THE FOSCHINI GROUP LIMITED - Trading statement for the twelve months ended 31 March 2022 and update on the impact of the KwaZulu-Natal floods

Trading statement for the twelve months ended 31 March 2022 and update on the impact of the KwaZulu-Natal floods

THE FOSCHINI GROUP LIMITED
(Incorporated in the Republic of South Africa)
(Registration number 1937/009504/06)
Share code: TFG
Preference share code: TFGP
ISIN: ZAE000148466
("TFG" or "The Group")

Trading statement for the twelve months ended 31 March 2022 and update on the impact of the
KwaZulu-Natal floods

Trading statement for the twelve months ended 31 March 2022

In accordance with the JSE Limited Listings Requirements, shareholders are advised of the following:
   - Earnings per share ('EPS') for the 12 months ended 31 March 2022 ('current period') are
     expected to be more than 100% (more than 1 228.0 cents per share) higher than the
     reported EPS for the 12 months ended 31 March 2021 (‘prior period’) of -614.0 cents per
     share; and
   - Headline earnings per share ('HEPS') for the current period are expected to be more than
     100% (more than 692.6 cents per share) higher than the reported HEPS for the prior period
     of 197.9 cents per share.

The expected earnings ranges have been impacted, inter alia, by the following:
   - The COVID-19 pandemic and the related government-enforced lockdowns and related store
     closures in all 3 of our main trading jurisdictions during the prior period, as previously
     reported;
   - The dilution arising from the successfully concluded rights offer, as announced on the Stock
     Exchange News Service (‘SENS’) on 11 August 2020;
   - The acquisition of certain commercially viable stores and selected assets of Jet in South
     Africa (effective 25 September 2020) and in Botswana, the Kingdom of Eswatini, Lesotho and
     Namibia (effective on various dates in December 2020 and January 2021). The inclusion of a
     bargain purchase gain on acquisition of R709.0 million in the prior period specifically affected
     basic EPS and diluted EPS;
   - The R2,7 billion after tax non-cash impairment of the carrying values of TFG London’s
     goodwill and intangible assets in the prior period specifically affected basic EPS and diluted
     EPS;
   - The civil unrest experienced in the current period in South Africa in July 2021, as previously
     reported; and
   - The Group’s continued strong trading performance across all 3 our main territories in Q3
     FY2022, as previously reported, and in Q4 FY2022.

A further trading statement will be released on SENS when management has attained a reasonable
degree of certainty over the expected earnings and prior to the release of TFG’s results for the current
period, which is expected to be announced on SENS on or about 10 June 2022.

The forecast and estimated financial information on which this trading statement is based has not
been audited, reviewed or reported on by TFG’s external auditors.

Update on the impact of the KwaZulu-Natal (KZN) floods

The Group is saddened by the recent unprecedented flooding in KZN in South Africa that has caused
tremendous devastation across the province. The Group is deeply concerned for the wellbeing of
those affected by the flooding and our priority was and is to ensure the safety and welfare of our
employees as we work towards fully restoring our operations across the province.

The Group has established a Task Team that is continuously assessing the impact on our employees
as well as our business operations. Specific support has been provided to affected employees where
required.

36 stores as well as a cloth warehouse located in the province have been damaged to varying
degrees. These damages are not considered to be material in the context of the Group’s South
African operations and all affected stores have since resumed trading. The Group has appropriate
insurance cover and has notified its insurers accordingly.

We are grateful to our response teams, our employees and other stakeholders who have worked
tirelessly to support our affected employees and to minimize further damage and losses.

The Group will update shareholders if there is any material change in the situation.

Cape Town
25 April 2022

Sponsor:
RAND MERCHANT BANK (A division of FirstRand Bank Limited)

Date: 25-04-2022 10:00:00
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