.0 0.3 38.3
Total non-current liabilities 45.8 110.4 156.2 29.2 123.5 152.7 38.0 118.0 156.0
Policyholder investment contract liabilities 11,319.5 - 11,319.5 9,709.6 - 9,709.6 10,278.5 - 10,278.5
Other liabilities - 19.7 19.7 - 15.2 15.2 - 24.2 24.2
Lease liabilities - 10.1 10.1 - 9.8 9.8 - 10.0 10.0
Trade and other payables 29.8 200.9 230.7 53.8 186.6 240.4 40.6 232.2 272.8
Income tax payable - 9.5 9.5 - 9.2 9.2 - 9.4 9.4
Total current liabilities 11,349.3 240.2 11,589.5 9,763.4 220.8 9,984.2 10,319.1 275.8 10,594.9
Equity
Share capital - 408.1 408.1 - 424.7 424.7 - 418.7 418.7
Demerger reserves - (321.3) (321.3) - (321.3) (321.3) - (321.3) (321.3)
Own share reserve - (63.3) (63.3) - (53.0) (53.0) - (49.8) (49.8)
Other reserves - (12.7) (12.7) - (13.4) (13.4) - (10.7) (10.7)
Retained earnings - 336.9 336.9 - 300.6 300.6 - 330.5 330.5
Shareholders' equity excluding non-controlling interests - 347.7 347.7 - 337.6 337.6 - 367.4 367.4
Non-controlling interests - 0.2 0.2 - 0.2 0.2 - 0.2 0.2
Total equity - 347.9 347.9 - 337.8 337.8 - 367.6 367.6
Total equity and liabilities 11,395.1 698.5 12,093.6 9,792.6 682.1 10,474.7 10,357.1 761.4 11,118.5
Condensed consolidated statement of cash flows (including policyholder
figures) - Unaudited
Six months ended 30 September 2024 Six months ended 30 September 2023
Policy-holders Share-holders Total Policy-holders Share-holders Total
£'m £'m £'m £'m £'m £'m
Cash flows from operations (20.6) 59.0 38.4 (36.1) 57.2 21.1
Interest received - 9.6 9.6 - 8.4 8.4
Interest paid in respect of lease liabilities - (1.8) (1.8) - (1.9) (1.9)
Dividends received from associates - 0.6 0.6 - 0.6 0.6
Income tax paid - (29.6) (29.6) - (31.6) (31.6)
Net cash flows from operating activities (20.6) 37.8 17.2 (36.1) 32.7 (3.4)
Cash flows from investing activities
Acquisition of investments - (14.8) (14.8) - (12.5) (12.5)
Disposal of investments - 22.2 22.2 - 21.2 21.2
Additions to property and equipment - (1.2) (1.2) - (1.2) (1.2)
Net cash flows from investing activities - 6.2 6.2 - 7.5 7.5
Cash flows from financing activities
Principal elements of lease payments - (4.8) (4.8) - (4.9) (4.9)
Purchase of own shares - (25.4) (25.4) - (12.0) (12.0)
Share buyback - (11.8) (11.8) - (18.8) (18.8)
Dividends paid - (58.7) (58.7) - (62.2) (62.2)
Net cash flows from financing activities - (100.7) (100.7) - (97.9) (97.9)
Cash and cash equivalents at 1 April 81.8 375.3 457.1 91.3 379.6 470.9
Net change in cash and cash equivalents (20.6) (56.7) (77.3) (36.1) (57.7) (93.8)
Effect of foreign exchange rate changes 4.1 13.1 17.2 0.2 (2.4) (2.2)
Cash and cash equivalents at 30 September 65.3 331.7 397.0 55.4 319.5 374.9
SHAREHOLDER INFORMATION AND DIVIDEND DECLARATION
In terms of the DLC structure, Ninety One plc shareholders registered on the
United Kingdom share register may receive all or part of their dividend
entitlements through dividends declared and paid by Ninety One plc on their
ordinary shares and/or through dividends declared and paid on the SA DAN share
issued by Ninety One Limited.
Ninety One plc shareholders registered on the South African branch register
may receive all or part of their dividend entitlements through dividends
declared and paid by Ninety One plc on their ordinary shares and/or through
dividends declared and paid on the SA DAS share issued by Ninety One Limited.
Ninety One plc dividend declaration
The Board has declared a gross interim dividend of 5.4 pence per share. The
interim dividend will be paid on 31 December 2024 to shareholders recorded in
the shareholder registers of the company at close of business on 13 December
2024.
Ninety One plc shareholders registered on the United Kingdom share register,
will receive their dividend payment by Ninety One plc of 5.4 pence per
ordinary share.
Ninety One plc shareholders registered on the South African branch register,
will receive their dividend payment by Ninety One Limited, on the SA DAS
share, equivalent to 5.4 pence per ordinary share.
The relevant dates for the payment of the dividend are as follows:
Last day to trade cum-dividend
On the Johannesburg Stock Exchange ("JSE") Tuesday, 10 December 2024
On the London Stock Exchange ("LSE") Wednesday, 11 December 2024
Shares commence trading ex-dividend
On the JSE Wednesday, 11 December 2024
On the LSE Thursday, 12 December 2024
Record date (on the JSE and LSE) Friday, 13 December 2024
Payment date (on the JSE and LSE) Tuesday, 31 December 2024
Share certificates on the South African branch register may not be
dematerialised or rematerialised between Wednesday, 11 December 2024 and
Friday 13, December 2024, both dates inclusive, nor may transfers between the
United Kingdom share register and the South African branch register take place
between Wednesday, 11 December 2024 and Friday, 13 December 2024, both dates
inclusive.
Additional information for Ninety One shareholders registered on the South
African branch register
· The interim dividend declared by Ninety One plc to shareholders
registered on the South African branch register is a local payment derived
from funds sourced in South Africa.
· Shareholders registered on the South African branch register are
advised that the distribution of 5.40000 pence, equivalent to a gross dividend
of 123.42564 cents per share (rounded to 123.00000 cents per share), has been
arrived at using the rand/pound sterling average buy/sell spot rate of
ZAR22.8566/£, as determined at 11:00 (SA time) on Tuesday, 19 November 2024.
Consequently, tax will be calculated on the gross dividend of 123.00000 cents
per share.
· Ninety One plc United Kingdom tax reference number: 623 59652
16053.
· The issued ordinary share capital of Ninety One plc is 622,624,622
ordinary shares.
· The dividend paid by Ninety One plc to South African resident
shareholders registered on the South African branch register and the dividend
paid by Ninety One Limited to Ninety One plc shareholders on the SA DAS share
are subject to South African Dividend Tax ("Dividend Tax") of 20% (subject to
any available exemptions as legislated).
· Shareholders registered on the South African branch register who are
exempt from paying the Dividend Tax will receive a dividend of 123.00000 cents
per share, paid by Ninety One Limited on the SA DAS share.
· Shareholders registered on the South African branch register who are
not exempt from paying the Dividend Tax will receive a dividend of 98.40000
cents per share (gross dividend of 123.00000 cents per share less Dividend Tax
of 24.60000 cents per share) paid by Ninety One Limited on the SA DAS share.
By order of the board
Amina Rasool
Company Secretary
19 November 2024
Ninety One Limited dividend declaration
The Board has declared a gross interim dividend of 123.00000 cents per share.
The interim dividend will be paid on 31 December 2024 to shareholders recorded
in the shareholder register of the company at close of business on 13 December
2024.
The relevant dates for the payment of the dividend are as follows:
Last day to trade cum-dividend Tuesday, 10 December 2024
Shares commence trading ex-dividend Wednesday, 11 December 2024
Record date Friday, 13 December 2024
Payment date Tuesday, 31 December 2024
The interim gross dividend of 123.42564 cents per ordinary share (rounded to
123.00000 cents per ordinary share) has been determined by converting the
Ninety One plc distribution of 5.40000 pence per ordinary share into rands
using the rand/pound sterling average buy/sell spot rate of ZAR22.8566/£, as
determined at 11:00 (SA time) on Tuesday, 19 November 2024. Consequently, tax
will be calculated on the gross dividend of 123.00000 cents per share.
Share certificates may not be dematerialised or rematerialised between
Wednesday 11 December 2024 and Friday 13 December 2024, both dates inclusive.
Additional information to take note of:
· The interim dividend declared by Ninety One Limited to shareholders
registered on the South African register is a local payment derived from funds
sourced in South Africa.
· Ninety One Limited South African tax reference number: 9661 9311
71.
· The issued ordinary share capital of Ninety One Limited is
276,411,375 ordinary shares.
· The dividend paid by Ninety One Limited is subject to South African
Dividend Tax ("Dividend Tax") of 20% (subject to any available exemptions as
legislated).
· Shareholders who are exempt from paying the Dividend Tax will
receive a dividend of 123.00000 cents per ordinary share.
· Shareholders who are not exempt from paying the Dividend Tax will
receive a dividend of 98.40000 cents per ordinary share (gross dividend of
123.00000 cents per ordinary share less Dividend Tax of 24.60000 cents per
ordinary share).
By order of the board
Ninety One Africa Proprietary Limited
Company Secretary
19 November 2024
Date of release: 20 November 2024
JSE Sponsor: J.P. Morgan Equities South Africa (Pty) Ltd
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