capital appreciation limited reviewed results ’18 · 2 capital appreciation limited reviewed...

REVIEWED RESULTS

’18

CAPITAL APPRECIATIONLIMITED

for the year ended 31 March 2018

1

2

Intr

od

uctio

n to C

AP

PR

EC

Hig

hlig

hts

for

the p

erio

d

The

op

po

rtun

ity

Fin

ancia

l pe

rform

ance

Abou

t ou

r in

vestm

ents

Pro

spe

cts

OUTLINE

1 2 3 4 5 6 7A

nne

xure

Capital Appreciation Limited Reviewed results ’182

3

AB

OU

T C

AP

ITA

L A

PP

RE

CIA

TIO

N

We o

wn

, m

an

ag

e,

inves

t in

, an

d p

rom

ote

en

terp

rise

s t

hat

inn

ovate

an

d s

eek

to

se

rve o

r p

art

ner

wit

h e

sta

bli

sh

ed

an

d

em

erg

ing

Fin

an

cia

l In

sti

tuti

on

s

PA

YM

EN

TS

& P

AY

ME

NT

IN

FR

AS

TR

UC

TU

RE

SO

FT

WA

RE

&

SE

RV

ICE

SIN

TE

RN

AT

ION

AL

*

AU

ST

RA

LIA

* 1

7.5

% i

nte

res

t

3

4

2018

HIG

HL

IGH

TS


5

OP

ER

AT

ION

AL

AC

CO

MP

LIS

HM

EN

TS

Com

ple

ted

an

d b

ed

de

d d

ow

n t

hre

e

acq

uis

ition

s a

nd

on

e inte

rna

tiona

l

inve

stm

en

t

Tra

nsf

err

ed

fro

m a

SP

AC

to

th

e

“So

ftw

are

an

d C

om

pu

ter

Serv

ice

s”

sect

or

on

th

e M

ain

Boa

rd o

f th

e J

SE

Go

od

gro

wth

in t

he

de

ma

nd

fo

r p

aym

en

t,

reg

ula

tory

an

d c

lou

d o

ffe

ring

s

Exp

an

de

d c

lien

t re

latio

nsh

ips in a

ll se

cto

rs

•D

ou

ble

d t

erm

ina

l e

sta

te

•C

on

tra

cts

with

ne

w c

lien

ts

Recr

uite

d a

cco

mp

lishe

d t

ale

nt

•In

cre

ase

d t

ale

nt

po

ol b

y 4

3%

•1

8 le

arn

ers

hip

s

Con

tin

ued

to

inn

ova

te w

ith

ne

w

tech

no

log

ies

Solid

ifie

d p

ipe

line

th

rou

gh F

Y2

01

9S

olid

B-B

BE

E r

ating

•S

ign

ifica

nt

incr

ea

se in g

rou

p B

EE

spe

nd

5

6

FIN

AN

CIA

L H

IGH

LIG

HT

S

Reve

nue

R 5

71 m

illio

n

EB

ITD

AR

177 m

illio

n

Pro

fit a

fter

tax

R 1

43 m

illio

n

Norm

alis

ed p

rofit

aft

er

tax

R 1

52 m

illio

n

Cash

flo

w f

rom

opera

tions

R 1

67 m

illio

n

Cash c

onvers

ion

(% o

f P

AT

)11

7%

Cash

valu

e p

er

share

33 c

ents

HE

PS

9.5

3 c

ents

NH

EP

S10.1

2 c

ents

H1

2 c

ents

H2

2 c

ents

Tota

l4 c

ents

Div

iden

ds

Equity

R 1

.392 b

illio

n

NA

V p

er

share

90 c

ents

Earn

ing

s

Cash

ava

ilable

fo

r in

vest

ment

R 5

13 m

illio

n


7

81.6

%

18.4

%

Paym

en

ts &

P

aym

en

t In

frastr

uctu

re

So

ftw

are

&

Serv

ices

82.4

%

17.6

%

Paym

en

ts &

P

aym

en

t In

frastr

uctu

re

So

ftw

are

&

Serv

ices

DIV

ISIO

NA

L P

ER

FO

RM

AN

CE

PA

YM

EN

TS

& P

AY

ME

NT

IN

FR

AS

TR

UC

TU

RE

SO

FT

WA

RE

&S

ER

VIC

ES

•E

xpanded c

lient

base

•S

trong p

ipelin

e•

Double

d t

he n

um

ber

of devic

es

supplie

d t

o

mark

et

•In

vest

ed in s

peci

alis

ed p

aym

ent,

tra

nsa

ctin

g

and b

illin

g p

latf

orm

•C

ontin

ued d

evelo

pm

ent

of in

nova

tive p

roduct

s•

Soft

launch

of new

Dash

pa

ypla

tform

•E

xpanded c

lient

base

•In

crease

d p

enetr

atio

n o

f exi

stin

g c

lients

•F

irst

in A

fric

a a

nd M

iddle

East

to a

chie

ve

“Adva

nce

d C

onsu

lting P

art

ner”

AW

S

acc

redita

tion

•C

ontin

ued t

o c

em

ent A

WS

leaders

hip

•D

ivers

ified r

eve

nue s

tream

to in

clude U

S$

inco

me

TU

RN

OV

ER

EB

ITD

AHIGHLIGHTS

7

8

Ku

se

niD

lam

ini

(May 2

018)

•C

hairm

an,

Mass

mart

•C

hairm

an, A

spen

Pharm

aca

re•

Form

er

CE

O,

Old

Mutu

al

SA

Err

ol K

rug

er

(May 2

018)

•D

irect

or,

Nedbank G

roup

•C

hairm

an,

Nedbank

Priva

te

Wealth

•F

orm

er

Regis

trar

of B

anks

, S

A

Rese

rve B

ank

•F

orm

er

MD

of

Superv

isio

n &

A

uth

orisa

tion,

Qata

r F

inanci

al

Centr

e R

egula

tory

Auth

ority

Re

pla

ce

s D

r D

an

Ma

tjil

a

Math

uk

an

aM

oko

ka

(May 2

018)

•D

irect

or,

Contr

act

Serv

ices

Gro

up

•D

irect

or,

Sanla

m•

Direct

or,

Pala

bora

Min

ing

•D

irect

or,

PIC

Eit

an

Neis

hlo

s(M

ay 2

018)

•C

EO

, R

eso

nance

Aust

ralia

Pro

f. H

an

oc

hN

eis

hlo

s(N

ov 2

017)

•F

ounder, A

fric

an R

eso

nance

IND

EP

EN

DE

NT

NO

N-I

ND

EP

EN

DE

NT

CH

AN

GE

S T

O T

HE

BO

AR

D O

F D

IRE

CT

OR

S


9

THE

OPPORTUNITY

9

10

CH

AR

AC

TE

RIS

TIC

S O

F F

UT

UR

E P

AY

ME

NT

S G

LO

BA

LLY

Inn

ovati

on

s w

ill m

ake p

aym

en

ts m

ore

cash

less a

nd

in

vis

ible

als

o

en

ab

lin

g d

ata

dri

ven

en

gag

em

en

t p

latf

orm

s f

or

clien

ts

CA

SH

LE

SS

//

More

cash

will

be d

ispla

ced b

y ele

ctro

nic

tr

ansa

ctio

ns

as

paym

ents

innova

tions

make

it beneficia

l fo

r cl

ients

to u

se c

urr

enci

es

oth

er

than c

ash

BA

CK

OF

MIN

D /

/

As

more

tra

nsa

ctio

ns

beco

me v

irtu

al and

auto

mate

d, m

ore

paym

ents

pro

cess

es

beco

me in

visi

ble

to e

nd c

lients

, ch

ang

ing

th

eir n

eeds

and b

ehavi

ours

EN

GA

GE

ME

NT

//

As

paym

ents

and m

obili

ty b

eco

mes

more

in

teg

rate

d, th

e im

port

ance

of paym

ent

transa

ctio

ns

as

a p

ote

ntia

l cust

om

er

inte

ract

ion p

oin

t w

ill incr

ease

for

merc

hants

and f

inanci

al i

nst

itutions

DA

TA

DR

IVE

N /

/

With g

reate

r adoptio

n o

f ele

ctro

nic

paym

ents

, m

ore

data

will

be a

ccum

ula

ted

from

paym

ent tr

ansa

ctio

ns,

allo

win

g

financi

al i

nstit

utions,

serv

ices

pro

viders

and

merc

hants

to g

ain

gre

ate

r unders

tandin

g o

f clie

nts

and b

usi

ness

es

AC

CE

SS

TO

LO

AN

S /

/

As

more

paym

ents

are

pro

cess

ed thro

ug

h

ele

ctro

nic

rails

, financi

al in

stitu

tions’

vis

ibili

ty

into

indiv

iduals

’ and b

usi

ness

es’

cash

flo

w

and s

pendin

g p

att

ern

s w

ill incr

ease

, im

pro

ving

their a

bili

ty t

o e

xtend lo

ans

to

clie

nts

pre

viousl

y le

ss u

nders

tood

RE

DU

CE

D C

OS

TS

//

Beca

use

innova

tive s

olu

tions

build

on t

he

exi

stin

g in

frast

ruct

ure

, w

hic

h h

as

very

low

va

riable

cost

s, the c

ost

of m

akin

g e

lect

ronic

tr

ansa

ctio

ns

will

fall

as

ele

ctro

nic

paym

ents

g

ain

more

volu

me

SO

UR

CE

: D

ER

IVE

D F

RO

M W

OR

LD

EC

ON

OM

IC F

OR

UM

RE

PO

RT


11

MO

VE

TO

EL

EC

TR

ON

IC P

AY

ME

NT

S C

ON

TIN

UE

SS

ou

th A

fric

a

SO

UR

CE

: P

AS

A A

NN

UA

L R

EP

OR

T 2

01

6

RETAIL PAYMENTS CARD ACTIVITY

11

12

PO

S D

EV

ICE

PE

NE

TR

AT

ION

PO

S i

nsta

lled

devic

es p

er

1 0

00 p

eo

ple

510

15

525

30

35

AU

ST

RA

LIA

TU

RK

EY

SP

AIN

FR

AN

CE

UK

ITA

LY

U.S

.

CA

NA

DA

BR

AZ

IL

SO

UT

H A

ME

RIC

A

GE

RM

AN

Y

ME

XIC

O

CH

INA

RU

SS

IA

IND

IA

SO

UR

CE

: B

AN

K O

F I

NT

ER

NA

TIO

NA

L S

ET

TL

EM

EN

TS

SO

UT

H A

FR

ICA

’S

PE

NE

TR

AT

ION

IS

ON

LY

4.5

Sig

nif

ica

nt

op

po

rtu

nit

y t

o

inc

rea

se

pe

ne

tra

tio

n a

s c

os

ts

de

cli

ne

an

d v

alu

e i

nc

rea

se

s


13

CA

PIT

AL

AP

PR

EC

IAT

ION

GR

OW

TH

ST

RA

TE

GY

•C

ontin

ue t

o g

row

PO

S d

evi

ce e

state

•E

xist

ing c

lients

•N

ew

clie

nts

•N

ew

applic

atio

ns

•D

eplo

yment

of new

pla

tform

s a

cross

est

ate

s

•In

troduct

ion o

f new

pro

ducts

PA

YM

EN

TS

& P

AY

ME

NT

IN

FR

AS

TR

UC

TU

RE

SO

FT

WA

RE

&

SE

RV

ICE

S

•Lic

ensi

ng o

f so

ftw

are

applic

atio

ns

for

regula

tory

com

plia

nce

•C

loud m

igra

tion o

pport

uniti

es

contin

ue

to a

ccele

rate

•In

tern

atio

nal exp

ansi

on o

f se

rvic

e

offeri

ngs

•N

ew

tech

nolo

gy

deplo

yments

(b

lock

chain

, A

I, e

tc.)

ORGANIC GROWTH ACQUISITIONS

•P

urs

ue a

ttra

ctiv

e inve

stm

ent

and a

cquis

ition o

pport

uniti

es

in P

aym

ents

& P

aym

ent

Infr

ast

ruct

ure

sect

or

in S

outh

Afr

ica, A

fric

a a

nd o

ther

inte

rnatio

nal m

ark

ets

that

(i)

exp

and o

ur

capabili

ties,

(ii)

exp

and o

ur

mark

et

opport

unity

, and (

iii)

build

on o

ur

busi

ness

models

•P

urs

ue a

ttra

ctiv

e a

cquis

ition o

pport

uniti

es

in S

oft

ware

& S

erv

ices

sect

or

in S

outh

Afr

ica

Cap

ital A

pp

recia

tio

n i

s w

ell c

ap

italised

, w

ith

th

e m

an

ag

em

en

t skills

an

d t

ech

no

log

y t

o d

rive i

t’s g

row

th s

trate

gy

13

14

AB

OU

T O

UR

INV

ES

TM

EN

TS


15

CA

PIT

AL

AP

PR

EC

IAT

ION

EX

EC

UT

ION

ST

RA

TE

GY

Work

with

fin

anci

al i

nst

itutions

PA

RT

NE

RIN

NO

VA

TE

EX

EC

UT

E

Cre

ate

eco

syst

em

s fo

r

colla

bora

tion

B2B

2C

Deliv

er

solu

tions

to h

elp

clie

nts

realis

e t

heir s

trate

gy

Focu

s on in

frast

ruct

ure

Sta

te o

f th

e a

rt p

roprieta

ry

tech

nolo

gy

pla

tform

s fo

r se

rvic

es

Entr

epre

neurial c

ultu

re

Hard

ware

ag

nost

ic

Inte

gra

te s

eam

less

ly w

ith

leg

acy

sys

tem

s

Serv

ice e

xcelle

nce

Alle

viate

pain

poin

ts

Use

r exp

erience

Cre

ate

eco

-sys

tem

Eng

ender

trust

Add v

alu

e

Gro

w m

ark

et

Act

as

an in

nova

tion

cata

lyst

for

clie

nts

B2B

15

16

PA

YM

EN

TS

& P

AY

ME

NT

IN

FR

AS

TR

UC

TU

RE

SE

GM

EN

T

En

ab

les b

an

ks a

nd

co

rpo

rate

s t

o e

xtr

act

ad

dit

ion

al

valu

e a

nd

dif

fere

nti

ate

at

the p

oin

t o

f acq

uir

ing

BL

UE

CH

IPC

LIE

NT

S

Pro

vide a

nd o

pera

te

paym

ent

and

pro

cess

ing

solu

tions

for

leadin

g b

rands

and Inte

rnatio

nal

Banks

PR

OP

RIE

TA

RY

PL

AT

FO

RM

Uniq

ue, pro

prieta

ry

tech

nolo

gy

pla

tform

enablin

g r

apid

deve

lopm

ent

and

imple

menta

tion o

f

cust

om

ised c

orp

ora

te

solu

tions

acr

oss

a d

ivers

e

rang

e o

f se

ctors

EN

D-T

O-E

ND

S

OL

UT

ION

S

Desi

gn,

deve

lop,

imple

ment and

manag

e in

nova

tive,

end-t

o-e

nd s

olu

tions

there

by

enhanci

ng

and

stre

ng

thenin

g the

rela

tionsh

ips

betw

een

banks,

corp

ora

tes

and

their c

lients

CO

MP

RE

HE

NS

IVE

O

FF

ER

ING

S

Ava

ilable

on a

turn

-key

all

incl

usi

ve b

asi

s or

a

la c

art

e

UN

IVE

RS

AL

AC

QU

IRIN

G

Pio

neer

of “U

niv

ers

al

Acq

uirin

g”

by

support

ing

one

uniform

infr

ast

ruct

ure

for

financi

al a

nd

non‐f

inanci

al

transa

ctio

ns

Afr

ica

n R

eso

nan

ce

& D

ash

pay


17

PA

YM

EN

TS

RE

VE

NU

E M

OD

EL

MA

INT

EN

AN

CE

&

RE

PA

IRS

•G

enera

tes

month

ly

recurr

ing a

nnuity

reve

nue d

ependin

g o

n

leve

l and s

cope o

f

serv

ices

contr

acte

d

TR

AN

SA

CT

ION

S

•V

ariable

base

d o

n

transa

ctio

n typ

e a

nd

valu

e o

f tr

ansa

ctio

n

LIC

EN

SIN

G &

SO

LU

TIO

NS

•G

enera

tes

month

ly

recurr

ing a

nnuity

reve

nue d

ependent

on s

olu

tion

•F

lat fe

e

•C

om

mis

sio

n

PO

S E

STA

TE

M

AN

AG

EM

EN

T

•G

enera

tes

month

ly

recurr

ing a

nnuity

reve

nue d

ependin

g o

n

leve

l and s

cope o

f

serv

ices

contr

acte

d

PO

S D

EV

ICE

S

•S

ale

s g

enera

te g

ross

pro

fit

•R

enta

l genera

tes

month

ly r

ecurr

ing

reve

nue

•R

ela

tionsh

ip w

ith

majo

r clie

nts

subje

ct to

long-t

erm

mast

er

supply

agre

em

ents

Pre

dic

tab

le b

ut

lum

py

An

nu

ity t

ied

to

th

e

siz

e o

f th

e e

sta

teA

nn

uit

y a

nd

p

red

icta

ble

Un

lim

ite

d s

ub

jec

t to

e

sta

bli

sh

ed

e

co

no

mic

mo

dels

Un

lim

ite

d

17

18

DA

SH

PA

Y –

INN

OV

AT

ION

IN

PR

OC

ES

SIN

GC

reati

ng

new

valu

e o

pp

ort

un

itie

s t

hro

ug

h p

latf

orm

eco

syste

m

New

Eco

no

mic

Mo

del –

Pla

tfo

rm E

co

no

mic

s

•In

troduce

s bru

tal effic

iency

to tra

nsa

ctio

n p

roce

ssin

g

•U

niv

ers

al pro

cess

ing -

pro

cess

es

all

transa

ctio

n t

ypes

on a

single

pla

tform

•P

latf

orm

eco

nom

ics

drive

s boundary

, fr

ictio

nal and

transa

ctio

nal co

sts

low

er

•M

ulti

-part

y envi

ronm

ent

leads

to m

ulti

-pro

duct

opport

unity

•O

pport

unity

for

new

B2B

applic

atio

ns

–th

ose

that

don’t

exi

st a

nd t

hose

that benefit

fro

m d

igiti

satio

n

•O

pport

unity

to in

tegra

te m

ulti

ple

dis

para

te p

roduct

s on

single

pla

tform

•T

raditi

onal acq

uirin

g is

poss

ible

but

not

the f

ocu

s

•To b

e d

one in c

oopera

tion w

ith b

anki

ng c

lients

Ch

all

en

ged

Eco

no

mic

M

od

el

Tra

dit

ion

al

Pro

cessin

g

BA

SE

24

TA

ND

EM

PO

ST

ILL

ION

EVOLUTION


19

DA

SH

PA

Y C

OM

PL

EM

EN

TS

BA

NK

AC

QU

IRIN

G S

ER

VIC

ES

A p

osit

ive i

mp

act

on

th

e m

ark

et

Merc

hants

needs

are

evo

lvin

g

Acq

uirin

g m

ark

et and

marg

ins

under

pre

ssure

Merc

hants

are

cost

consc

ious

and v

iew

acq

uirin

g f

ees

as

a

gru

dg

e p

urc

hase

Dash

pay

deliv

ers

valu

e

to the m

erc

hant

Ass

ists

banks

to r

eta

in

merc

hants

, re

duce

churn

and r

eta

in

acq

uirin

g r

eve

nue

PA

RT

NE

R W

ITH

EX

IST

ING

BA

NK

S

19

20

ILL

US

TR

AT

IVE

DA

SH

PA

Y IM

PL

EM

EN

TA

TIO

NS

A s

oft

lau

nch

of

Dash

pay

serv

ices w

ith

vari

ou

s p

art

ner

ban

ks

PA

RT

NE

RB

AN

K *

NU

MB

ER

OF

P

RO

DU

CT

S

Reta

iler

A

Reta

iler

B

Reta

iler

C

Food

Health

care

* D

iffe

ren

t co

lou

rs r

ep

rese

nt

diff

ere

nt

ba

nks


21

SO

FT

WA

RE

& S

ER

VIC

ES

SE

GM

EN

T -

SY

NT

HE

SIS

BL

UE

CH

IP C

LIE

NT

S

Absa

, In

vest

ec,

Sta

ndard

Bank, H

SB

C,

Nedbank C

IB, C

itibank, R

MB

, C

apite

c,

Afg

riand o

thers

Lead

ing

pro

vid

er

of

tech

no

log

y p

rod

ucts

an

d s

olu

tio

ns w

ith

in t

he F

inan

cia

l S

erv

ices i

nd

ustr

y

CL

IEN

T C

EN

TR

IC

Deliv

ering t

he h

ighest

busi

ness

valu

e

with

a s

trong

serv

ice e

thic

TH

OU

GH

T L

EA

DE

RS

Acq

uirin

g a

nd r

eta

inin

g the b

est

soft

ware

deve

lopm

ent

skill

s

FO

CU

SE

D

Exc

lusi

ve f

ocu

s in

the f

inanci

al

serv

ices

sect

or

EX

PE

RIE

NC

ED

Hig

hly

innova

tive t

eam

with

tra

ck r

eco

rd

of only

succ

ess

ful d

eliv

ery

ST

RA

TE

GIC

RE

LA

TIO

NS

HIP

S

Key

part

ners

hip

s w

ith A

mazo

n’s

AW

S, th

e top r

ate

d p

rovi

der

of cl

oud

serv

ices

21

22

OP

ER

AT

ING

UN

ITS

WIT

HIN

SY

NT

HE

SIS

Clo

ud t

ransf

orm

atio

n to a

ssis

t th

e

Ente

rprise

in b

eco

min

g c

loud r

eady,

exe

cute

mass

mig

rations

and to h

arn

ess

the b

enefits

of public

clo

ud p

latf

orm

Fir

st

AW

S A

dvan

ced

Co

nsu

ltin

g

part

ner

in M

EA

CL

OU

D

CO

NS

ULT

ING

Deliv

ering e

xceptio

nal end-u

ser

clie

nt

exp

erience

web a

nd

mobile

touch

poin

ts f

or

financi

al

serv

ices

inst

itutions

while

main

tain

ing

info

rmatio

n s

ecu

rity

and tra

nsa

ctio

nal i

nte

grity

DIG

ITA

L

CH

AN

NE

LS

Inte

gra

tion to e

nable

reg

ula

tory

report

ing

solu

tions

for

SA

RS

(ta

x)

and S

AR

B (

bala

nce

of

paym

ents

), p

aym

ent

pro

cess

ing

and e

xchange c

onnect

ivity

PL

AT

FO

RM

IN

TE

GR

AT

ION

P

RO

DU

CT

S

SY

NT

HE

SIS

LA

BS

Art

ifici

al in

telli

gence,

blo

ckch

ain

, m

ach

ine learn

ing


23

FINANCIAL

PERFORMANCE

23

24

44.2

140.7

196.1

202.9

415.1

9.4

24.9

42.1

77.5

151.7

1.1

10.6

22.7

60.9

149.5

0

50

10

0

15

0

20

0

25

0

30

0

35

0

40

0

45

0

20

14

20

15

20

16

20

17

20

18

Gro

ss R

eve

nu

eE

BIT

DA

Op

era

tin

g P

rofit

FIN

AN

CIA

L P

ER

FO

RM

AN

CE

FY

‘1

4F

Y ‘1

5F

Y ‘1

6F

Y ‘1

7F

Y ‘1

8

Paym

en

ts &

Paym

en

t In

frastr

uctu

re D

ivis

ion

CA

GR

(a)

Reve

nue

75%

EB

ITD

A100%

Re

ven

ue

EB

ITD

A59%

56%

44%

41%

aC

om

po

un

d a

nn

ua

l g

row

th f

rom

FY

’14

th

rou

gh

FY

’18

.F

Y’1

8 r

es

ult

s r

efl

ec

t 11

mo

nth

s t

rad

ing

.

H1

FY

20

18

CO

NT

RIB

UT

ION

H1

5 m

on

ths a

nn

ua

lise

d v

s.

H2

H2

TE

RM

INA

LS

AT

PE

RIO

D E

ND

22 000

32 000

48 000

75 000

0

10

00

0

20

00

0

30

00

0

40

00

0

50

00

0

60

00

0

70

00

0

80

00

0

FY

'16

FY

'17

H1

FY

'18

H2

FY

'18


25

FIN

AN

CIA

L P

ER

FO

RM

AN

CE

CA

GR

(a)

Reve

nue

22%

EB

ITD

A28%

FY

’18 o

pera

tin

g p

rofi

t an

nu

alised

am

ou

nts

to

R36.2

m

illio

n (

wit

h 2

3%

gro

wth

),

no

twit

hsta

nd

ing

excep

tio

nal

ram

p-u

p c

osts

rela

ted

to

AW

S

Clo

ud

Mig

rati

on

pro

jects

, th

e

ben

efi

ts o

f w

hic

h w

ill b

e

reveale

d in

su

bseq

uen

t p

eri

od

s

41.6

46.1

51.9

77.6

93.1

12.6

15.9

19.8

29.9

33.9

12.4

15.6

19.4

29.4

33.2

0

10

20

30

40

50

60

70

80

90

10

0

20

14

20

15

20

16

20

17

20

18

Gro

ss

Re

ve

nu

eE

BIT

DA

Op

era

tin

g P

rofit

FY

‘1

4F

Y ‘1

5F

Y ‘1

6F

Y ‘1

7F

Y ‘1

8

So

ftw

are

& S

erv

ices D

ivis

ion

Re

ven

ue

EB

ITD

A62%

55%

45%

38%

H1

FY

20

18

CO

NT

RIB

UT

ION

H1

5 m

on

ths a

nn

ua

lise

d v

s.

H2

H2

aC

om

po

un

d a

nn

ua

l g

row

th f

rom

FY

’14

th

rou

gh

FY

’18

.F

Y’1

8 r

es

ult

s r

efl

ec

t 11

mo

nth

s t

rad

ing

.

25

26

GR

OU

P S

UM

MA

RIS

ED

STA

TE

ME

NT

OF

CO

MP

RE

HE

NS

IVE

IN

CO

ME

(R m

illi

on

)F

Y 1

8F

Y 1

7%

incr

ease

Reve

nue

571.3

80.2

Tra

din

g p

rofit

(lo

ss)

178.3

(5.0

)

Net

finance

inco

me

38.7

80.2

Pro

fit b

efo

re t

axa

tion

200.0

60.3

Pro

fit a

fter

tax

142.9

39.2

265%

Norm

alis

ed p

rofit

after

tax

152.3

39.2

288%

Headlin

e e

arn

ings

per

share

(c

ents

)9.5

33.1

4204%

Norm

alis

ed h

eadlin

e e

arn

ings

per

share

(cents

)10.1

23.1

4222%

Num

ber

of

share

s in

iss

ue

(mill

ions)

1 5

50.0

1 2

50.0

Weig

hte

d a

vera

ge n

um

ber

of

share

s (m

illio

ns)

1 5

05.4

1 2

50.0

Acq

uis

itio

ns c

om

ple

ted

5 M

ay 2

017 a

nd

FY

’18

resu

lts r

efl

ect

on

ly e

leven

m

on

ths t

rad

ing

fo

r acq

uir

ed

bu

sin

esses

Aft

er

ad

justm

en

t fo

r am

ort

isati

on

of

inta

ng

ible

s

ari

sin

g f

rom

acq

uis

itio

ns

Cash

uti

lised

fo

r acq

uis

itio

ns, re

pu

rch

ase

of

sh

are

s a

nd

div

iden

ds

paid

305 m

illi

on

sh

are

s i

ssu

ed

as p

art

of

acq

uis

itio

n

co

nsid

era

tio

n


27

SU

MM

AR

ISE

D S

TA

TE

ME

NT

OF

FIN

AN

CIA

L P

OS

ITIO

N

(R m

illi

on

)31 M

ar

2018

31 M

ar

2017

Tota

l ass

ets

1 4

71.7

1 0

48.8

Non-c

urr

ent

ass

ets

864.4

0.2

Cash

and c

ash e

quiv

ale

nts

513.2

1047.8

Oth

er

ass

ets

94.1

0.8

Equity

1 3

92.3

1 0

42.8

Non-c

urr

ent

liabili

ties

35.7

0

Curr

ent

liabili

ties

43.7

6.0

To

tal

eq

uit

y a

nd

lia

bilit

ies

1 4

71.7

1 0

48.8

NA

V p

er

sh

are

(cen

ts)

90.0

83.4

Cash

valu

e p

er

sh

are

(cen

ts)

33.0

83.8

Ari

sin

g o

n a

cq

uis

itio

n:

•G

oo

dw

ill o

f R

728.6

m

illi

on

•Id

en

tifi

ab

le

inta

ng

ible

s o

f R

83.3

m

illi

on

, le

ss

am

ort

isati

on

of

R12.2

m

illi

on

27

28

CA

SH

FL

OW

(K

EY

FE

AT

UR

ES

)

(R m

illio

n)

FY

18

FY

17

Cash

flow

(outflo

w)

from

opera

tions

166.9

(18.8

)

Acq

uis

ition o

f subsi

dia

ries

net

of

cash

acq

uired

(553.0

)-

Purc

hase

of an a

ssoci

ate

(30.2

)-

Repurc

hase o

f 55 6

20 0

00 o

rdin

ary

share

s (t

reasu

ry s

hare

s)(4

1.4

)-

Div

idends

paid

(30.4

)-

Cash

and c

ash e

quiv

ale

nts

at end o

f period

513.2

1 0

47.8

Cash

co

nvers

ion

–11

7%

o

f P

AT

Avera

ge p

rice o

f re

pu

rch

ase 7

4.4

cen

ts

per

sh

are


29

PROSPECTS

29

30

A

cce

lera

ted g

row

th in P

OS

devic

e e

state

as

penetr

atio

n

incr

eases

in

banki

ng a

s w

ell

as

SM

E s

ecto

r

In

troduct

ion o

f new

pla

tform

s w

ill g

enera

te s

trong g

row

th

H

ealth

y new

pro

duct

pip

elin

e

PA

YM

EN

TS

& P

AY

ME

NT

IN

FR

AS

TR

UC

TU

RE

SO

FT

WA

RE

& S

ER

VIC

ES

R

egula

tory

com

plia

nce

re

quirem

ents

S

trong a

nd g

row

ing a

doptio

n

of C

loud-b

ase

d s

olu

tions

F

urt

her

inte

rnatio

nal

exp

ansi

on,

esp

eci

ally

Afr

ican

hub

S

ignifi

cant

opport

unity

in n

ew

te

chnolo

gie

s

•A

bro

ad r

ange o

f org

anic

as

well

as

acq

uis

itive

gro

wth

opport

uniti

es

ava

ilable

to C

AP

PR

EC

•A

cquis

itive

activ

ity w

ill d

epend o

n s

trate

gic

fit

as

well

as

valu

atio

ns

•R

obust

org

anic

gro

wth

antic

ipate

d f

rom

subsi

dia

ries,

to r

eite

rate

:

GROWTH OPPORTUNITIES

PR

OS

PE

CT

SC

ap

ital A

pp

recia

tio

n i

s w

ell

cap

itali

sed

, w

ith

th

e m

an

ag

em

en

t skil

ls a

nd

te

ch

no

log

y t

o d

rive i

t’s g

row

th s

trate

gy


31

OU

R I

NV

ES

TM

EN

T C

AS

E

•A

tru

ste

d p

art

ne

r to

a s

tron

g n

etw

ork

of la

rge

fin

an

cial i

nst

itutio

ns

•C

lien

ts a

re w

ell

capitalis

ed

an

d e

sta

blis

he

d

•C

lien

ts a

lrea

dy

ha

ve a

pre

sen

ce in

Afr

ica –

pro

vid

ing the

po

ten

tial a

bili

ty fo

r C

AP

PR

EC

to

expa

nd

reg

iona

lly w

ith t

he

m

•F

ou

nd

ers

with

a v

ery

str

on

g n

etw

ork

of re

lation

ship

s o

n w

hic

h to

bu

ild futu

re b

usin

ess

•W

ell-

esta

blis

hed F

inTe

ch s

ub

sidia

ries w

ith s

tron

g tra

ck r

ecord

s

•In

nova

tion

•Q

ualit

y exe

cutio

n

•F

inanci

al perf

orm

ance

•A

str

on

g b

ala

nce s

hee

t w

ith a

deq

ua

te h

ead

roo

m for

org

an

ic a

nd a

cqu

isiti

ve g

row

th

•S

ub

sid

iarie

s a

re c

ash g

ene

rative

with c

ash c

onvers

ion o

f cl

ose

to 1

00%

•W

ell-

po

sitio

ne

d in

an

indu

stry

with v

ery

rap

id g

row

th

•O

ur

pro

du

cts

an

d s

erv

ices a

re targ

ete

d a

t m

issi

on

-critical a

pplic

ation

s

31

32

TH

AN

K

YO

U


33

ANNEXURE

33

34

PA

YM

EN

TS

& P

AY

ME

NT

IN

FR

AS

TR

UC

TU

RE

Illu

str

ati

ve p

ro-f

orm

a h

isto

rica

l p

erf

orm

an

ce

a

(R m

illi

on

)2014

2015

2016

2017

2018

CA

GR

’14

–‘1

8

Reve

nue

44.2

140.7

196.1

202.9

415.1

75%

EB

ITD

A9.4

24.9

42.1

77.5

151.7

100%

Marg

in

EB

ITD

A21.3

%17.7

%21.5

%38.2

%36.5

%

Gro

wth

EB

ITD

A164.9

%69.1

%84.1

%96.1

%

Info

rmatio

n r

epre

sents

an a

ggre

gatio

n o

f his

torica

l perf

orm

ance o

f Afr

ican R

eso

nance

and D

ash

pay

for

each

of th

eir r

esp

ectiv

e fis

cal y

ears

. H

ow

eve

r, the f

iscal y

ears

were

not co

term

inous

and the a

ggre

gatio

n is

show

n

for

illustr

ative

purp

oses o

nly

.

(a)

Fis

cal y

ears

2014 to 2

017 a

re f

or

12 m

onth

s ended 2

8 F

ebru

ary

. F

iscal y

ear

2018 is

for

11 m

onth

s e

nded 3

1 M

arc

h.


35

SO

FT

WA

RE

& S

ER

VIC

ES

His

tori

ca

l p

erf

orm

an

ce a

(R m

illi

on

)2014

2015

2016

2017

2018

CA

GR

‘1

4 –

‘18

Reve

nue

41.6

46.1

51.9

77.6

93.1

22%

EB

ITD

A12.6

15.9

19.8

29.9

33.9

28%

Marg

in

EB

ITD

A30.3

%34.5

%38.2

%38.5

%36.4

%

Gro

wth

EB

ITD

A26.2

%24.5

%51.0

%12.4

%

(a)

Fis

cal y

ears

2014 to 2

017 a

re f

or

12 m

onth

s e

nded 2

8 F

ebru

ary

. F

iscal y

ear

2018 is

for

11 m

onth

s ended 3

1 M

arc

h.

FY

’18 o

pera

tin

g p

rofi

t an

nu

alised

am

ou

nts

to

R36.2

mil

lio

n (

wit

h 2

3%

g

row

th),

no

twit

hsta

nd

ing

excep

tio

nal

ram

p-u

p c

osts

rela

ted

to

AW

S C

lou

d

Mig

rati

on

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35

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37

CO

ST

CO

MM

OD

ITIS

AT

ION

Fin

ancia

l instit

utio

ns

will

acc

ele

rate

the

com

moditi

satio

n o

f th

eir c

ost

base

s, re

movi

ng them

as p

oin

ts o

f com

petit

ion a

nd c

reatin

g n

ew

gro

unds

for

diff

ere

ntia

tion

PR

OF

IT R

ED

IST

RIB

UT

ION

Technolo

gy

and n

ew

part

ners

hip

s w

ill e

nable

org

anis

ations to b

ypass

tra

diti

onal v

alu

e c

hain

s,

there

by

redis

trib

utin

g p

rofit pools

“EX

PE

RIE

NC

E”

OW

NE

RS

HIP

Pow

er

will

tra

nsf

er

to the o

wner

of th

e c

lient

inte

rface

; pure

manufa

ctu

rers

must

there

fore

becom

e h

yper-

scale

d o

r hyp

er-

focu

sed

PL

AT

FO

RM

S R

ISIN

G

Pla

tform

s th

at off

er

the a

bili

ty t

o e

ngage w

ith

diff

ere

nt financi

al i

nst

itutio

ns f

rom

a s

ingle

channel

will

becom

e the d

om

inant m

odel f

or

the d

eliv

ery

of

financia

l serv

ices

DA

TA

MO

NE

TIS

AT

ION

BIO

NIC

WO

RK

FO

RC

E

SY

ST

EM

AT

ICA

LLY

IM

PO

RTA

NT

TE

CH

S

SO

UR

CE

: D

ER

IVE

D F

RO

M W

OR

LD

EC

ON

OM

IC F

OR

UM

RE

PO

RT

INS

TA

NT

GR

AT

IFIC

AT

ION

RE

GU

LA

TO

RY

CO

MP

LIA

NC

E &

RE

FO

RM

Regula

tors

are

incre

asin

g o

vers

ight and c

om

plia

nce

oblig

atio

ns

ove

r

est

ablis

hed p

laye

rs w

hile

als

o lo

okin

g to e

nco

ura

ge in

nova

tion a

nd

reduce

tra

nsa

ctio

n frict

ion

1 2 3 4

5 6 7 8 9

Data

will

beco

me in

cre

asin

gly

im

port

ant fo

r diff

ere

ntia

tion, but st

atic

data

sets

will

be e

nrich

ed b

y flow

s of data

fro

m m

ulti

ple

sourc

es

com

bin

ed a

nd

use

d in

real t

ime

As

the a

bili

ty f

or

mach

ines to r

eplic

ate

the b

ehavi

our

of hum

ans

contin

ues

to e

volv

e,

financi

al i

nst

itutio

ns

will

need to m

anage la

bour

and c

apita

l as

a s

ingle

set of capabili

ties

Fin

ancia

l inst

itutio

ns

incr

easin

gly

resem

ble

, and a

re d

ependent on, la

rge

tech

firm

s to a

cquire c

ritic

al i

nfr

astr

uctu

re a

nd d

iffere

ntia

ting tech

nolo

gie

s

User

exp

erience

of "o

nlin

e"

envi

ronm

ent is

impact

ing a

ll in

dust

ries

where

besp

oke s

olu

tions

are

off

ere

d in

stantly

A B

RO

AD

RA

NG

E O

F G

RO

WT

H D

RIV

ER

S G

LO

BA

LLY

37

38

INT

ER

NA

TIO

NA

L T

RE

ND

S

•In

cre

asin

g fro

m n

ew

entr

ants

•N

ew

paym

ent

types

•D

isru

ptiv

e

CO

MP

ET

ITIO

N

•E

mpow

ering n

ew

entr

ants

not co

nst

rain

ed

by

legacy

pla

tform

s

•H

igh IT

investm

ent

required to r

esp

ond to

clie

nt needs

TE

CH

NO

LO

GY

•S

ecto

r exp

ert

ise a

nd

focu

s d

rivi

ng c

osts

dow

n

•C

onso

lidatio

n a

nd

exi

t of banks fro

m

paym

ents

FO

CU

S

•In

creasi

ngly

more

dem

andin

g o

f

innova

tive s

olu

tions

that re

quire n

on-l

egacy

tech

nolo

gy

pla

tform

s

•Lifest

yle t

ailo

red

solu

tions

CL

IEN

TS

•R

equires e

xpenditu

re o

n

div

erg

ent prioritie

s and

cannot re

main

curr

ent

•S

ecu

rity

directiv

es

are

mandato

ry o

r risk

and

liabili

ty is

subst

antia

l

•D

rivi

ng d

eplo

yment

of

new

devi

ces

RE

GU

LA

TIO

N

A l

ea

din

g in

dic

ato

r fo

r S

ou

th A

fric

an

ban

ks

–in

du

str

y in

flu

x


39

EL

EC

TR

ON

IC P

AY

ME

NT

S C

ON

TIN

UE

TO

GR

OW

AN

D

MU

TA

TE

IN

RE

SP

ON

SE

TO

CO

NS

UM

ER

BE

HA

VIO

UR

•In

creasin

g a

doption a

nd

com

fort

with

card

-based a

nd

dig

ital curr

ency:

•M

obile

•G

ovt. p

aym

ent dis

trib

utio

n

(SA

SS

A)

•F

orm

alis

atio

n (

India

)

•P

rolif

era

tion o

f paym

ent

meth

ods (

incl

. w

eara

ble

s)

DIG

ITA

L C

UR

RE

NC

Y

•G

row

ing m

iddle

-cla

ss in

em

erg

ing e

conom

ies

acr

oss

Afr

ica

MID

DL

E C

LA

SS

•R

egula

tion a

nd s

ecu

rity

drivi

ng insta

llatio

n a

nd

acc

epta

nce

of devi

ces

•F

orc

ing a

ccounta

bili

ty

•E

nco

ura

gin

g d

igiti

satio

n

RE

GU

LA

TIO

N

•C

onsu

mer

com

fort

with

data

sharing le

ads

to

inte

gra

tion w

ith

paym

ents

•N

ew

pro

duct

s

•N

ew

cre

dit

tools

•P

aym

ent lin

ked to a

nd

with

conte

nt

BIG

DA

TA

Tra

nsacti

on

s m

uta

tin

g t

o b

e i

nd

isti

ng

uis

hab

le f

rom

day-t

o-d

ay a

cti

vit

y,

furt

her

dri

vin

g t

o “

Un

ivers

al A

cq

uir

ing

”

39

40

FIN

AN

CIA

L IN

CL

US

ION

Fin

an

cia

l In

clu

sio

n is

the p

rocess o

f en

su

rin

g

access t

o a

pp

rop

riate

fin

an

cia

l p

rod

ucts

an

d

serv

ices n

eed

ed

by

vu

lnera

ble

gro

up

s a

t an

aff

ord

ab

le c

ost

in a

fair

an

d t

ran

sp

are

nt

man

ner

•T

ransa

ctin

g

•S

avi

ng

•P

ers

onal c

redit

•R

em

ittance

•In

sura

nce

Th

e I

FC

believe

s t

his

rep

resen

ts a

mark

et

op

po

rtu

nit

y e

xceed

ing

US

$2 t

rillio

n

SO

UR

CE

: M

AS

TE

RC

AR

D


41

AF

RIC

AN

RE

SO

NA

NC

E –

EX

CL

US

IVE

RIG

HT

S T

O

PR

OP

RIE

TA

RY

TE

CH

NO

LO

GY

Rapid

deve

lopm

ent

and

imple

menta

tion o

f

cust

om

ised f

inanci

al a

nd

non-f

inanci

al s

olu

tions

and in

teg

ration in

to t

hird

-

part

y applic

atio

ns

PR

OD

UC

T

Sophis

ticate

d r

eal-tim

e

end-t

o-e

nd a

sset and

work

flow

managem

ent

syst

em

support

ing

their

dyn

am

ic o

pera

ting m

odel

and s

erv

ices

OP

ER

AT

OR

Manages

clie

nt

identif

icatio

n, pro

filin

g a

nd

monito

ring

whic

h g

enera

tes

consu

mer

behavi

our

data

that enable

s big

data

analy

tics

and targ

ete

d

mark

etin

g for

their c

lients

PR

OM

OT

ER

Handle

s t

he a

cquirin

g

applic

atio

n p

ara

mete

rs

incl

udin

g B

IN m

anag

em

ent,

sett

lem

ent tim

es

and

acq

uirin

g a

pplic

atio

n m

odes

incl

udin

g r

eta

il, f

uel a

nd

rest

aura

nt

Reso

lin

kte

ch

no

log

y p

rovid

es a

sin

gle

, in

teg

rate

d p

latf

orm

to

dep

loy a

nd

ma

nag

e a

cq

uir

ers

’ term

inal fl

ee

t

PA

YM

EN

T

41

42

PA

YM

EN

TS

SO

LU

TIO

NS

RA

NG

E A

CR

OS

S

IND

US

TR

Y A

ND

FU

NC

TIO

NA

L A

RE

A

•B

ank a

cquirin

g

•C

lose

paym

ent

syst

em

s

•A

gency

bankin

g

•M

icro

finance

FIN

AN

CIA

L

•R

eta

il m

anag

em

ent

•S

tore

-in-a

-sto

re

solu

tions

•D

istr

ibutio

n /

SC

M

•G

ift and p

repaid

card

s

•P

OS

inte

gra

tion

RE

TA

IL

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onsu

mer

pro

filin

g

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onsu

mer

data

base

manag

em

ent

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ouch

er

cam

paig

ns

•E

vent

manag

em

ent

MA

RK

ET

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oci

al g

rants

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ealth

benefit

dis

trib

utio

n

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ood c

oupons

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edic

al cl

aim

s

PU

BL

IC

•C

ust

om

ised p

aym

ent

solu

tions

•Larg

e s

cale

loya

lty

pro

gra

ms

•S

oci

al re

sponsi

bili

ty

•S

hort

-te

rm

insu

rance

•R

eco

nci

liatio

n a

nd

report

ing

CO

RP

OR

AT

E


43

PA

YM

EN

TS

SE

RV

ICE

S O

FF

ER

ED

AC

TIV

AT

ION

S &

LO

GIS

TIC

S

•S

tand a

lone: co

unte

r-to

p a

nd p

ort

able

•In

teg

rate

d P

ED

•M

obile

DE

VIC

ES

•A

sset m

anag

em

ent

•K

ey

inje

ctio

n

•H

ard

ware

and s

oft

ware

ass

em

bly

•D

ispatc

h a

nd t

erm

inal t

rack

ing

•R

em

ote

act

ivatio

n a

nd tra

ckin

g

•P

erf

orm

com

ponent re

pla

cem

ent

•P

erf

orm

devi

ce r

e-a

ctiv

atio

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•Q

ualit

y co

ntr

ol a

nd test

ing

WO

RK

SH

OP

& R

EP

AIR

S

•C

om

munic

atio

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with

pro

cess

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centr

e

NE

TW

OR

K S

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oft

ware

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lopm

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and test

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pdate

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roduct

support

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m r

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are

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LL

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mark

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s fo

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CO

LL

AB

OR

AT

IVE

SA

LE

S

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eal-tim

e m

onito

ring

of est

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tive m

ain

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AS

SE

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AG

EM

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T

Clien

ts c

an

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packag

es o

r sele

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d s

erv

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la c

art

e

43

44

PA

YM

EN

TS

ST

RE

NG

TH

S

Blu

e c

hip

clie

nt

base

CL

IEN

TS

Blu

e c

hip

supplie

r base

SU

PP

LIE

RS

His

tory

of in

nova

tion

INN

OV

AT

ION

Sect

or

exp

ert

ise

Exp

erienced t

eam

EX

PE

RT

ISE

/

MA

NA

GE

ME

NT

Uniq

ue t

ech

nolo

gie

s

TE

CH

NO

LO

GY

Speed o

f deplo

yment

and a

bili

ty

to r

esp

ond t

o m

ark

et needs

SP

EE

D

Sin

gle

inte

rface

with

inte

gra

ted d

evi

ce

and C

RM

reco

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INT

ER

FA

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Univ

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al acq

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apabili

ty

(bundle

d p

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UN

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RS

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Com

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best

pra

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SE

CU

RIT

Y

Vis

a a

nd M

ast

erc

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acc

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AC

CR

ED

ITA

TIO

N


45

For

the p

urp

ose

s o

f th

is n

otic

e,

this

pre

senta

tion (

the “

Pre

senta

tion”)

shall

mean a

nd incl

ude t

he p

ages

and s

lides

that

follo

w,

its

conte

nts

incl

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g t

he in

form

atio

n f

orm

ing p

art

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of or

refe

rred t

o in

the

Pre

senta

tion, th

e o

ral pre

senta

tion o

f th

e p

ages

and s

lides

by

Capita

l Appre

cia

tion L

imite

d (

"CA

PP

RE

C")

its o

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, direct

ors

,

em

plo

yees a

nd/o

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follo

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that

ora

l pre

senta

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hard

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s of

this

docu

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ny

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By

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t

whic

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rese

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the follo

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rest

rict

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ii)

ack

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u u

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tand t

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attach

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closu

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nta

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This

Pre

senta

tion is

pro

vid

ed t

o y

ou s

ole

ly f

or

info

rmatio

n p

urp

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s

and d

oes n

ot

constit

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, and m

ay

not

be r

elie

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n in

any

manner

as,

legal,

tax

or

invest

ment

advic

e a

nd/o

r an in

vest

ment

reco

mm

endatio

n.

This

Pre

senta

tion is

not

direct

ed t

o,

or

inte

nded f

or

dis

trib

utio

n t

o o

r

use

by,

any

pers

on o

r entit

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at

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citi

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sident

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any

loca

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sta

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to la

w o

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would

require a

ny

act

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inclu

din

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egis

tratio

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with

in

such ju

risdic

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or

such

purp

ose

.

This

Pre

senta

tion is

not,

and s

hould

not

be c

onst

rued s

o a

s to

const

itute

, an o

ffer

of se

curitie

s fo

r sa

le o

r acq

uis

ition in a

ny

jurisd

ictio

n,

incl

udin

g in t

he U

nite

d S

tate

s, C

anada, A

ust

ralia

or

Japan.

This

Pre

senta

tion d

oes

not

const

itute

or

form

part

of, a

nd s

hould

not

be c

onst

rued a

s, a

n a

dvert

isem

ent,

invita

tion, so

licita

tion a

nd/o

r offer

to s

ell,

issu

e, purc

hase

or

subsc

ribe f

or,

any

share

s and/o

r secu

ritie

s

in a

ny

jurisd

ictio

n,

or

an in

duce

ment

to e

nte

r in

to invest

ment

activ

ity.

This

Pre

senta

tion d

oes

not

const

itute

an o

ffer

to t

he p

ublic

for

the

sale

of or

subsc

riptio

n f

or,

or

an a

dvert

isem

ent

or

the s

olic

itatio

n o

f

an o

ffer

to b

uy

and/o

r su

bsc

ribe f

or,

secu

ritie

s as

defin

ed in t

he

Com

panie

s A

ct, 71 o

f 2008 (

"the A

ct")

or

oth

erw

ise a

nd w

ill n

ot be

dis

trib

ute

d t

o a

ny

pers

on in S

outh

Afr

ica in

any

manner

whic

h c

ould

be c

onst

rued a

s an o

ffer

to the p

ublic

in t

erm

s of th

e A

ct.

Furt

herm

ore

, th

is P

rese

nta

tion d

oes

not

const

itute

an a

dvert

isem

ent

or

a p

rosp

ect

us

regis

tere

d a

nd/o

r is

sued u

nder

the A

ct.

The in

form

atio

n c

onta

ined h

ere

in h

as

been p

repare

d u

sing

info

rmatio

n a

vaila

ble

to C

AP

PR

EC

at th

e t

ime o

f pre

para

tion o

f th

is

Pre

senta

tion. E

xtern

al or

oth

er

fact

ors

may

have im

pact

ed o

n t

he

busi

ness

of C

AP

PR

EC

and t

he c

onte

nt of

this

Pre

senta

tion,

sin

ce it

s

pre

para

tion.

In a

dditi

on a

ll re

levant

info

rmatio

n a

bout

CA

PP

RE

C m

ay

not

be in

cluded in t

his

Pre

senta

tion.

The in

form

atio

n in t

his

Pre

senta

tion h

as

not been independently

verifie

d. N

o r

epre

senta

tion o

r w

arr

anty

, exp

ress

ed o

r im

plie

d,

is

made a

s to

the a

ccura

cy,

com

ple

teness

or

relia

bili

ty o

f th

e

info

rmatio

n c

onta

ined h

ere

in a

nd n

o r

elia

nce

should

be p

lace

d o

n

such

info

rmatio

n.

Neith

er

CA

PP

RE

C, its

offic

ers

, direct

ors

, em

plo

yees

nor

any

of its

advis

ers

, co

nnect

ed p

ers

ons

or

any

oth

er

pers

on a

ccepts

any

liabili

ty f

or

any

loss

how

soever

arisi

ng,

direct

ly o

r in

direct

ly,

from

this

Pre

senta

tion o

r its

conte

nts

.

This

Pre

senta

tion c

onta

ins

forw

ard

-lookin

g s

tate

ments

, in

cludin

g in

rela

tion t

o t

he p

rosp

ects

of

CA

PP

RE

C, w

hic

h inclu

de a

ll sta

tem

ents

oth

er

than s

tate

ments

of his

torical fa

cts,

inclu

din

g,

with

out

limita

tion,

any

sta

tem

ents

pre

ceded b

y, f

ollo

wed b

y or

inclu

din

g t

he w

ord

s

“targ

ets

”, “

belie

ves”

, “e

xpects

”, “

aim

s”,

“inte

nds”,

“m

ay”

, “a

ntic

ipate

s”,

“would

”, “

could

” or

sim

ilar

expre

ssio

ns o

r th

e n

egativ

e there

of.

Forw

ard

-lookin

g s

tate

ments

by

their n

atu

re involv

e k

now

n a

nd

unknow

n r

isks, unce

rtain

ties,

ass

um

ptio

ns a

nd o

ther

import

ant

facto

rs b

eca

use t

hey

rela

te t

o e

vents

and d

epend o

n c

ircu

msta

nce

s

that m

ight

occu

r in

the futu

re w

heth

er

or

not

outs

ide t

he c

ontr

ol of

CA

PP

RE

C.

Such

facto

rs m

ay

cause

actu

al r

esults

, perf

orm

ance

or

achie

vem

ents

to b

e m

ate

rially

diff

ere

nt

from

futu

re r

esu

lts,

perf

orm

ance

, develo

pm

ents

or

ach

ievem

ents

exp

ress

ed o

r im

plie

d

by

such

forw

ard

-lookin

g s

tate

ments

. S

uch

forw

ard

-lookin

g

sta

tem

ents

are

base

d o

n n

um

ero

us a

ssu

mptio

ns r

egard

ing p

resent

and f

utu

re b

usin

ess

str

ate

gie

s, pro

spect

s and t

he r

ele

vant

opera

ting

environm

ent

in t

he f

utu

re.

Acc

ord

ingly

, no a

ssura

nce is g

iven t

hat

any

such

forw

ard

-lookin

g

sta

tem

ents

will

pro

ve to h

ave b

een c

orr

ect.

These forw

ard

-lookin

g

sta

tem

ents

speak o

nly

as

at th

e d

ate

of th

is P

resenta

tion. C

AP

PR

EC

expre

ssly

dis

claim

s any

oblig

atio

n o

r undert

akin

g t

o d

isse

min

ate

any

update

s o

r re

vis

ions

to a

ny

forw

ard

-lookin

g s

tate

ments

conta

ined

here

in t

o r

efle

ct any

change in it

s exp

ect

atio

ns w

ith r

egard

there

to o

r

any

change in e

vents

, conditi

ons o

r circu

msta

nce

s o

n w

hic

h a

ny

of

such

sta

tem

ents

are

base

d.

IMP

OR

TA

NT

NO

TIC

E, D

ISC

LA

IME

R A

ND

BA

SIS

OF

PR

ES

EN

TA

TIO

N

45

Notes


CORPORATE INFORMATION Capital Appreciation LimitedIncorporated in the Republic of South Africa(Registration number 2014/253277/06)Share code: CTA ISIN: ZAE000208245(“CAPPREC”, or the “Group”)

Registered office 61 Katherine Road, Sandton 2196

DirectorsMI Sacks# (Chairman), MR Pimstein* (Joint Chief Executive), BJ Sacks* (Joint Chief Executive), AC Salomon* (Chief Financial Officer), R Morar#, B Bulo#, JM Kahn#, Prof. H Neishlos#, VM Sekese#, CL Valkin#, DK Dlamini#, EM Kruger#, MG Mokoka#, E Neishlos#

* Executive, # Non-Executive

Company Secretary: Horwath Leveton BonerAuditors: Ernst & Young Inc. Sponsor: Investec Bank Limited Email: [email protected]: www.capitalappreciation.co.za

Transfer SecretaryComputershare Investor Services Proprietary LimitedRosebank Towers, 15 Biermann Street, Rosebank 2001(PO Box 61051 Marshalltown 2107)

GREYMATTER & FINCH # 12441

www.capitalappreciation.co.za

capital appreciation limited reviewed results ’18 · 2 capital appreciation limited reviewed...

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