Afrocentric Investment Corporation Limited · JSE:ACT

Afrocentric Investment — H1 2025 Earnings Presentation

20 slides from Afrocentric Investment's earnings presentation, Sep 3, 2025

  1. Slide 1: Interim Results Presentation

    Interim Results Presentation For the six months ended 30 June 2025 3 September 2025

  2. Slide 2: Group CEO: Gerald van Wyk

    AfroCentric GROUP Group CEO: Gerald van Wyk

  3. Slide 3: Interim results highlights and material matters

    Headline earnings Lives under Scripts Revenue Profit margin B-BBEE per share (cents) management dispensed R4 211.1m 9% 11.68 cents 4 024m 1 479m Level 1 (Jun-24: R4 323.9m) (Jun-24: 9%) (Jun-24: 19.00 cents) (Jun-24: 4 009m) (Jun-24: 1 424m) B-BBEE status Service Cluster Retail Cluster R398.3m Opera

  4. Slide 4: Looking ahead

    Looking ahead Regulatory Client contract cycle Structural environment o NHP's Managed Care realignment and o Multiple Legal Challenges tender was awarded to action to the NHI Act and LCBO another provider; o Focused changes across framework continue to Medscheme Namibia key areas, including create u

  5. Slide 5: Rising costs and shrinking membership are just the tip of the iceberg in medical aid challenges

    Rising costs and shrinking membership are just the tip of the iceberg in medical aid challenges 14% 2% 12% 10% 1% 8% 6% 0% 4% 2016 2017 2018 2019 2020 2021 2022 2023 2% -1% 0% 2014 2015 2016 2017 2018 2019 2021 2022 2023 2024 -2% Member growth (all schemes) Medical inflation Average CPI 35 34 33 8%

  6. Slide 6: Value Creation

    To shift the underlying problems, AfroCentric is changing the rules of the game by transitioning to value-based care Fragmented Value contracting care Personalised and preventive Fee- Provider care Experience for-service Value Creation Current Model Member Integrated and Access coordinated Experienc

  7. Slide 7: Executing vision 2030 by transforming healthcare through value-based care innovations

    Executing vision 2030 by transforming healthcare through value-based care innovations Managed care Data, digital Operating Building a winning leadership platforms and model health offering through clinical technology evolution innovation investment

  8. Slide 8: Managed care: Sanlam-aligned execution progress

    Managed care Data, digital Operating Building a winning leadership platforms and model health offering through clinical technology evolution innovation investment Strong Sanlam-aligned open scheme execution momentum Sanlam Health Rewards execution Completed Strong Sanlam Health Distribution implemen

  9. Slide 9: Managed care: risk transfer and value-based care programme delivery

    Managed care Data, digital Operating Building a winning leadership platforms and model health offering through clinical technology evolution innovation investment Spinal risk transfer programme delivery Completed Oncology value-based care programme delivery Early stage Early stage Disease management

  10. Slide 10: Data, digital platforms and technology investment progress

    Managed care Data, digital Operating Building a winning leadership platforms and model health offering through clinical technology evolution innovation investment Steady Data strategy execution progress Completed Data centre migration Strong Core system upgrades momentum Digital transformation Early

  11. Slide 11: Operating model evolution: strategic review of the group's operating model

    Managed care Data, digital Operating Building a winning leadership platforms and model health offering through clinical technology evolution innovation investment AfroCentric Distribution Service restructure Completed Strategic review of the group’s operating model Completed Strong Sanlam culture, v

  12. Slide 12: Vision 2030 ambition: our long-term targets

    Vision 2030 ambition: our long-term targets Financial Non-financial EBIT Margin Customer effort score 24% 28% 85% 90% Actual 4% Actual 86% Membership growth range Hospital claims automation 5% 8% 75% 85% Actual 0.4% Actual 76% RoGEV target range Employee net promoter score (eNPS) 2% 25% 30 50 Actual

  13. Slide 13: Group CFO: Thato Moloele

    AfroCentric GROUP Group CFO: Thato Moloele

  14. Slide 14: Business Highlights

    Business Highlights 30 June 2024 31 December 2024 30 June 2025 31 December 2024 30 June 2024 30 June 2025 R'm R'm R'm R'm R'm R'm Total Revenue 4 246.4 4 392.8 4 278.8 ▼ (2.6%) Healthcare Services 2 296.8 2 229.2 2 422.7 ▲ 8.7% Healthcare retail 1 949.6 2 163.6 1 856.1 ▼ (14.2%) Operating Profit 327

  15. Slide 15: Service Cluster: Medical aid administration, risk management, and technology

    Service Cluster | Medical aid administration, risk management, and technology Rebounding profitability in key local administration and risk management segments CAGR CAGR CAGR Total lives administrated (’m) 1.5% Operating Costs (R’m) (5.4%) Operating Profits (R’m) (3.3%) 4050 2450 2,500 380 2450 2400

  16. Slide 16: Retail Cluster: Pharma, chronic medicine dispensing services and capitation

    Retail Cluster | Pharma, chronic medicine dispensing services and capitation Private business under pressure, supported by public sector demand for scripts and efficiencies CAGR CAGR CAGR Number of Scripts Dispensed (’000) 5.1% Operating Costs (R’m) 2.8% Operating Profits (R’m) (16.9%) 180 1600 2200

  17. Slide 17: Stable balance sheet position

    Stable balance sheet position being leveraged to support operational needs and strategic ambitions on a risk-adjusted basis Debt to Asset Ratio Non-current assets Current Assets 21 Jun-24 0.36 31 Dec-24 2 0.37 Jun-25 0.39 1,806 3,760 1,618 1,517 31 3 Debt to Equity Ratio 3,612 3,617 Jun-24 0.57 30-J

  18. Slide 18: Cash flow generation and capital allocation

    Cash flow generation and capital allocation Disciplined capital allocation, financing growth through internal cash earnings Cash Generated through normal operations: Total cash from R298m operations: R298m Pre-Capital Management Policy Generated from Cash conversion rate Healthcare Services 74.8% of

  19. Slide 19: Thank You

    Thank You

  20. Slide 20: Q&A

    ‘GROUP Q&A

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