ABRIDGED AUDITED FINANCIAL INFORMATION FOR THE YEAR ENDED 31 MARCH 2015

ABRIDGED AUDITED FINANCIAL INFORMATION FOR THE YEAR ENDED 31 MARCH 2015

REGISTERED OFFICE: OK House, 7 Ramon Road, Graniteside, P.O. Box 3081, Harare, Zimbabwe. Tel: +263 4 757 311/9. Telefax: +263 4 757 028/39Email: ok@okzim.co.zw

Revenue down to $462.7 million

Profit for the year down to $7.5 million

Attributable earnings per share 0.65 cents

Final dividend of 0.14 cents per share

DIRECTORS: D. B. Lake (Chairman), V. W. Zireva* (Chief Executive Officer), A. R. Katsande* (Chief Operating Officer), A. E. Siyavora* (Finance Director), W. N. Alexander, F. T. Kembo, H. Nkala, M. T. Rukuni, M. Tapera, R. van Solt, M. C. Jennings (Alternate) *Executive

CHAIRMAN'S STATEMENT

OVERVIEWThe economic slowdown reported on last financial year deepened as evidenced by increased company closures and higher unemployment. These negative trends led to depressed consumer demand and a difficult trading year was experienced by most business sectors. Liquidity constraints persisted while local manufacturing continued to decline. Disposable incomes declined further and decreases in prices of goods across the various product generics continued with the government statistical office reporting deflation of 1.2% by March 2015. Our internal deflation figure is even higher at about 3%.

Product supply was consistent but prices in our stores continued to decrease as both foreign and local suppliers reduced prices in an effort to stimulate subdued demand. South Africa remained the main source of product supply with goods procured and sold in United States Dollars.

Operating in the environment outlined above, the Group posted a decline in both revenue and profitability. Gross margin improved marginally, but not to an extent that it could compensate for the effect of the decrease in revenue generated. Operating costs increased marginally mainly because of a high depreciation expense as the capital expenditure continues, while the growth in financial services income was slower than expected. A Bon Marche store was opened at Borrowdale Brooke which has performed above expectation and a new OKmart was opened in Kwekwe in March 2015. Refurbishment work was completed at OK Gweru, OK Mutare, OK Rusape and OK Mbuya Nehanda.

GROUP PERFORMANCERevenue generated for the year decreased by 4.3% to $462.7 million from the $483.7 million posted in prior year. Profit before tax was 20.9% down at $10.6 million from $13.4 million in the previous year, while profit after tax decreased by 22.2% to $7.5 million from $9.7 million in 2014.

Overheads increased by 3.8% to $72 million from $69.4 million in the previous year. This increase was mainly as a result of increased depreciation expense as new equipment was installed in the refurbished branches and new stores. The cost of electricity also increased markedly as the Group rolled out its own bakeries. There was also increased use of power generators as electricity outages were more frequent and prolonged. Controls over shrinkage were very effective and will continue to be enhanced.

The cost of borrowing remained low at $0.27 million as the Group continues to service its debt. Capital expenditure for the year was $11.3 million, down from $12.4 million in the prior year and was mainly in respect of store refurbishment, the new stores and replacement of old plant and equipment.

DIVIDENDThe directors have recommended a final dividend of 0.14 cents per share to be paid to shareholders on or about 15 June 2015. This brings the total dividend for the year to 0.33 cents per share.

OUTLOOKTo continue enhancing brand strength and improve sales growth, the Group will embark on full scope refurbishment of OK First Street and OK Marondera. Partial refurbishment will also be carried out at OK Gwanda and OK Mbare. A new OKmart will be opened in Mutare soon while a new OK store is under construction and will be opened in Zvishavane by September 2015. Another OKmart is planned for Victoria Falls later in the year. A new and larger store will be put up at Houghton Park.

In response to changes in market dynamics the Group has embarked on various initiatives to provide a clearer segmentation of its offerings. The measures are being actively implemented to ensure the continued efficiency and profitability of operations and to strengthen the Group’s position as market leader.

D B LakeChairman21 May 2015

DIVIDEND ANNOUNCEMENT

NOTICE is hereby given that on 21 May 2015 the Board of Directors declared a final dividend (number 20) of 0.14 cents per share payable out of the profits of the Group for the year ended 31 March 2015.

The dividend will be payable on or about 15 June 2015 in United States Dollars to shareholders registered in the books of the Group at the close of business on 5 June 2015.

The share register of the Group will be closed from 5 June 2015 to 7 June 2015 both dates inclusive.

By order of the BoardH NharingoGroup Secretary21 May 2015

CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOMEFOR THE YEAR ENDED 31 MARCH 2015 2014 US$ US$Revenue 462,706,795 483,660,043 Changes in trade inventories (3,608,029) 6,206,111Merchandise and consumables used (376,208,330) (406,867,317) Employee benefit expense (30,606,784) (31,069,272) Depreciation (6,668,475) (5,393,181) Share based payments expense (344,178) (623,909) Net operating costs (34,387,448) (32,267,336) Finance costs (270,323) (231,548)Profit before tax 10,613 228 13,413,591 Tax expense (3,081,998) (3,728,179)Profit for the year 7,531,230 9,685,412 Other comprehensive income Fair value adjustment on available for sale equity investments (3,221) 3,912Income tax relating to components of other comprehensive income 32 (39)Other comprehensive (loss)/income for the year net of tax (3,189) 3,873

Total comprehensive income for the year 7,528,041 9,689,285 Weighted average number of ordinary shares in issue: 1,154,851,548 1,136,040,301

Share performance - cents : attributable earnings per share 0.65 0.85 : headline earnings per share 0.65 0.85 : diluted earnings per share 0.63 0.82 : dividend per share 0.33 0.42 : net asset value per share 6.18 5.89 CONSOLIDATED STATEMENT OF FINANCIAL POSITION AS AT 31 MARCH 2015 2014 US$ US$AssetsNon-current assets Property, plant and equipment 57,366,618 52,920,883Long-term receivables 1,070,916 1,028,639Goodwill 400,000 400,000Long-term investments 341,906 257,477Deferred tax assets 49,931 36,776 59,229,371 54,643,775Current assets Inventories 46,701,760 42,986,745Trade and other receivables 10,461,412 6,238,736Short-term loans 109,340 23,074 Cash and cash equivalents 11,874,125 13,148,577 69,146,637 62,397,132Total assets 128,376,008 117,040,907

Equity and liabilitiesCapital and reserves Issued share capital 115,799 114,328 Share premium 27,086,755 26,124,348 Share based payment reserve 635,562 890,906 Investment reserve 54,726 57,915 Revaluation reserve 5,626,819 5,626,819 Non-distributable reserve 9,820,399 9,820,399 Retained earnings 28,025,883 24,268,252 71,365,943 66,902,967Non-current liabilitiesDeferred tax liabilties 8,930,933 7,729,440Long-term borrowings 1,092,744 2,774,963 10,023,677 10,504,403Current liabilities Trade and other payables 45,273,447 37,720,433Short-term borrowings 1,685,639 1,391,531Current tax liabilities 27,302 521,573 46,986,388 39,633,537Total equity and liabilities 128,376,008 117,040,907

CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2015 2014 US$ US$ Cash generated from operating activities Cash generated from trading 17,716,090 19,749,599 Working capital changes (384,677) (2,930,761) Cash generated from operating activities 17,331,413 16,818,838 Net finance costs (92,100) (107,029) Tax paid (2,387,931) (2,952,752) Net cash generated from operating activities 14,851,382 13,759,057 Cash utilised in investment activities Investment to maintain operations : Replacement of property, plant and equipment (7,311,471) (5,591,563) Proceeds from disposal of property, plant and equipment 135,262 45,705 Increase in long-term investments (84,218) (959) (7,260,427) (5,546,817)

Investment to expand operations: Additions to property, plant and equipment (3,939,510) (6,823,774) Increase in long-term receivables (42,277) (1,028,639) (3,981,787) (7,852,413Net cash invested (11,242,214) (13,399,230)

2015 2014 US$ US$Financing activitiesDividend paid (4,740,439) (6,793,054)(Decrease)/increase in borrowings (1,388,111) 2,166,494Proceeds from share options exercised 1,336,196 1,788,129(Increase)/decrease in short-term loans (86,266) 1,978Capital raising-debt conversion cost (5,000) -Net financing utilised (4,883,620) (2,836,453)

Net decrease in cash and cash equivalents (1,274,452) (2,476,626) Cash and cash equivalents at the beginning of the year 13,148,577 15,625,203 Cash and cash equivalents at the end of the year 11,874,125 13,148,577 CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITYFOR THE YEAR ENDED 31 MARCH 2015 2014 US$ US$ Shareholders' equity at the beginning of the year 66,902,967 56,390,405

Changes in share capitalArising from shares issued 1,336,196 6,992,422Arising from share options 344,178 623,909 Capital raising-debt conversion cost (5,000) -

Changes in distributable reserve

Dividend paid - prior year final (2,540,251) (4,506,600)- current year interim (2,200,188) (2,286,454) Total comprehensive income for the year 7,528,041 9,689,285Shareholders' equity at the end of the year 71,365,943 66,902,967 NOTES TO THE ABRIDGED CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2015 1 Basis of preparation Statement of compliance The underlying financial statements to these financial results have been prepared in accordance with International Financial Reporting Standards and in the manner required by the Companies Act (Chapter 24:03).

These financial results should be read in conjunction with the complete set of Financial Statements for the year ended 31 March 2015 which have been audited by Deloitte and Touche in accordance with International Standards on Auditing. An unmodified audit opinion has been issued thereon. The auditor’s report on the Financial Statements which form the basis of these financial results is available at the company‘s registered office. 2 Currency of reporting The financial statements are presented in the United States Dollars, which is the functional currency of the Group.

3 Significant accounting policies The principal accounting policies of the Group are consistent, in all material respects,with those adopted in the previous year. 2015 2014 US$ US$4 Tax expense Current income tax 1,887,617 2,442,631 Deferred tax movement 1,188,338 1,275,484 Withholding tax 6,043 10,064 3,081,998 3,728,179 5 Borrowings Long-term 1,092,744 2,774,963 Short-term 1,685,639 1,391,531 2,778,383 4,166,494 The average cost of borrowings is 8.12%. 6 Cash generated from trading Profit before taxation 10,613,228 13,413,591 Adjust for: Finance costs 270,323 231,548 Share based payments expense 344,178 623,909 Depreciation 6,668, 475 5,393,181 Employee share participation costs - 204,293 Sundry income - Treasury bills (3,400) - Interest income (178,223) (124,519) Loss on sale of property, plant and equipment 1,509 7,596 17,716,090 19,749,599

7 Capital Expenditure 11,250,981 12,415,337

8 Capital Commitments Authorised but not contracted for 18,787,487 16,290,976 The capital expenditure is to be financed out of the Group’s own resources and existing borrowing facilities.

9 Going concern The Directors have considered the prospects of the Group and are satisfied that the Group is a going concern and therefore continue to apply the going concern assumption in the preparation of these financial statements.