Slides
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Company Performance & Y ear end results for the twelve months ended 31 July 2026 Rhys Summerton and Ashona KooblallGroup CEO and Group CFO
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Rhys SummertonGroup Chief Executive OfficerAshona KooblallGroup Chief Financial Officer 3 step strategy Market shareGrowth Strong cash generation All business units profitable Revenue growth Focused resource and capital allocationCost rationalisation Decentralised operating model Capital and resource allocation The iOCO Value Creation Journey
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Key financial highlights Total Group Revenue increase 3%, IT Services revenue increase 4% Profit after tax increased by 39% to R357 million (FY2025: R258 million) Return on equity has been sustainably maintained at above 30% over the past two yearsNet finance costs reduced by 32% Adjusted EBITDA improved by 21% to R624 million (FY2025: R516 million) Operating profit of R483 million, up 14.8% (FY2025: R421 million).EPS and HEPS improved by 42%
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What makes our performance possible? iOCO offers end-to-end technology solutions to corporate, enterprise, and public sector clients across Africa, the United Kingdom, Middle East and Europe >4 000 clients 10countries 4382Employees South Africa3 919 employeesInternational463 employeesMiddle EastUnited Arab Emirates Kingdom of Saudi ArabiaRest of AfricaEgyptMozambiqueKenyaUnited Kingdom EuropeSwitzerlandGermanyLuxembourg 5 180 572 5 753 567 57 624 So ut h Af ricaInte rna tiona lTotal 90% 10%91% 9%
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Twelve Divisions - one platform and cross-selling operating modelEach division has its own Managing Director , P&L and market identity and accountability Focus One platform - cross-selling opportunities Stronger integration of products and services across customers Diversified customer base Grow market share in public sectorExpand InternationallyPartnerships Leverage partnerships to complement offerings IInternational Software & iOCO Enterprise Data, Automation& Security Connected IndustrialEcosystems Software Engineering Cloud SA People Solutions Managed Services& Networking Forensics,Legal & Human Capital Astraia MySky Infrastructure Solutions
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Lesego MolwantwaCloud South Africa Hendrik Blignaut Data, Automation, Banking Mainframe & Security Carol Ann SearraCASA Software Business Managing Directors12 specialist divisions, one growth platform Emile Rossouw Software Engineering Servaas du Plessis Forensics, Legal& Human capital Solutions Hein Weyers People Solutions Mark Bannerman iOCO Enterprise Richard Blewitt Infrastructure Solutions Glenn PriceManaged Services & Networking Dion Govender Connected Industrial Ecosystems Essam El-BadriMiddle East and Egypt Richard Vester Cloud EMEA With years of technology expertise, this team is uniquely positioned to spearhead growth and cultivate a culture of high performance. Ntutule TshenyePublic Sector
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No loss-making businesses in FY26 SBT Management(R187m)(R26m)(R23m)R17mNextec(R9m)(R45m)--IMQS Software(R11m)(R5m)--Arcserve Southern Africa(R14m)---Pia Solar(R7m)---JOAT-(R2m)--Total(R228m)(R78m)(R23m)- FY23 FY24 FY25 FY26 History of loss-making businesses in IOCO
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Financial overviewAshona KooblallGroup Chief Financial Officer
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Sustainable performance across all metrics +3% (constant currency) RevenueR5 753m+21%Adjusted EBITDAR624m+15%Operating ProfitR483m +39%Profit after taxR357m+42%EPS and HEPS (cents)57 cents New multi-year winsR2.1b Return on Equity35%
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R’m FY25% changeTo t a l r e v e n u e5 7335 7535 5833.0%Gross profit1 5871 600(0.8%)Gross margin %28% 29%Operating expenses(1 104)(1 179) 6.4%EBITDA 610 51618.3%Adjusted EBITDA624 51621.0%EBITDA margin %11% 9%Operating profit483 42114.8%Operating margin %8% 8%Net finance cost(61) (89)32.0%Profit before tax423 33227.3%Taxation (65) (74)11.9%Profit after tax357 25838.7%EPS (cents)57 4042.0%HEPS (cents)57 4042.0% Financial summaryfor the Full Y ear ended 31 July 2026FY26Reportedas per AFSFY26Reported @ Const. Currency
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4 503 866 583 4 678 836 592 I T ServicesOperational TechnologyInternational RevenueR’m 5 583 5 753 FY25FY26 +4% (4%) +2% +3% Revenue reported at constant currency
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Earnings and Adjusted EBITDA trend over six yearsR’m 436 364 312 307 516 624 FY21FY22FY23FY24FY25FY26 +21%+68% (2%) Adjusted EBITDAEarnings +39%>100% - 307 - 160 -52-54 258 357 FY21FY22FY23FY24FY25FY26
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1 650 1 600 1 587 FY24FY25FY26 Gross ProfitR’m (0.8%)(3.0%) Specific high margin deals rolled off in 2024 Temp lag in contract execution Infrastructure global cost pressures
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777 792 H2 FY25H2 FY26 2 851 2 913 H2 FY25H2 FY26 H2 FY26 vs H2 FY25R’m +15% 264 305 H2 FY25H2 FY26 EBITDAGross ProfitRevenue +2%+2.2%
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Cash flowR’m 399 585( 66)( 63)( 28)827 ( 217)( 69)( 60)( 64)417 OpeningcashbalanceCashgeneratedTaxationpaidNet financecostsLeaseobligationsCash available forCapital allocationWorking capitalShare buy-backsDebt repaymentsInvestment in technology platforms and capex Closingcashbalance
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Tr ad e re c e i v a b l e s a n d p ay a b l e sR’m 1 672 1 390 1 414 (1 480) (1 272) (1 104) FY24 FY25 FY26Trade and other receivablesTrade and other payables
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221 180 157 102 77 55 FY21FY22FY23FY24FY25FY26 2 065 1 332 683 644 541 480 FY21FY22FY23FY24FY25FY26 DebtR101m capital and interest paid in FY26 through operational cash generatedR’m 77% 75% R61m Capital portion of debt (net interest-bearing debt) Finance charges (interest on net interest-bearing debt R22m
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32 193 - - FY23FY24FY25FY26 Debt | continued…R101m debt & interest repayment Bank overdraft balancesHistorical bank debt payments 100% FY22 : R774m•Proceeds from sale of businessesFY23 : R640m•Rights issue and sale of businessesFY24 : R95m•Proceeds from sale of businessesFY25 : R319m debt and overdraft reduction•Paid by cash from operations FY26 : R101m Paid by cash from operationsAvailable liquidity = R600m over and above cash in bank R’m
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Key financial metricsFY26FY25 Interest coverNet bank debtto EBITDA Return on Equity 11.10.8 35% 6.71.0 34%Net debtto EBITDA 0.20.4
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T ransformation through participation, capability and opportunityiOCO’ s transformation approach connects workforce development, inclusive procurement, enterprise development and community investment to broaden participation in the digital economy and create pathways into sustainable growth. PARTICIPATION People and talentEnterprise and procurement Community and digital access Education | Skills | Workplace exposure | Advancement Supplier access | Development | Commercial participation | Growth Early exposure | Technology | Learning | Future opportunity R89mrecognised spend R16mrecognised spend R5mrecognised spend 503learners reached through iOCO hostedcareer days 20820273 digital learning companions provided to Kliptown and Khayelitsha girls reached through Lean In Girls leadership development program Unemployed people with disabilities absorbed into permanent positions 53 121735Bursaries awarded for tertiary education across varied courses IT internships Employees completing their Matric certificate SMME’s developed through ESD Programs
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Group outlookRhys SummertonGroup CEO
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Strategy update Cost rationalisation Decentralised operating model Capital and resource allocation What have we delivered since July 2024?•Net cost savings – R480m•Head office – R400m•Central Direct Costs – R40m•Business savings – R40mWhat have we delivered?•Embedded Business autonomy and accountability•Owner led mindset and stewardship•Incentive structure aligned to revenue growth ambition•Improved customer centricity What have we delivered?•Reduced gearing to 0.2x net debt / EBITDA•Strong cash generation from operations•Commenced share buyback program•Made 2 acquisitions in 2026 with a pipeline and process established•Return to office productivity enhancement•Invested in new sales and business solution specialists
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Condensed Consolidated Statement of Comprehensive Income For the year ended 31 July 2026 R’m 2013 2014 Revenue 5 733 5 086 7 220 Operating profit before interest and impairments 483 496 720 Profit for the year 358 331 492 Market cap 2 400 7 900 14 000 iOCO 2026
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Targeted acquisitions pipeline•Technology requires ongoing reinvestment to remain relevant.•Acquisitions sourced from business units and supported by a centrally controlled process.•Created an ideal home of tech and related businesses. Managed ServicesAI & DataCyber SecurityTechnology FinancingIndustry Software/IP 35%25%20%10%10% What we look for in acquisitions Founder led owner mindsetEarnings and margin quality. Capabilities, market relevance and scalable revenue Cross sell potential – immediately deploy across IOCOs customer base Enterprise IT Infrastructure Workspace ManagementData Centre and Connectivity Infrastructure as a Service & Cyber Security as a Service Data & AnalyticsIndustrial & OT Solutions Enterprise ApplicationsSoftware Development QA & Testing Ta r g e t e d a c q u i s i t i o n s p i p e l i n e
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MySky Recurring managed services revenue model with strong renewal characteristicsStrengthens iOCO’s OEM ecosystem through HPE Aruba Platinum and Fortinet partnershipsUnlocks cross-sell opportunities across iOCO’s broader infrastructure, security and cloud offeringsGenerates approximately 80% of its revenue from 9 key customers and operates at an average EBITDA margin of 17%. Founder and Directors: (Dean & Dylan Horsten)July 2026 Enterprise networking & managed infrastructure Astraia 90% recurring revenue. Asset-light connectivity business generating recurring commission income.Strong underlying relationships with telco partners and a concentrated customer base.Growth opportunity through cross-selling and expansion into cloud and digital services.Generates approximately 80% of its revenue from 22 key customers and operates at an average EBITDA margin of 9.4%. Founder and Director: (David Bryant)September 2026 Cloud ERP implementation & financial software integration Update on acquisitions
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iOCO acquisition pipeline Strategic focus area Strategic rationale Deal sizeDeepens iOCO’s cloud offering, enhances annuity revenue, and expands cross-sell opportunities. R80 – R250 millionCloud & Infrastructure Solutions Expands security capabilities and strengthens enterprise trust solutions. R50 – R150 millionCybersecurity & Identity Management Builds strategic data competency and enables AI-driven value propositions. R60 – R180 millionData, AI & Analytics Provides differentiated IP , accelerates vertical penetration, and adds subscription revenue R70 – R220 millionIndustry-Specific Platforms (Vertical SaaS)Enhances delivery capability and supports client digital transformation journeys. R100 – R600 millionDigital Transformation Complements core ICT portfolio and enables integrated infrastructure offerings R100 – R300 millionNetwork & Connectivity Solutions Builds strategic data competency and enables AI-driven value propositions. R60 – R180 millionInternational Expansion Opportunities
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Capital Allocation FY26 before share buybacks 630.3mshares Shares bought back(16.8m) sharesShares allocated 7.4mSharesAverage price of buybackR4.19Issued shares after buyback620.9mshares Priority R100mR200mR300mR400m Jul 2026 Share BuybacksValues
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Free cashflow guidance for FY27 and FY28 FY27 R650m FCF FY27 FCFR450m (72cps)Benefit of FY26 WC improvement – R200m (32cps)FCF per share = R1 per share FCF per share = R1 per share FY28 FCF R500m FCF with 500m shares
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Guidance for FY27 Recurring revenue +60% EBITDAR680m
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Disclaimer This report includes forward-looking statements regarding iOCO’ s future operations, performance, and prospects. These statements are not guarantees of future results and are subject to risks, uncertainties, and factors beyond management’ s control. Actual outcomes may differ materially from those expressed or implied.While iOCO believes these statements are based on reasonable assumptions, no assurance can be given as to their accuracy. Accordingly, undue reliance should not be placed on them.These forward-looking statements have not been auditediOCO assumes no obligation to publicly update or revise any forward-looking statements to reflect subsequent events, new information, or unanticipated developments following the publication of this report.These assumptions further rely on the ongoing Middle East conflict not leading to prolonged regional instability or materially adverse market and financial impacts beyond those already experienced.
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Thank you