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AGENDA

1. WELCOME AND INTRODUCTION PEARSON GOWERO

2. TRADING REVIEW PEARSON GOWERO

3. FINANCIALS MATTS VALELA

4. DISCUSSION/QUESTIONS ALL

5. REFRESHMENTS ALL

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VOLUME BEVERAGE CATEGORY

• Declined by 18% LAGER

• Declined by 2% SPARKLING BEVERAGES

• Grew by 12% SORGHUM BEER

• Grew by 33% ALTERNATIVE BEVERAGES

(MAHEU)

• Grew by 11% PLASTICS

TRADING REVIEW - ALL BEVERAGES

Population 653,337 PCC

Lagers -22% 25

SBs -1% 28

Sorghum 22% 17

Population 683,893 PCC

Lagers -26% 4

SBs -9% 6

Sorghum 3% 9

Population 1,485,090 PCC

Lagers -11% 9

SBs 0% 9

Sorghum -4% 31

Population 1,614,941 PCC

Lagers -14% 9

SBs 2% 10

Sorghum 1% 28

Population 749,017 PCC

Lagers -13% 4

SBs 6% 5

Sorghum 3% 13

Population 1,752,698 PCC

Lagers -10% 7

SBs

Sorghum 30% 21

Population 2,123,132 PCC

Lagers -13% 32

SBs -4% 32

Sorghum 37% 39

Population 1,344,955 PCC

Lagers -9% 6

SBs 0% 6

Sorghum 10% 16

Population 1,152,520 PCC

Lagers -9% 7

SBs 9% 6

Sorghum 5% 19

Population 1,501,656 PCC

Lagers -5% 11

SBs 3% 10

Sorghum 2% 37

Total Beverages Volume

F14 F13 Growth

6,904 6,887 0%

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VOLUME REVIEW

Full year volume flat

Marked slowdown in consumer spend in last half.

Worsening economic fundamentals.

Premium category contribution up.

Retail pricing for beer still an issue.

Consumer switch to affordable offerings.

LAGER BEER FIVE YEAR VOLUME PERFORMANCE

HLs ‘000

0

500

1 000

1 500

2 000

2 500

F10 F11 F12 F13 F14

1 148

1 6081 981 2 060

1 697

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TRADING REVIEW - LAGER BEER

� Resource deployment follows the per capita map.� Parallel imports in border areas. (same brands different source)

ProvinceF14/F15Volume PCC

Mashonaland West -10% 11

Matabeleland North -14% 4

Mashonaland East -15% 6

Masvingo Province -16% 9

Harare -16% 32

Manicaland -17% 8

Midlands Province -17% 9

Mashonaland Central -17% 7

Bulawayo -23% 25

Matabeleland South -28% 4

Total Lagers -18% 13

TRADING REVIEW - LAGER BEER MIX

HLs ‘000

0

500

1000

1500

2000

2500

F13 F14

4% 7%

77% 72%

19%21% Premium

Main StreamEconomy

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SPARKLING BEVERAGES FIVE YEAR VOLUME PERFORMANCE

HLs ‘000

0

500

1 000

1 500

2 000

F10 F11 F12 F13 F14

770

1 1751 480 1 615 1 589

TRADING REVIEW - SPARKLING BEVERAGES

� Demand held for most of the year except 4th quarter.� Harare had an acute water problem leading to stock outs in 4th quarter.

ProvinceF14/F15Volume PCC

Mashonaland Central 9% 7

Matabeleland North 6% 4

Mashonaland West 3% 10

Midlands Province 2% 11

Masvingo Province 0% 9

Mashonaland East 0% 6

Bulawayo -1% 28

Harare -4% 32

Matabeleland South -9% 6

Total SBs -1% 12

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TRADING REVIEW - SPARKLING BEVERAGES MIX

HLs ‘000

0

500

1000

1500

2000

F13 F14

68% 60%

32% 40%Convenience…RGB

SORGHUM BEER FIVE YEAR VOLUME PERFORMANCE

HLs ‘000

1 200

1 700

2 200

2 700

3 200

3 700

F10 F11 F12 F13 F14

3 1142 908

3 3543 080

3 442

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TRADING REVIEW – SORGHUM BEER

� Chibuku spurred by Super.� Scud holding shore and growing modestly� Further investment made for Chibuku Super.

ProvinceF14/F15Volume PCC

Harare 37% 40

Manicaland 30% 21

Bulawayo 22% 17

Mashonaland East 10% 16

Mashonaland Central 5% 19

Matabeleland North 3% 13

Matabeleland South 3% 9

Mashonaland West 2% 37

Midlands Province 1% 28

Masvingo Province -4% 31

Total Sorghum 12% 26

TRADING REVIEW - SORGHUM BEER MIXHLs ‘000

0

1000

2000

3000

4000

F13 F14

10%

100%90% Chibuku

Chibuku Super

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MARKET SHARE

� Focus was on market retention and building brand loyalty.� Lager share largely driven by mainstream � Sorghum beer demand reignited by Chibuku Super

Lager Beer Sorghum Beer Soft Drinks

DELTA BEVERAGES 99 84 98

PLASTIC PACKAGING FIVE YEAR TONNAGE PERFORMANCE

Tonnes

0

2 000

4 000

6 000

8 000

10 000

12 000

F10 F11 F12 F13 F14

4 5505 796

7 4689 451

10 495

� Tonnage driven by PET preforms for Sparkling Beverages.

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OTHER HIGHLIGHTS

2. Optimisation of RTM to improve customer service and production planning (pre- order)

3. Operational focus by beverage category extended to Lagers and SBs

4. Excise duty remains an impediment to volume growth

5. Supply chain challenges exacerbated by regulatory restrictions (quotas for sugar, ban on maize imports and other import controls

1. Implementation of new ERP System (SAP) enabling real-time processing of transactions

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AGENDA

1. FINANCIAL HIGHLIGHTS

2. FINANCIAL STATEMENTS

VOLUME PERFORMANCE SUMMARY

Category Actual Volume 000hl % Growth on Prior Year

1. BEVERAGES (HLS 000)1.1 Clear Beer1.2 Sorghum Beer1.3 Sparkling Beverages1.4 Maheu

1 6963 4421 590

175

(18)12(2)33

Total Excluding Associates 6 903 0.25

2. Plastic Tonnages 10 495 11

3. Malt Tonnages 32 639 (10)

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GROSS SALES

• Down 10% to $316 millionLAGER

• Down 2% to $225 millionSPARKLING BEVERAGES

• Up 24% to $146 millionCHIBUKU

• Up 35% to $15 millionALTERNATIVE BEVERAGES

(MAHEU )

FINANCIAL HIGHLIGHTS

REVENUEDeclined by 1% to $625,5 million (Turnover - $733,8m)

OPERATING MARGIN %

Up from 24.73% to 24.75%

EBIT

Down by 1% to $134,2 million

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FINANCIAL HIGHLIGHTS Cont…

EBITDA

Up by 2% to $165,2 million

ATTRIBUTABLE INCOME

Increased by 3% to $105,7 million

EARNINGS PER SHARE

Increased by 1% to 8,55 cents

DIVIDEND PER SHARE

Up 4% on prior year

Interim dividend paid per share – 1,30 cents

Final dividend proposed per share – 2,25 cents

STATEMENT OF COMPREHENSIVE INCOME FOR THE PERIOD

MARCH 2014 US$000’s

MARCH 2013 US$000’s

REVENUE 625 517 631 276

Operating income 134 184 134 989

Net finance expense 3 763 (574)

Share of associates profit 2 283 2 458

PROFIT BEFORE TAX 140 230 136 873

Taxation (33 037) (32 750)

TOTAL COMPREHENSIVE INCOME 107 193 104 123

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ANALYSIS OF ATTRIBUTABLE INCOME

2014US$000’s

2013US$000’s

Profit for the half year from operations attributable to:

Owners of the parent 105 664 102 472

Non-controlling interests 1 529 1 651

107 193 104 123

EARNINGS PER SHARE

MARCH 2014 MARCH 2013

From Operations

Normal EPS – Cents 8,55 8,49

Fully Diluted EPS - Cents 8,49 8,42

Dividend per share - Cents 3,55 3,4

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STATEMENT OF FINANCIAL POSITIONASSETS

2014US$000’s

2013US$000’s

Non-current assets

Property, plant and equipment 353 209 319 241

Investments, loans and trademarks 35 228 30 598

TOTAL NON-CURRENT ASSETS 388 437 349 839

CURRENT ASSETS

Inventories 100 153 93 012

Trade and other receivables 44 807 43 999

Cash and cash equivalents 86 489 75 088

TOTAL CURRENT ASSETS 231 449 212 099

TOTAL ASSETS 619 886 561 938

STATEMENT OF FINANCIAL POSITION Cont…

EQUITY AND LIABILITIES2014

US$000’s2013

US$000’sShare Capital 12 342 12 230Share Premium 28 982 24 049Reserves 336 974 276 921Dividend Payable 27 772 27 270Non-controlling Interests 8 309 6 780Shareholder’s equity 414 379 347 250

Long- term borrowings - 60 000Deferred taxation 35 769 30 740

35 769 90 740CURRENT LIABILITIESShort term borrowings 71 293 18 605Interest free liabilities 103 149 105 343TOTAL CURRENT LIABILITIES 169 738 123 948

TOTAL EQUITY AND LIABILITES 619 886 561 938

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CASH FLOW2014

US$000’s2013

US$000’s

Cash flow from operations 128 835 134 094

Net cash invested (67 653) (83 337)

Net funding 15 196 (3 517)

SHARE CAPITAL MOVEMENTS

Shares in Issue as at 31 March 20131 227 362 815

Share Options Exercised 14 201 900

Shares in Issue at 31 March 20141 241 564 715

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SZL

• Volumes up on prior year

• Revenue up 6% to $100m

• Challenge is to manage productivities and supply chain to protect margins

• Market share in cordials stable

• Gains in juice drinks market share

AFDIS

• To localise production of ciders this year

• Registering good growth on volume and profitability

ASSOCIATES

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THANK YOU