Brimstone Investment Corporation - N Shares (JSE:BRN) News - Trading statement

Brimstone Investment Corporation Limited
(Registration number 1995/010442/06)
(Incorporated in the Republic of South Africa)
ISIN Number: ZAE000015277 Share Code: BRT
ISIN Number: ZAE000015285 Share Code: BRN
(“Brimstone” or the “Company”)

Trading statement

In terms of the JSE Limited Listings Requirements, companies are required to publish a trading statement as soon
as they are reasonably certain that the financial results for the current reporting period will be more than 20%
different than that of the prior comparative period.

Shareholders of Brimstone are hereby advised that for the year ended 31 December 2021 (the “Current Period”),
both earnings per share (“EPS”) and headline earnings per share (“HEPS”) have been reflected as follows:

1.        for comparative purposes, EPS and HEPS now reflect both discontinued operations and continuing
          operations as a result of Lion of Africa Insurance Company Limited, a subsidiary of Brimstone, being
          disposed of during December 2021 and classified as a discontinued operation in accordance with IFRS 5
          Non-current Assets Held for Sale and Discontinued Operations; and

2.        EPS and HEPS have been adjusted to only include the unaudited results of associate, Oceana Group
          Limited (“Oceana”) for the six months ended 31 March 2021 as Brimstone is unable to include the results
          of Oceana for the year ended 30 September 2021 for the Current Period, due to a delay in the release of
          Oceana’s results for the year ended 30 September 2021 as announced on SENS by Oceana on 10
          February 2022 and prior SENS publications.

The table below sets out expected earnings:

                                           Expected to 31              Audited to 31           Expected change
                                            December 2021             December 2020*                         %
                                                    cents                      cents
    Adjusted earnings including
    discontinued operations:
    Adjusted EPS                           At least 219.0                     (73.0)             At least 400%
    Adjusted HEPS                          At least 184.5                     (61.5)             At least 400%
    Adjusted earnings from
    continuing operations:
    Adjusted EPS                           At least 160.4                     (50.1)             At least 420%
    Adjusted HEPS                          At least 175.0                     (38.6)             At least 553%

*    Audited to 31 December 2020 did not reflect a split between discontinued and continuing operations, however
     the split for continuing operations has been reflected in the above table.

The adjusted EPS and HEPS constitutes pro forma financial information in terms of the JSE Listings Requirements
and is the responsibility of the directors of Brimstone. This information has been prepared for illustrative purposes
only and may not fairly present the Company’s financial position.

A further trading statement will be released on SENS as soon as Brimstone (i) has reasonable certainty on the
ranges of EPS and HEPS and/or (ii) the results of Oceana for the year ended 30 September 2021 have been
released enabling Brimstone to update its adjusted EPS and HEPS.

Shareholders are advised that the financial information on which this trading statement is based has not been
reviewed or reported on by the Company’s auditors.

Brimstone’s results for the Current Period are expected to be published on SENS on or about 31 March 2022.

17 February 2022
Cape Town

Sponsor
Nedbank Corporate and Investment Banking, a division of Nedbank Limited

Date: 17-02-2022 04:00:00
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