Henderson Group - 2015 Interim Results

2015 Interim Results

30 July 2015

Henderson Group plc (Henderson or the Group) published its Interim Results for the six months ended 30 June 2015 on 30 July 2015. The comments below refer to the period from 1 January to 30 June 2015 (the period) unless otherwise stated.

Financial highlights

· Assets under management (AUM) at 30 June 2015 up 10% to £82.1bn (30 June 2014: £74.7bn)

· Net inflows for the period of £5.6bn (30 June 2014: £5.0bn)

· Underlying profit before tax from continuing operations up 29% to £117.4m (30 June 2014: £90.7m)

· Underlying continuing diluted EPS of 8.9p (30 June 2014: 6.8p)

· Capital surplus of £113m without recourse to the waiver from consolidated supervision

· Interim dividend of 3.10p per share (30 June 2014: 2.60p per share)

· Share buyback programme to be initiated in 2H15, with shares to the value of £25.0m to be purchased by year end.

Business update

· Consistently strong investment performance: 83% of funds outperforming relevant metrics over three years as at 30 June 2015

· Annualised net new money growth of 14% in the period (30 June 2014: 15%)

· Sale of 40% stake in TH Real Estate in June 2015

· Acquisitions of Perennial Fixed Interest, Perennial Growth Management and 90 West in Australia announced in June 2015.

Andrew Formica, Chief Executive of Henderson, said: "We are very pleased to have delivered another six months of record net inflows, built on consistently strong investment performance for our clients which highlights the strength of our active approach.

"During the period, we continued to deliver on our strategy and attracted inflows from an increasingly global client base and product line. The acquisitions of Perennial Fixed Interest, Perennial Growth Management and 90 West will accelerate the growth of our Australian business and firmly establish our presence in this important market.

"We remain relatively positive on the market outlook, but are conscious that lingering investor caution during the northern hemisphere summer could affect flows across the industry in the third quarter. Nevertheless, Henderson remains well positioned. With strong sales momentum, increased brand recognition, excellent investment performance and disciplined investment in new initiatives, we are focused on outperforming the market and delivering our ambitious plans for future growth."

Results for Announcement to the Market

To view the full details of the 2015 Interim Results, paste the following link into your web browser:

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To view the full details of the 2015 Interim Results Presentation, paste the following link into your web browser:

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These results for announcement to the market include the interim information required to be provided to the Australian Securities Exchange (ASX) under Listing Rule 4.2A and Appendix 4D.

1. Certain items (including training and recruitment agency costs) have been reclassified from employee compensation and benefits to other expenses. There is no impact on prior year profits. Prior full year comparatives were restated in the 2014 Annual Report and Accounts.

2. Underlying profit, while not a GAAP measure, in the opinion of the Directors gives relevant information on the profitability of the Group and its ongoing operations.

3. Net fee income from continuing operations less total operating expenses from continuing operations, divided by net fee income from continuing operations.

4. Employee compensation and benefits from continuing operations, divided by net fee income from continuing operations.

5. Based on continuing underlying profit after tax attributable to owners of the parent.

6. Based on weighted average number of shares in issue less weighted average number of own shares held during the period.

7. Based on weighted average number of shares in issue less weighted average number of own shares held during the period adjusted for the dilutive potential of shareawards and share options.

Dividend

On 29 July 2015, the board of directors of Henderson Group plc (the Board) declared an interim dividend in respect of the six months ended 30 June 2015 of 3.10p per share (1H14: 2.60p per share). Henderson Group plc does not offer a dividend reinvestment plan.

Net tangible assets per ordinary share

Net tangible assets are defined by the ASX as being total assets less intangible assets less total liabilities ranking ahead of, or equally with, claims of ordinary shares.

Market briefing

Management will present these results on 30 July 2015 at 4.45pm (Sydney time)/7.45am (London time).

Webcast details

You can log on to a webcast of the results briefing which will start at 4.45pm (Sydney time)/7.45am (London time). Go to www.henderson.com/ir and click on the relevant link on the homepage. An archive of the webcast will be available shortly after the event.

Teleconference details

We recommend participants start dialling in 5-10 minutes prior to the start of the presentation. To telephone link-up to the briefing, dial one of the following numbers from 4.45pm (Sydney time)/7.45am (London time):

Further information

About Henderson

Henderson is an independent global asset manager, specialising in active investment. Named after its first client and founded in 1934, Henderson is a client-focused global business with over 900 employees worldwide and assets under management of £82.1bn (30 June 2015). Its core areas of investment expertise are European Equities, Global Equities, Global Fixed Income, Multi-Asset and Alternatives.

Henderson is dual-listed on the Australian Securities Exchange (ASX) and the London Stock Exchange (LSE) and has a market capitalisation of approximately £3.0bn (28 July 2015).

Further information can be found at www.henderson.com/ir.

Forward-Looking Statements and Other Important Information

This announcement contains forward-looking statements with respect to the financial condition, results and business of Henderson Group plc. By their nature, forward-looking statements involve risk and uncertainty because they relate to events, and depend on circumstances, that will occur in the future. Henderson's actual future results may differ materially from the results expressed or implied in these forward-looking statements. Nothing in this announcement should be construed as a profit forecast.

The content of the website referred to in this announcement is not incorporated into and does not form part of this announcement. Nothing in this announcement should be construed as, or is intended to be, a solicitation for or an offer to provide investment advisory services.

Business Review

In 1H15, we delivered strong investment performance for our clients, record net inflows of £5.6bn, a 29% increase in underlying profit on continuing operations and an increase in continuing underlying diluted EPS of 31%. Our interim dividend has risen to 3.10p per share, and we will initiate a share buyback programme to the value of £25.0m in 2H15, to reflect our strong business performance and improving capital position.

Strategically, we made good progress on our organic growth initiatives, rationalised our involvement in property with the sale of our 40% stake in TH Real Estate and accelerated our growth plans in Australia with the announcement of the acquisitions of Perennial Fixed Interest Pty Ltd (Perennial Fixed Interest), Perennial Growth Management Pty Ltd (Perennial Growth Management) and 90 West Management Limited (90 West).

Assets under management (AUM)

1. Represents the merger of the Old Mutual property fund into Henderson UK Property OEIC.

2. Represents the net impact of the property transactions completed on 1 June 2015 (£5.7bn), the transfer of Richard Pease's European Special Situations fund (£1.0bn) and the additional stake taken by the Group in 90 West in May 2015 (£0.1bn).

AUM increased to £82.1bn at 30 June 2015, reflecting net inflows of £5.6bn, market and FX movements of £1.5bn and a net £6.2bn reduction from acquisitions and disposals.

Net inflows of client money of £5.6bn in the period were ahead of the previous record £5.0bn achieved in the same period in 2014. We benefited from excellent investment performance from European assets during a period of strong client demand. The increasing diversity of our funds meant that our top 10 best-selling funds in the period included long/short equity, fixed income, property and global equity as well as European equities.

Market and FX movements contributed a positive £1.5bn for the period. Markets suffered reversals in June, driven by political uncertainty in Europe and market declines in China. The effect of these reversals was exaggerated by the significant increase in the value of sterling after the unexpected UK election result.

Acquisitions and disposals in the period saw us restructure our involvement in property as an asset class and accelerate our growth plans in Australia. The £470m Old Mutual property fund was merged into the Henderson UK Property OEIC (HUKPOEIC) in 1Q15, and in 2Q15 we sold our 40% stake in TH Real Estate to TIAA-CREF. HUKPOEIC remains one of our best-selling funds, with AUM of £3.7bn, and it will continue to be sub-advised by TH Real Estate. Richard Pease departed with his £1.0bn European Special Situations fund in June 2015, honouring a one-off arrangement struck at the time of the New Star acquisition in 2009. Also in June, we announced the acceleration of our Australian growth plan with three Australian acquisitions. The 90 West transaction closed in May and the Perennial transactions are expected to close in 4Q15.

Investment performance

Investment performance remained strong in the period, with 83% of our funds outperforming on a three year basis.

Performance is calculated as a percentage of funds, asset-weighted, that are outperforming based on the relevant metric: peer quartile ranking for Retail, positive for absolute return, positive versus benchmark for Institutional.

Progress on strategic priorities

In our 2013 Annual Report, we described a strategy focused on growth and globalisation which, if implemented successfully, will see us deliver a sustained period of organic growth supplemented by value accretive acquisitions. Assuming market growth in line with the long-term average, the output of our strategy will see a doubling of our assets under management by 2018.

We identified four key areas of focus to achieve our strategic objectives and have made progress in each area during the period.

Deliver first-class investment performance and service to our clients

Investment performance remained strong, with 83% of funds outperforming on a three year basis. Of particular note was our European Equities performance, with 91% of funds outperforming over three years. We continue to strive to put our clients' interests at the heart of every business decision, and were particularly pleased to have built goodwill with our UK retail clients by handling all aspects of Richard Pease's departure in a client-focused manner. By contrast, the flotation of the John Laing Group represented the best possible exit for the private equity funds invested, but we were very disappointed in the outcome for some of our clients.

Shape our global product offering to meet the current and future needs of our clients

Our investments in new capabilities showed good early progress in the period, with our US high yield team delivering top decile performance and our new emerging markets teams attracting client interest earlier than we expected. We continue to develop our global product range, with a greater focus this year on alternatives styles, institutional offerings and our growing businesses in Australia and the US.

Diversify our global business

In the US, integration of Geneva Capital Management LLC (Geneva) is proceeding well, with investment performance improving and outflows slowing as client demand for Geneva's quality growth investment style rebuilds. In June 2015, we announced the acquisitions of Perennial Fixed Interest, Perennial Growth Management and 90 West in Australia, which together will add c£5.6bn of AUM, combine domestic investment management capabilities with our globally-focused offerings and provide exposure to a broader institutional and retail client base. The 90 West transaction closed in May 2015 and the Perennial transactions are due to close in 4Q15.

Operate efficiently

Building operating leverage and capital strength are key components of our growth and globalisation strategy. A key area of focus this year is to deliver an improvement in our operating margin after a period of carefully targeted investment in our business, so we are pleased to be able to report a 1H15 operating margin of 36.3%, up from 35.0% in 1H14. We are also pleased to have delivered a regulatory capital surplus of £113m, without recourse to our waiver from consolidated supervision. Given strong business results and an improved capital position, we have decided to initiate a share buyback programme in 2H15 to the value of £25.0m.

Financial Review

The commentary below refers to continuing underlying profit which, while not a GAAP measure, in the opinion of the Directors gives relevant information on the profitability of the Group and its ongoing operations.

Financial performance

Underlying profit before tax on continuing operations for the period was £117.4m, up 29% compared to 1H14. The most significant contributor to this growth was a 19% increase in management fees, driven by continued strong inflows in 1H15.

With investment in new capabilities having peaked in 2014, we delivered an improved operating margin in 1H15 of 36.3% (1H14: 35.0%).

Income drivers

Underlying net income from continuing operations for the period was £311.8m, up 19%. Management fees increased to £230.4m (1H14: £193.7m), reflecting a sustained period of strong inflows and investment performance. Management fee margins averaged 56.7bps compared to 57.8bps for FY14, with the reduction driven by changes in business mix. Recent fixed income mandate wins and the run-off of our private equity business reduced average institutional margins, while strength in our retail equities business had a positive mix effect.

Performance fees of £48.8m (1H14: £45.2m) reflected continued strong investment returns for our clients, with a strong contribution from the SICAV range and good absolute return performance.

Other income, largely administration fees charged on UK funds, was up slightly at £16.9m.

Income from associates and joint ventures reduced significantly to £0.4m (1H14: £2.0m), reflecting lower profits from TH Real Estate before we sold our 40% stake on 1 June 2015, together with the impact of the disposal of the Intrinsic Cirilium Investment Company Limited joint venture on 1 December 2014.

Finance income increased to £15.3m (1H14: £5.2m), boosted by a £9.1m gain on the seed capital we had invested in property funds which we have now sold.

Expense drivers

Total expenses from continuing operations were £194.4m, up 14%.

Fixed employee compensation and benefits were up 11% to £47.6m. This reflects the integration of Geneva, wage increases and the full year effect of last year's investments, as well as a limited number of new hires.

Variable employee compensation and benefits were up 19% to £84.3m - the outcome of our remuneration schemes being structured to reward strong business results, particularly investment performance and flows. Despite the rise in variable compensation, our compensation ratio fell from 44.8% in 1H14 to 44.5% in 1H15.

Non-staff operating expenses increased by 10% to £56.7m as we capitalised on strong sales momentum and continued to build out our global infrastructure, in part to accommodate regulatory change.

Tax

The tax charge on the Group's continuing underlying profit for the period was £15.6m, with one-off credits in 1H15 resulting in an effective tax rate of 13.3%.

Earnings per share (EPS)

Diluted underlying EPS on continuing operations was 8.9p per share, up 31%. This increase reflects a number of factors, the largest of which being higher underlying profits, with a lower tax rate and the reduction in the weighted average number of shares in issue also contributing to the rise.

Acquisition related and non-recurring items

Acquisition related and non-recurring items are disclosed separately from the Group's underlying profit to provide a clearer view of the components of total profit. Total losses from these items were £11.2m in 1H15. Acquisition related losses of £23.6m after tax were offset by a non-recurring gain of £12.4m after tax, which mainly relates to the sale of the Group's 40% stake in TH Real Estate.

Capital and liquidity management

Total cash and cash equivalents at 30 June 2015 were £282.9m. Unrestricted cash stood at £269.1m after excluding manager dealing accounts, restricted cash and cash held in consolidated structured entities. With gross debt at par amounting to £150.0m, the Group had a net cash position of £119.1m at 30 June 2015 (30 June 2014: £102.8m). We intend to repay our £150.0m senior notes maturing in March 2016 from cash resources.

With regard to our regulatory capital position, we will continue to operate under an investment firm waiver from consolidated supervision until April 2016. However, based on our own calculations, we had a regulatory capital surplus of £113m at 30 June 2015 without recourse to the waiver (31 December 2014: £44.0m). This includes deductions for the interim dividend and share buyback.

Dividend

The Board declared an interim dividend of 3.10p per share in respect of the six months ended 30 June 2015 (30 June 2014: 2.60p per share). In setting the interim dividend, the Board considered earnings excluding the one-off profit on the sale of seed capital investments in property funds. We continue to operate a progressive ordinary dividend policy and expect to grow ordinary dividends broadly in line with earnings growth over the medium term.

Share buyback

In the last six months, our capital position has significantly strengthened and is now at a satisfactory level. This gives us increased flexibility around how we choose to redeploy cash flow and capital, whether that be through organic investment, acquisitions or returns to shareholders. Reflecting our strong business performance and improved capital position, we are now in a position to consider enhancing returns to shareholders, in addition to the ordinary dividend policy. In light of this, the Board has decided to implement a share buyback programme of £25.0m during the course of 2H15.

Summary of movements in AUM

1. The Group records AUM and net flows when management or performance fees are generated on an investment mandate as well as its percentage participation in the AUM of associates and joint ventures. For associates and joint ventures, where the Group either sub-advises the AUM or where the AUM is contracted to Henderson and sub-advised by the joint venture partner, the Group will show 100% of that AUM rather than the percentage of participation. Where one fund or client invests part or all of its portfolio into another Henderson fund, AUM or flow is shown only against that portfolio that is ultimately managed by the Group rather than the client or fund vehicle initially invested in, except where shown by capability, where AUM is shown by the capability for which the client invests in. All cross holdings are eliminated.

2. Acquisitions and disposals reflect the merger of the Old Mutual property fund into Henderson UK Property OEIC, £0.5bn, the net impact of the property transactions completed on 1 June 2015, (£5.7bn), the transfer of Richard Pease's European Special Situations fund, (£1.0bn), and the additional stake taken by the Group in 90 West in May 2015, £0.1bn.

3. AUM used for margin purposes excludes joint venture and associate AUM (except where either Henderson sub-advises the AUM or where the AUM is contracted to Henderson and sub-advised by the joint venture partner).

4. Other includes Australian managed investment schemes and Singapore Mutuals.

5. Includes US Mutuals and Managed Collateralised Debt Obligations (CDOs).

6. Includes a reclassification from Segregated Mandates to Offshore Absolute Return of £0.2bn. The acquisition of the additional stake in 90 West, representing £0.1bn, is included in the £0.3bn for Segregated Mandates.

Consolidated Financial Results

1. Certain items (including training and recruitment agency costs) have been reclassified from employee compensation and benefits to other expenses. There is no impact on prior year profits. Prior full year comparatives were restated in the 2014 Annual Report and Accounts.

2. Underlying profit, while not a GAAP measure, in the opinion of the Directors gives relevant information on the profitability of the Group and its ongoing operations.

3. Net fee income from continuing operations less total operating expenses from continuing operations, divided by net fee income from continuing operations.

4. Employee compensation and benefits from continuing operations, divided by net fee income from continuing operations.

5. Net margin calculated on underlying profit before tax.

6. Based on underlying profit after tax attributable to equity holders of the parent.

7. Asset-weighted investment performance of funds measured over one and three years.

Risk Management

The key risks within the Group fall into a number of distinct categories and the means adopted to mitigate them are both varied and relevant to the particular risk concerned. Information regarding the key risks and their mitigation is set out in the Group's 2014 Annual Report and Accounts on pages 36 to 39 and the related governance framework is set out on pages 44 to 56. These risks and the Group's response to them have not changed significantly from those described in the Group's 2014 Annual Report and Accounts.

On 2 June 2015, the Group announced the acquisition of Perennial Fixed Interest and Perennial Growth Management, fixed income and equity managers respectively based in Australia. In a separate transaction, the Group completed the acquisition of the remaining equity that it did not already own in the Australian equity manager, 90 West. The Perennial transactions are expected to close in 4Q15. An appropriate governance structure has been established to oversee the steps necessary for the Perennial acquisitions to be completed and for these, and the 90 West businesses to be managed in accordance with the Group's standard operating model. The risks have been assessed and appropriate resources assigned; the existing risk appetite thresholds have not been exceeded, nor are they likely to be.

Directors' Report

The directors of Henderson Group plc (the Directors) present their report for the six months ended 30 June 2015. The Board approved the financial results for the six months ended 30 June 2015 on 29 July 2015.

Directors

The Directors who served during the six months ended 30 June 2015 and up to the date of this report, unless otherwise stated, are shown below:

Richard Gillingwater (Chairman)

Andrew Formica (Chief Executive)

Roger Thompson (Chief Financial Officer)

Sarah Arkle

Kevin Dolan

Tim How

Robert Jeens

Angela Seymour-Jackson.

All Directors are expected to stand for reappointment at the 2016 Annual General Meeting.

Business review and results

The Group's results for the six months ended 30 June 2015 are shown in the Interim Consolidated Income Statement on page 19. A review of the six months ended 30 June 2015 and future business developments is covered in the Business and Financial Reviews on pages 7 to 11.

Rounding

In accordance with the Australian Securities and Investments Commission Class Order 98/0100, amounts in the Interim Report and Accounts have been rounded to the nearest £0.1m sterling, unless stated otherwise.

Independent auditors

PricewaterhouseCoopers LLP were reappointed as independent auditors on 30 April 2015 at the 2015 Annual General Meeting.

Directors' declaration

In the opinion of the Directors:

· the Interim Condensed Consolidated Financial Statements set out on pages 19 to 41:

- give a true and fair view (as set out in section 305 of the Australian Corporations Act 2001) of the Group's consolidated financial position as at 30 June 2015 and of its performance for the six months ended on that date; and

- have been prepared in accordance with the Disclosure and Transparency Rule 4.2.6R of the United Kingdom's Financial Conduct Authority which require that the accounting policies and presentation applied to the interim figures should be consistent with those applied in preparing the preceding annual accounts except where any changes, and the reasons for them, are disclosed;

· there are reasonable grounds to believe that the Group will be able to pay its debts as and when they fall due; and

· the financial records of the Group have been properly maintained and the Interim Condensed Consolidated Financial Statements comply with the appropriate accounting standards and give a true and fair view of the financial position and performance of the Group and that the opinion has been formed on the basis of a sound system of risk management and internal control which is operating effectively.

Signed in accordance with a resolution of the Board:

Andrew Formica Roger Thompson

Chief Executive Chief Financial Officer

29 July 2015 29 July 2015

Statement of Directors' Responsibilities

The Directors confirm that to the best of their knowledge, in relation to the Interim Condensed Consolidated Financial Statements, that:

· the Interim Condensed Consolidated Financial Statements have been prepared in accordance with International Accounting Standard 34, 'Interim Financial Reporting' as adopted by the European Union;

· the Interim Report and Accounts include a fair review of the information required by Disclosure and Transparency Rule 4.2.7R, being an indication of important events that have occurred during the first six months of the current financial year, and their impact on the Interim Condensed Consolidated Financial Statements, and a description of the principal risks and uncertainties for the remaining six months of the financial year; and

· the Interim Report and Accounts include a fair review of the information required by Disclosure and Transparency Rule 4.2.8R, being disclosure of related party transactions that have taken place in the first six months of the current financial year and that have materially affected the financial position or the performance of the Group during that period and of any changes in the related party transactions described in the last annual report that could have a material effect on the financial position or performance of the Group in the first six months of the current financial year.

Signed in accordance with a resolution of the Board:

Andrew Formica Roger Thompson

Chief Executive Chief Financial Officer

29 July 2015 29 July 2015

Independent Review Report to Henderson Group plc

Report on the Interim Condensed Consolidated Financial Statements

Our conclusion

We have reviewed the Interim Condensed Consolidated Financial Statements, defined below, in the Interim Report and Accounts of Henderson Group plc for the six months ended 30 June 2015. Based on our review, nothing has come to our attention that causes us to believe that the Interim Condensed Consolidated Financial Statements are not prepared, in all material respects, in accordance with International Accounting Standard 34, as adopted by the European Union and the Disclosure and Transparency Rules of the United Kingdom's Financial Conduct Authority.

This conclusion is to be read in the context of what we say in the remainder of this report.

What we have reviewed

The Interim Condensed Consolidated Financial Statements, which are prepared by Henderson Group plc, comprise:

· the Interim Consolidated Statement of Financial Position as at 30 June 2015;

· the Interim Consolidated Income Statement and Interim Consolidated Statement of Comprehensive Income for the period then ended;

· the Interim Consolidated Statement of Changes in Equity for the period then ended;

· the Interim Consolidated Statement of Cash Flows for the period then ended; and

· the notes to the Interim Condensed Consolidated Financial Statements.

As disclosed in note 2, the financial reporting framework that has been applied in the preparation of the full annual financial statements of the Group is applicable law and International Financial Reporting Standards (IFRS) as adopted by the European Union.

The Interim Condensed Consolidated Financial Statements included in the Interim Report and Accounts have been prepared in accordance with International Accounting Standard 34, 'Interim Financial Reporting', as adopted by the European Union and the Disclosure and Transparency Rules of the United Kingdom's Financial Conduct Authority.

What a review of interim condensed consolidated financial statements involves

We conducted our review in accordance with International Standard on Review Engagements (UK and Ireland) 2410, 'Review of Interim Financial Information Performed by the Independent Auditor of the Entity' issued by the Auditing Practices Board for use in the United Kingdom. A review of interim financial information consists of making enquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures.

A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing (UK and Ireland) and, consequently, does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

We have read the other information contained in the Interim Report and Accounts and considered whether it contains any apparent misstatements or material inconsistencies with the information in the Interim Condensed Consolidated Financial Statements.

Responsibilities for the Interim Condensed Consolidated Financial Statements and the review

Our responsibilities and those of the Directors

The Interim Report and Accounts, including the Interim Condensed Consolidated Financial Statements, is the responsibility of, and has been approved by, the Directors. The Directors are responsible for preparing the Interim Report and Accounts in accordance with the Disclosure and Transparency Rules of the United Kingdom's Financial Conduct Authority.

Our responsibility is to express to the Company a conclusion on the Interim Condensed Consolidated Financial Statements in the Interim Report and Accounts based on our review. This report, including the conclusion, has been prepared for and only for the Company for the purpose of complying with the Disclosure and Transparency Rules of the Financial Conduct Authority and for no other purpose. We do not, in giving this conclusion, accept or assume responsibility for any other purpose or to any other person to whom this report is shown or into whose hands it may come save where expressly agreed by our prior consent in writing.

PricewaterhouseCoopers LLP

Chartered Accountants

29 July 2015

7 More London Riverside

London

SE1 2RT

Notes:

· The maintenance and integrity of the Henderson Group plc website are the responsibility of the Directors; the work carried out by the auditors does not involve consideration of these matters and, accordingly, the auditors accept no responsibility for any changes that may have occurred to the financial statements since they were initially presented on the website.

· Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Interim Consolidated Income Statement

For the six months ended 30 June 2015

Interim Consolidated Statement of Comprehensive Income

For the six months ended 30 June 2015

Interim Consolidated Statement of Financial Position

As at 30 June 2015

Approved by the Board on 29 July 2015.

Interim Consolidated Statement of Changes in Equity

For the six months ended 30 June 2015

Interim Consolidated Statement of Cash Flows

For the six months ended 30 June 2015