Sanlam Limited (JSE:SLM) News - Trading statement for the year ended 31 December 2021

Sanlam Limited
(Incorporated in the Republic of South Africa)
Registration number 1959/001562/06
JSE & A2X share code: SLM
NSX share code: SLA
ISIN: ZAE000070660
(“Sanlam” or “the Group”)

Trading statement for the year ended 31 December 2021

Shareholders are advised that Sanlam is compiling its financial results for the year ended 31 December 2021. This trading
statement is in accordance with paragraph 3.4(b) of the JSE Limited Listings Requirements. Sanlam's 2021 annual financial
results will be released on the Stock Exchange News Service (SENS) of the JSE Limited on Thursday, 10 March 2022.

Shareholders are referred to the Group’s operational update for the 10-month period ended 31 October 2021 released on SENS
on Wednesday, 8 December 2021. The Group’s operations remained resilient and sustained strong operational performance
for the 2021 financial year despite the persisting impact of the COVID-19 pandemic.

The Group expects the following earnings performance ranges for the year ended 31 December 2021:
                                                                           12 months to 31 December
                                                         2021                         2021                             2020
                                                  Expected increase on           Expected range                       Actual
                                                 comparative period (%)         (cents per share)                (cents per share)

                                                         8 to 18                     406 to 444                       376.4
 Net result from financial services
 Net operational earnings                               18 to 28                     442 to 480                       374.9
 HEPS                                                   22 to 32                     420 to 455                       344.5
 Diluted HEPS                                           22 to 32                     415 to 449                       340.3
 EPS                                                      >100                       458 to 461                        34.8
 Diluted EPS                                              >100                       452 to 456                        34.4

The improvement in earnings are mainly the result of:
•    Higher equity market levels that supported fund-based fee income, positive marked-to-market changes from credit
     spread movements and lower levels of provisions for doubtful debts.
•    Higher earnings from Santam, negatively impacted by the provision for COVID-19 related contingent business
     interruption claims in 2020.
•    The comparative period included IFRS 9 expected credit loss provisions in respect of government bond and banking
     exposure on the Lebanon balance sheet, which did not repeat in 2021.

The 2021 increase in EPS and diluted EPS relative to HEPS and diluted HEPS is mainly due to the impairment charges of
some R8,6 billion in the comparative period which did not repeat in 2021.

31 December 2020 earnings per share restatement
As reported in the interim results announcement released on SENS on Thursday, 9 September 2021, shareholders are
advised that the previously reported attributable earnings per share and headline earnings per share information has been
restated for the correction of Hyperinflation accounting applied in the 31 December 2020 results. The restatement does not
have an impact on the net asset value due to the offsetting impacts on foreign currency translation reserve in the statement of
changes in equity at 31 December 2020.
                                                                           31 December 2020
                                                    Previously reported        Restatement              Revised
 Attributable earnings (R’ million)                        2 863                  (2 145)                 718
 EPS (cents)                                               138.8                  (104.0)                 34.8
 Diluted EPS (cents)                                       137.1                  (102.7)                 34.4
 Headline earnings (R’ million)                            9 249                  (2 145)                7 104
 HEPS (cents)                                              448.5                  (104.0)                344.5
 Diluted HEPS (cents)                                      443.0                  (102.7)                340.3
 Total equity (R’ million)                                77 224                     -                  77 224
                                                                                                                              
The financial information in this trading statement is the responsibility of the Sanlam Board of Directors and has not been
reviewed or reported on by the Group’s external auditors.

For all investor relations queries please contact:

Sanlam Investor Relations
Tel: +27 21 947 8455
E-mail: ir@sanlam.co.za

Cape Town, 3 March 2022
Sponsor: The Standard Bank of South Africa Limited    




                                                                                                                             

Date: 03-03-2022 02:00:00
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