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Summary of audited results for the year ended 30 June 2021 and cash dividend declaration
Remgro Limited
(Incorporated in the Republic of South Africa)
(Registration number 1968/006415/06)
ISIN: ZAE000026480
Share code: REM
("Remgro" or "the Company" or "the Group")
SUMMARY OF AUDITED RESULTS FOR THE YEAR ENDED 30 JUNE 2021 AND CASH DIVIDEND
DECLARATION
SALIENT FEATURES
- Headline earnings per share from continuing operations: up by 66.0% to 510.6 cents
- Total headline earnings per share: down by 8.9% to 510.6 cents
- Earnings per share: down by 46.6% to 628.3 cents
- Total ordinary dividend per share: 90 cents
- Intrinsic net asset value per share as at 30 June 2021: R177.33
INTRODUCTION
The Covid-19 pandemic and resultant containment measures have caused immeasurable harm globally, but these
hardships have also provided individuals, companies and organisations with the opportunity to reflect and to reset where
necessary. While the ramifications of the pandemic will still be felt for a long time, Remgro is encouraged by its improved
performance compared to the previous financial year.
RESULTS
During June 2020, Remgro unbundled its 28.2% interest in RMB Holdings Limited (RMH) (RMH Unbundling) and,
consequently, the investment in RMH was treated as a discontinued operation for the year ended 30 June 2020. For
the year under review, earnings and headline earnings measures are again presented for continuing operations and
discontinued operations and, accordingly, discontinued operations for the prior year include the equity accounted
income of RMH.
For the year under review, headline earnings from continuing operations increased by 66.1% from R1 737 million to
R2 885 million, while headline earnings per share (HEPS) from continuing operations increased by 66.0% from
307.5 cents to 510.6 cents. Total headline earnings and total HEPS decreased by 8.9% from R3 167 million to
R2 885 million and from 560.6 cents to 510.6 cents, respectively.
The headline earnings from continuing operations for the comparative year were significantly impacted, during the
second six months to 30 June 2020, by the Covid-19 pandemic and the resultant lockdown measures, as well as by a
once-off donation of R500 million to The South African SME Relief Trust. From this low base, the increase in headline
earnings from continuing operations for the year under review is mainly due to the recovery of the earnings of most of
Remgro’s underlying investee companies (most notably RCL Foods Limited, Distell Group Holdings Limited,
TotalEnergies Marketing South Africa Proprietary Limited and Rand Merchant Investment Holdings Limited). This
increase is partly offset by a lower contribution from Mediclinic International plc (Mediclinic) (Mediclinic’s contribution
includes the full impact of the Covid-19-related lockdown measures on its results for the year ended 31 March 2021),
as well as lower interest income, due to the 300 basis points reduction in interest rates since January 2020. Furthermore,
due to the accounting reclassification of FirstRand Limited (FirstRand) from an equity accounted investment to an
investment at fair value through other comprehensive income, only dividend income of R191 million was accounted from
FirstRand for the year under review, whereas earnings of R657 million were equity accounted in the comparative year.
INTRINSIC NET ASSET VALUE
Remgro’s intrinsic net asset value per share increased by 14.8% from R154.47 at 30 June 2020 to R177.33 at
30 June 2021. The closing share price at 30 June 2021 was R114.60 (2020: R99.90) representing a discount of 35.4%
(2020: 35.3%) to the intrinsic net asset value.
DECLARATION OF CASH DIVIDEND NO. 42
Notice is hereby given that a final gross dividend of 60 cents (2020: 50 cents) per share has been declared out of income
reserves in respect of both the ordinary shares of no par value and the unlisted B ordinary shares of no par value, for
the year ended 30 June 2021.
A dividend withholding tax of 20% or 12 cents per share will be applicable, resulting in a net dividend of 48 cents per
share, unless the shareholder concerned is exempt from paying dividend withholding tax or is entitled to a reduced rate
in terms of an applicable double-tax agreement.
The total gross dividend per share for the year ended 30 June 2021 therefore amounts to 90 cents, compared to
265 cents for the year ended 30 June 2020. The final dividend of 2020, as well as the interim and final dividends of
2021, were adjusted downwards to take into account the RMH Unbundling during the prior year and the ongoing impact
of the Covid-19 pandemic.
The issued share capital at the declaration date is 529 217 007 ordinary shares and 39 056 987 B ordinary shares. The
income tax number of the Company is 9500-124-71-5.
Dates of importance:
Last day to trade in order to participate in the dividend Tuesday, 16 November 2021
Shares trade ex dividend Wednesday, 17 November 2021
Record date Friday, 19 November 2021
Payment date Monday, 22 November 2021
Share certificates may not be dematerialised or rematerialised between Wednesday, 17 November 2021, and Friday,
19 November 2021, both days inclusive.
In terms of the Company’s Memorandum of Incorporation, dividends will only be transferred electronically to the bank
accounts of shareholders. In the instance where shareholders do not provide the Transfer Secretaries with their banking
details, the dividend will not be forfeited but will be marked as "unclaimed" in the share register until the shareholder
provides the Transfer Secretaries with the relevant banking details for payout.
DIRECTORS’ STATEMENT
The directors, who take responsibility for the contents of this short-form announcement, present the audited results of
Remgro for the year ended 30 June 2021. The preparation of the Group’s consolidated results was supervised by the
Chief Financial Officer, Neville Williams CA(SA).
The financial information in this short-form announcement is a summary only and does not contain full details of the
consolidated financial results. Accordingly, any investment decisions should be based on information contained in the
full announcement, published and available at
https://senspdf.jse.co.za/documents/2021/JSE/ISSE/REM/REMJun2021.pdf and on the Company’s website at
www.remgro.com.
The consolidated Annual Financial Statements (AFS) were audited by PricewaterhouseCoopers Inc., who issued an
unmodified audit opinion on the consolidated AFS. The consolidated AFS, which includes the auditor's report (with Key
Audit Matters) issued on the consolidated AFS, are available on the Company’s website at www.remgro.com.
BASIS OF PREPARATION OF FINANCIAL INFORMATION
These results have been prepared in accordance with paragraph 3.46 of the Listings Requirements of the JSE Limited,
which has been applied consistently to both years.
RESULTS WEBCAST AND PRESENTATION
Shareholders and other interested parties are invited to join management in discussing Remgro's year-end results via
webcast at 09:00 am SAST on Wednesday, 22 September 2021 at the following link:
https://services.themediaframe.com/links/remgro10039816.html
The Integrated Annual Report will be mailed to those shareholders who requested to receive a hard copy and will be
available on the website during October 2021.
Signed on behalf of the Board of Directors.
Johann Rupert Jannie Durand
Chairman Chief Executive Officer
Stellenbosch
Approved by the Board: 21 September 2021
SENS release date: 22 September 2021
DIRECTORATE
Non-executive directors
Johann Rupert (Chairman), F Robertson* (Deputy Chairman),
S E N De Bruyn*, N P Mageza*, J Malherbe, P J Moleketi*,
M Morobe*, P J Neethling, G G Nieuwoudt*,
K M S Rantloane*, A E Rupert
(* Independent)
Executive directors
J J Durand (Chief Executive Officer),
M Lubbe, N J Williams
CORPORATE INFORMATION
Secretary
D I Dreyer
Listing
JSE Limited
Sector: Financials – Financial Services – Investment Banking and Brokerage Services – Diversified Financial Services
Business address and registered office
Millennia Park, 16 Stellentia Avenue, Stellenbosch 7600
(PO Box 456, Stellenbosch 7599)
Transfer Secretaries
Computershare Investor Services Proprietary Limited,
Rosebank Towers, 15 Biermann Avenue, Rosebank 2196
(Private Bag X9000, Saxonwold 2132)
Auditors
PricewaterhouseCoopers Inc.
Stellenbosch, South Africa
Sponsor
Rand Merchant Bank (A division of FirstRand Bank Limited)
ACCESS TO INFORMATION
The financial results:
- can be viewed on www.jse.co.za;
- can be viewed online at www.remgro.com;
- are available for inspection at the Company’s registered office and the offices of the sponsor at no charge, during
normal business hours from 22 September 2021; or
- may be requested in printed format from Ms D I Dreyer, tel: +27 21 888 3373.
FOR MORE INFORMATION
www.remgro.com
Date: 22-09-2021 07:05:00
Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE').
The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of
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indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on,
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