INSIMBI INDUSTRIAL HOLDINGS LIMITED - Updated trading statement for the year ended 28 February 2025

Updated trading statement for the year ended 28 February 2025

INSIMBI INDUSTRIAL HOLDINGS LIMITED
(Incorporated in the Republic of South Africa)
(Registration number: 2002/029821/06)
Share code: ISB
ISIN: ZAE000116828
("the Company")


UPDATED TRADING STATEMENT FOR THE YEAR ENDED 28 FEBRUARY 2025


On 16 April 2025, the Company published an update to the initial trading statement in which it advised
shareholders that a reasonable degree of certainty existed that earnings per share ('EPS') and headline
earnings per share ("HEPS") are expected to decrease by more than 100%, respectively, compared to
the previous corresponding period.

The Company hereby advises that a reasonable degree of certainty exists that, for the year ended
28 February 2025 ("Current Period"):

-   earnings per share ("EPS") will decrease between 43.60 and 46.0 cents per share, when compared
    to the EPS of 11.86 cents for the year ended 29 February 2024 ("Prior Period"), representing a
    decrease of more than 100%; and
-   headline earnings per share ("HEPS") will decrease between 17.79 and 20.29 cents per share,
    when compared to the HEPS of 12.54 cents for the Prior Period, representing a decrease of more
    than 100%.

The decrease in EPS has been materially impacted by the outcome of the annual goodwill impairment
assessment, as required by IFRS, which resulted in total impairments of R77.8million recognised in the
Current Period. The key factors for the impairment include the continued tough trading conditions that
have impacted current performance. While this charge affects reported earnings, it does not impact the
company's cash position or underlying operational performance. The Company had positive cash
generation throughout the Current Period.

Other factors that have negatively impacted the results include:
- Non-recurring costs and associated tax implications relating to the repurchase of shares and
   disposals of certain business assets.
- Other non-recurring costs incurred as part of the strategic restructuring and optimisation of
   operations within the group.
- Other factors such as foreign exchange losses and inventory write-downs.

The Company's main bankers, ABSA Bank Limited, has also agreed to relaxed covenants up to
February 2027.

The audited results for the Current Period are expected to be published on or about 30 May 2025.

The financial information on which this trading statement is based has not been reviewed nor reported
on by the Company's external auditors.

Johannesburg
27 May 2025

Sponsor
PSG Capital

Date: 27-05-2025 10:58:00
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