Afrocentric Investment Corporation Limited · JSE:ACT
Afrocentric Investment — H1 2025 Earnings Presentation
20 slides from Afrocentric Investment's earnings presentation, Sep 3, 2025
Slide 1: Interim Results Presentation
Interim Results Presentation For the six months ended 30 June 2025 3 September 2025
Slide 2: Group CEO: Gerald van Wyk
AfroCentric GROUP Group CEO: Gerald van Wyk
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
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
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%
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
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
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
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
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
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
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
Slide 13: Group CFO: Thato Moloele
AfroCentric GROUP Group CFO: Thato Moloele
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
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
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
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
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
Slide 19: Thank You
Thank You
Slide 20: Q&A
‘GROUP Q&A
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