REG - Old Mutual Ltd - Trading Statement

Old MutualAnnouncement

12/03/2024 07:15

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RNS Number : 4250G  Old Mutual Limited  12 March 2024

Old Mutual Limited

Incorporated in the Republic of South Africa

Registration number: 2017/235138/06

ISIN: ZAE000255360

LEI: 213800MON84ZWWPQCN47

JSE Share Code: OMU

LSE Share Code: OMU

NSX Share Code: OMM

MSE Share Code: OMU

ZSE Share Code: OMU

("Old Mutual" or "Company" or "Group")

 

Ref: 14/24

12 March 2024

 

OLD MUTUAL TRADING STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2023

 

Investors are advised that Old Mutual is currently in the process of
finalising its results for the year ended 31 December 2023 ("current period"),
which will be released on the Stock Exchange News Service of the JSE Limited
on Wednesday, 27 March 2024.  The ranges provided in this trading statement
are relative to the results for the year ended 31 December 2022 ("comparative
period") prepared on an IFRS 17 basis.

This trading statement provides an indication of a range for headline earnings
per ordinary share ("HEPS") and earnings attributable to equity holders of the
Group per ordinary share ("EPS") in terms of paragraph 3.4(b) of the JSE
Limited Listings Requirements compared to the comparative period.

Old Mutual recorded robust results from operations ("RFO") growth due to
strong operational performance underpinned by exceptional growth in new
business and value of new business as we continue to gain market share across
our segments.

Adjusted headline earnings ("AHE") growth was further bolstered by increased
shareholder investment returns as a result of increased interest rates and a
recovery in equity markets.

We exclude the Zimbabwe profits from AHE as the economy is currently
hyperinflationary resulting in earnings volatility. The main contributor to
the higher level of growth in headline earnings relative to AHE is higher
shareholder portfolio profits in the Zimbabwean business.

Investors are advised that the Group's key profit measures are expected to be
within the ranges outlined below:

 Key profit measures                                                                                IFRS17 unaudited results for the year ended

 (R million unless stated otherwise)                                 Estimated   Estimated          31 December 2022

                                                                     % change    31 December 2023
 RFO ¹                                                               6% to 26%   7 749 to 9 211     7 310
 AHE (2)                                                             13% to 33%  5 481 to 6 451     4 850
 Adjusted headline earnings per share ("AHEPS") (cents) (3)          14% to 34%  121.3 to 142.6     106.4
 Headline earnings                                                   16% to 36%  6 792 to 7 963     5 855
 HEPS (cents)                                                        18% to 38%  152.5 to 178.3     129.2
 IFRS profit after tax attributable to equity holders of the parent  25% to 45%  6 540 to 7 586     5 232
 Basic EPS (cents)                                                   27% to 47%  146.7 to 169.8     115.5

 

(1) RFO is the primary measure of the operating business performance of the
Group's segments.

(2) AHE is the Group's primary profit metric.

(3) HEPS is defined as AHE divided by the weighted average number of ordinary
shares adjusted to reflect the Group's B-BBEE shares.

 

The current period results are prepared on an IFRS 17 basis whereas the
results for the comparative period were prepared on an IFRS 4 basis. The
release of our 30 June 2023 interim results was accompanied by an IFRS 17
bridging pack which provided the comparative period numbers on both an IFRS 4
and IFRS 17 basis. It is not expected that results will differ by 20% or more
when compared to previously disclosed comparative period results under IFRS 4
which are disclosed in Annexure A hereto.

 

The financial information in this trading statement is the responsibility of
the Old Mutual Limited Board of Directors and has not been reviewed or
reported on by the Group's external auditors.

Sandton

 

Sponsors

 JSE            Tamela Holdings (Proprietary) Limited
 Namibia        PSG Wealth Management (Namibia) (Proprietary) Limited
 Zimbabwe       Imara Capital Zimbabwe plc
 Malawi         Stockbrokers Malawi Limited

 

 Enquiries

 Investor Relations
 Langa Manqele                                         M: +27 82 295 9840

 Head of Investor Relations                            E: investorrelations@oldmutual.com

 Communications
 Wendy Tlou                                     M: +27 83 301 9663

 Interim Chief Communications Officer           E: oldmutualnews@oldmutual.com

 
 

 

Notes to Editors

About Old Mutual Limited

Old Mutual is a premium African financial services group that offers a broad
spectrum of financial solutions to retail and corporate customers across key
market segments in 14 countries. Old Mutual's primary operations are in
Africa, and it has a niche business in China. With over 178 years of heritage
across sub-Saharan Africa, Old Mutual is a crucial part of the communities it
serves as well as broader society on the continent.

 

For further information on Old Mutual and its underlying businesses, please
visit the corporate website at www.oldmutual.com (http://www.oldmutual.com) .
 

 

 

 

 

Annexure A

 

                                                                     31 December 2022
 Key profit measures                                                 IFRS17 unaudited results for the year ended  IFRS 4

 (R million unless stated otherwise)                                                                              published results for the year ended
 RFO                                                                 7 310                                        8 743
 AHE                                                                 4 850                                        6 371
 AHEPS (cents)                                                       106.4                                        139.8
 Headline earnings                                                   5 855                                        7 948
 HEPS (cents)                                                        129.2                                        180.1
 IFRS profit after tax attributable to equity holders of the parent  5 232                                        7 325
 Basic EPS (cents)                                                   115.5                                        166.0

 

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