TRUWORTHS INTERNATIONAL LIMITED – Preliminary audited annual results for the 53 weeks ended July 3, 2022, declaration of dividend and changes to the board of directors – SENS

                            

Preliminary audited annual results for the 53 weeks ended 3 July 2022, dividend declaration & changes to the board

TRUWORTHS INTERNATIONAL LTD
(Incorporated in the Republic of South Africa)
(Registration number: 1944/017491/06)
(Tax reference number: 9875/145/71/7)
JSE code: TRU
NSX code: TRW
ISIN: ZAE000028296
LEI: 37890099AFD770037522

SHORT-FORM ANNOUNCEMENT
PRELIMINARY REPORT ON THE AUDITED GROUP ANNUAL RESULTS FOR THE 53 WEEKS ENDED 3 JULY 2022, CASH DIVIDEND DECLARATION
AND CHANGES TO THE BOARD OF DIRECTORS

Truworths International Ltd (the company) is an investment holding and management company listed on the JSE and the
Namibian Stock Exchange. Its principal trading entities, Truworths Ltd and Office Holdings Ltd, are engaged either
directly or indirectly through subsidiaries, concessions, agencies or wholesale partners, in the cash and account
retailing of fashion clothing, footwear, homeware and related merchandise. The company and its subsidiaries (the Group)
operate primarily in South Africa and the United Kingdom, and have a presence in Germany, the Republic of Ireland and
other sub-Saharan African countries.

Key features
– Sale of merchandise up 9.1% to R17.9 billion
(Pro forma*: up 6.6% to R17.5 billion)
– Retail sales up 9.0% to R18.5 billion
(Pro forma*: up 6.6% to R18.1 billion)
– Gross margin up at 53.5%
(June 2021: 51.0%)
– Expected credit loss allowance to trade receivables improved to 20.9%
(June 2021: 23.4%)
– Profit before finance costs and tax up 45.4% to R4.4 billion
(Pro forma*: up 38.6% to R4.2 billion)
– Operating margin up at 24.7%
(June 2021: 18.5%)
– Earnings per share 794.1 cents per share, up 65.4%
(Pro forma*: 755.1 cents per share, up 57.2%)
– Headline earnings per share 779.8 cents per share, up 49.9%
(Pro forma*: 740.8 cents per share, up 42.4%)
– Diluted headline earnings per share 770.8 cents per share, up 49.2%
(Pro forma*: 732.2 cents per share, up 41.7%)
– Cash generated from operations R3.9 billion
– Net debt to equity 9.2%
– Share buy-backs for the period R1.6 billion
– Cash realisation rate 80%
– Annual dividend per share up 44% to 505 cents
* Pro forma refers to 52 weeks to 26 June 2022.

This short-form announcement is the responsibility of the company’s directors, is a summary of the information in the
Group’s full results announcement for the 53-week period to 3 July 2022 and does not contain full or complete details.
The full results announcement is accessible via the JSE link at
https://senspdf.jse.co.za/documents/2022/jse/isse/tru/FY2022SENS.pdf and on the company’s website at
www.truworths.co.za/reports. Copies of the full results announcement may be requested at the company’s registered
office or the offices of One Capital, at no charge, during normal office hours. Investment decisions in relation to the
company’s shares should be based on consideration of the full results announcement.

The consolidated annual financial statements for the period ended 3 July 2022 have been audited by the company’s
auditors, Ernst & Young Inc. who expressed an unmodified audit opinion thereon (the Audit Report). The Audit Report
includes the communication of key audit matters which are disclosed on pages 1 to 4 of the Group annual financial
statements available on the company’s website at www.truworths.co.za/reports.

DIRECTORATE
Mr Mike Thompson retired as a non-executive director and chairman of the Social and Ethics Committee with effect from the
close of business on 1 September 2022. The board thanks Mike for his most valuable contribution to the Group over a period
of more than 18 years, during which he also served as the chairman and as a member of the Audit Committee. His wise counsel,
calmness and leadership in terms of ESG matters have been most appreciated by the board.

FINAL DIVIDEND
The directors of the company have resolved to declare a gross cash dividend from retained earnings in respect of the
53-week period ended 3 July 2022 in the amount of 205 South African cents (2021: 118 South African cents) per ordinary
share to shareholders reflected in the company’s register on the record date, being Friday, 23 September 2022.

The last day to trade in the company’s shares cum dividend is Tuesday, 20 September 2022. Consequently no
dematerialisation or rematerialisation of the company’s shares may take place over the period from Wednesday,
21 September 2022 to Friday, 23 September 2022, both days inclusive. Trading in the company’s shares ex dividend will
commence on Wednesday, 21 September 2022. The dividend is scheduled to be paid in South African Rand (ZAR) on Monday,
26 September 2022.

Dividends will be paid net of dividends tax (currently 20%), to be withheld and paid to the South African Revenue
Service. Such tax must be withheld unless beneficial owners of the dividend have provided the necessary documentary
proof to the relevant regulated intermediary (being a broker, CSD participant, nominee company or the company’s
transfer secretaries Computershare Investor Services (Pty) Ltd, Private Bag X9000, Saxonwold, 2132, South Africa) that
they are exempt therefrom, or entitled to a reduced rate, as a result of a double taxation agreement between South
Africa and the country of tax domicile of such owner.

The withholding tax, if applicable at the rate of 20%, will result in a net cash dividend per share of 164 South
African cents. The company has 408 498 899 ordinary shares in issue on the date of this announcement. In accordance
with the company’s memorandum of incorporation the dividend will only be paid by electronic funds transfer, and no
cheque payments will be made. Accordingly, shareholders who have not yet provided their bank account details should do
so to the company’s transfer secretaries.

The directors have determined that gross dividends amounting to less than 2 000 South African cents, due to any one
shareholder of the company’s shares held in certificated form, will not be paid, unless otherwise requested in writing,
but the net amount thereof will be aggregated with other such net amounts and donated to a charity to be nominated by
the directors of the company.

By order of the board

H Saven MS Mark
Chairman Chief Executive Officer

1 September 2022

Registered office
No. 1 Mostert Street, Cape Town, 8001, South Africa;
PO Box 600, Cape Town, 8000, South Africa

Sponsor in South Africa
One Capital

Sponsor in Namibia
Merchantec Capital

Auditors
Ernst & Young Inc.

Transfer secretaries
In South Africa:
Computershare Investor Services (Pty) Ltd, 15 Biermann Avenue, Rosebank, 2196, South Africa;
Private Bag X9000, Saxonwold, 2132, South Africa; or

In Namibia:
Transfer Secretaries (Pty) Ltd, Robert Mugabe Avenue No. 4, Windhoek, Namibia;
PO Box 2401, Windhoek, Namibia

Company Secretary
C Durham

Directors
H Saven (Chairman)#^, MS Mark (CEO)*, EFPM Cristaudo (COO/CFO)*, SJ Proudfoot*, RG Dow#^, D Earp#^,
JHW Hawinkels#^, M Makanjee#^, AMSS Mokgabudi#^, T Mosololi#^, RJA Sparks#^, AJ Taylor#^ and MA Thompson#^

*Executive section #Non-executive ^Independent

www.truworths.co.za/investor-relations

Date: 01-09-2022 05:00:00
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