CFSL - Abridged Unaudited Financial Statements - 31Dec18

CIM GROUP REPORTS A 9.8% INCREASE IN PROFIT BEFORE TAX FROM CONTINUING OPERATIONS FOR THE QUARTER ENDED 31 DECEMBER 2018

For the quarter ended 31 December 2018, the Group achieved a Net Operating Income of MUR 386.1m, equivalent to an increase of 14% as compared to same period last year. Profit Before Tax reached MUR 74.7m, a 9.8% increase on prior year figures.

The Finance cluster showed a 16% increase in its Net Operating Income for the period under review on the back of a solid quarter in the Consumer Finance business and the consolidation of its leasing activities following the acquisition of the Mauritian Eagle Leasing Company Limited. Profit after taxation (PAT) for the cluster showed a progress of 15% year on year to close at MUR 101.7m in December.

The Group's investment in Kenya shows promising growth in sales albeit at modest levels. Furthermore, performance of the investment cluster was impacted by the Group's USD denominated assets which registered a decrease on a 'mark-to-market' basis. The Property cluster (Lavastone Ltd) showed satisfactory progress with a PAT of MUR 15.8m, up 68% on 2017 figures. Overall the Group achieved a PAT of MUR 69.8M for the quarter.

Distribution of shares of Lavastone Ltd

On 14 January 2019, all shareholders of CIM Financial Services Ltd (CFSL) were allotted one share of Lavastone Ltd for every share they held in CFSL. Since then, the shareholders of Lavastone Ltd have been able to freely trade their shares on the Development and Enterprise Market (DEM). As from January 2019, the figures for Lavastone Ltd will not be consolidated under the CIM Group.

Outlook

On the back of the strong performance of Cim Finance for the last quarter, the Group will continue to develop and strengthen its consumer finance offering in Mauritius and in Kenya.

By Order of the Board

Cim Administrators Ltd

Company Secretary

13 February 2019