Standard Bank Namibia Limited
Registration No. 2006/306
Registered in Namibia
(“SBN Holdings Limited” or “the Company”))
Issuer code: SBN02 ISIN no.: ZAG000178419
Issuer code: SBN03 ISIN no.: ZAG000178427


Consolidated Financial Results For The Year Ended 31 December 2022

Profit for the year increased by 70.5%, up from N$366 million to N$624
million, driven by strong income growth and improvement of our collection
strategy to reduce our credit impairment charges.

                                                      Audited         Audited
                                               31 December 2022 31 December 2021
                                                                    Restated
                                                     N$’000          N$’000
 Net income before tax                                   888 000         562 563
 Profit after tax                                        624 280         366 211
 Number of ordinary shares in
                                                      522 471 910             522 471 910
 issue
 Weighted average number of
                                                      522 471 910             522 471 910
 shares issued
 Basic earnings per share (cents)                                119                      70
 Net asset value per share
                                                                 912                     827
 (cents)
 Final Dividend per share (cents)                                 46                      15
 Total Dividend per share (cents)                                 66                      31
 Headline Earnings per Share                                     119                      70

The ROE improved from 8.6% to 13.7%. The group is well-positioned to achieve
its ROE target of a minimum of 15% by 2025.

Restatement


During the year the group noted the following restatement relating to the group’s previously
published results.

   1. In the current year the group enhanced the control environment surrounding its client management
      system (CMS) by embedding a client contribution report tool for accrued interest. The report tool
      improves the process of reconciliation of interest accrued balances between the CMS and the
      balance sheet accounts. As part of the reconciliation process, all transactional data for accrued
      interest income, accrued interest expense and interest in suspense for the period 2012 to 2021
      was analysed:

           Unsubstantiated accrued interest income of N$30.5 million, interest in suspense to the value
           of N$8 million, accrued interest expense to the value of N$14.0 million and credit impairments
          to the value of N$23 million were adjusted and restated accordingly for periods ended up to
          31 December 2020. For the 2021 financial year, a net total of N$7.4 million in interest income
          and expense was restated. The N$24.2 million normal tax impact of these restatements has
          also been reflected in the periods ended up to 31 December 2020. For 2021 the tax impact of
          N$2.4 million was also adjusted for.
       These errors have been corrected by restating the comparatives in the statement of financial
       position, statement of comprehensive income and related notes of the company.

   2. The group also performed benchmarking and internal investigations to reassess the definition of
      cash and cash equivalents when compiling the statement of cash flows. The following have been
      identified as industry best practice during this exercise and have resulted in the following
      restatements, changes to accounting presentation policies and related additional disclosures:

       •   The direct method provides more reliable presentation of the cash flow movements for the
           group and company which is not available under the indirect method. This change only
           impacted net cash flows from operating activities within the statement of cash flows for the
           group and company.

       •   The group restated its financial statements to appropriately reflect and present the change
           from on demand loans and advances to banks to cash and cash equivalents in the statement
           of cash flow and updated the related accounting policy accordingly, refer to note 33.8. These
           balances, amounting to N$3.3 billion in the 2021 closing cash and cash equivalents balance
           and N$2.2 billion in the opening balance, were in prior periods excluded from cash and cash
           equivalents and instead included in income-earning assets. Both the balances and movement
           (N$1.0 billion) have now been appropriately included within the cash and cash equivalents line
           in the statement of cash flows.

       •   Specific accounting policies, have been included for the following:
              o Cash and balances with central banks
              o Cash and cash equivalents

       The impact on the statement of cash flows of the above changes is detailed in the annual financial
       statements. The related notes were restated as required.

Dividend

The Board recommended an ordinary Final dividend of 46 cents per share (2021: 15 cents per ordinary
share).

The salient dates are as follows:
Last day to trade cum div:                   5 May 2023
First day to trade ex – dividend:            8 May 2023
Record date:                                 12 May 2023
Payment date:                                26 May 2023
Looking ahead

We remain optimistic about the reforms ahead that are likely to come to fruition towards the end of the
mid-term expenditure framework. Large structural investments in both the green and blue economy, as
well as the discovery of offshore oil, place Namibia in an excellent position to become an energy
powerhouse on the African continent over the medium- to longer-term and alleviate its and the region’s
energy needs. This has the potential to accelerate economic growth moving forward, and we are well-
positioned to navigate this future with our strategic partners. We are also looking forward to assisting our
clients in these industries to achieve their aspirations.

Our strategy for 2023 will continue to focus on our clients, our people as well as operational excellence,
thereby ensuring that our people, processes and systems are properly aligned to continue to deliver
appealing and relevant customer value propositions across all segments, and we are also looking forward
to assist our clients to achieve their aspirations.

SHORT FORM ANNOUNCEMENT

This short form announcement is the responsibility of the directors. It is only a summary of the information
contained in the full announcement and does not contain full or complete details.

The information in this announcement has been extracted from the audited financial statements, but the
announcement itself is not audited.

Any investment decision should be based on the full announcement accessible on our website
https://www.standardbank.com.na/               via            the     NSX             link
https://senspdf.jse.co.za/documents/2023/nsx/isse/sno/ResDec2022.pdf.



By order of the Board

13 April 2023

HERBERT MAIER (CHAIRMAN); SUNE BRUGMAN; ISAC TJOMBONDE; SILKE HORNUNG; PETER
SCHLEBUSCH; NATASHA BASSINGTHWAIGHTE; BIRGIT ROSSOUW; MARIA SHIVUTE DAX;
NANGOSORA ASHLEY TJIPITUA; MERCIA GEISES; LETITEA DU PLESSIS.

REGISTERED OFFICE

1 Chasie Street, Kleine Kuppe, Windhoek; P.O. Box 3327, Windhoek, Namibia


AUDITORS

PricewaterhouseCoopers
344 Independence Avenue, Windhoek

SPONSOR

Debt Sponsor
The Standard Bank of South Africa

TRANSFER SECRETARIES

Transfer Secretaries (Pty) Ltd; 4 Robert Mugabe Avenue; P.O. Box 2401, Windhoek, Namibia