York Timber Holdings Limited
(Incorporated in the Republic of South Africa)
(Registration number: 1916/004890/06)
Share code: YRK
ISIN: ZAE000133450
(“York” or the “Company” or the “Group”)

TRADING STATEMENT AND TRADING UPDATE

York is in the process of finalising its results for the six
months ended 31 December 2022 for release on or about
30 March 2023.

In terms of paragraph 3.4(b) of the Listings Requirements of
the JSE Limited, companies are required to publish a trading
statement as soon as they are satisfied that a reasonable
degree of certainty exists that the financial results for the
period to be reported upon next will differ by at least 20%
from the previous corresponding period.

Profitability for the six-month period ended 31 December 2022
has been impacted by price increases in logs and transport
costs which could not be recovered in selling prices. The
significant diesel costs incurred to mitigate loadshedding
further decreased profitability during the period.

York’s strategy to increase the clearfell age of its
plantations resulted in reduced harvesting from its own
plantations. This required an increase in external log
purchases where prices have increased significantly despite
a reduction in lumber selling prices. The value of the
biological asset (the movement of which is excluded from core
earnings per share (“Core EPS”)) increased due to additional
planting and less harvesting.

The results for the six-month period ended 31 December 2021
(“Prior Comparative Period”) included the Driekop sawmill,
which closed during the strike action last year. The mill was
not   operational   during   the   six-month   period   ended
31 December 2022.

Shareholders are advised that, for the six-month period ended
31 December 2022:

-   earnings per share (“EPS”) is expected to decrease from
    17.04 cents* to between 11.42 cents and 12.28 cents, being
     a decrease of between 28% and 33% compared to the Prior
     Comparative Period; and
-    headline earnings per share (“HEPS”) is expected to
     decrease from 17.11 cents* to between 11.56 cents and 12.41
     cents, being a decrease of between 27% and 32% compared to
     the Prior Comparative Period.

Furthermore, shareholders are advised that:

-    Core EPS (based on EPS attributable to ordinary
     shareholders less the fair value adjustment to the
     biological assets, net of tax) is expected to decrease
     from 10.55 cents* to a loss of between 7.10 cents and
     7.63 cents, being a decrease of between 167% and 172%
     compared to the Prior Comparative Period.

-    Earnings   before   interest,   taxation,   depreciation,
     amortisation and fair value adjustments on biological
     assets is expected to be between 64% and 69% lower than
     the Prior Comparative Period amount of R120.4 million*.

-    Cash generated from operations is expected to be between
     30% and 35% lower than the cash generated from operations
     in the Prior Comparative Period of R120.5 million*.

    * The Group restated its prior year figures following the
      International    Financial   Reporting    Interpretations
      Committee (“IFRIC”) agenda decision on the accounting
      treatment of costs of configuring or customising a
      supplier’s application software in a cloud computing or
      Software as a Service (SaaS) arrangement in March 2021.
      The Group has reconsidered its accounting treatment and
      adopted the treatment set out in the IFRIC agenda
      decision. The cost of customisation and configuration has
      been expensed in the Statement of profit or loss and other
      comprehensive income in the annual financial results for
      the year ended 30 June 2022. This change in accounting
      treatment has been accounted for retrospectively and
      comparative information has been restated. The results
      for the Prior Comparative Period have been restated. A
      detailed assessment and impact of the restatement was
      included in the results for the year ended 30 June 2022.

      As a result of the issue of York shares, pursuant to the
      York rights offer which was implemented in January 2023,
      at a discount to the York share price, the Prior
      Comparative Period weighted average number of ordinary
   shares used for the EPS, HEPS and Core EPS calculations
   were retrospectively adjusted in terms of IAS 33.

   A detailed assessment and impact of the restatements above
   will also be included in the results for the six months
   ended 31 December 2022.

Shareholders are advised that the information included in
this announcement has not been reviewed or reported on by the
Company’s auditors and is the responsibility of the directors
of the Company.

Sabie, Mpumalanga
20 March 2023

Sponsor
One Capital