Far Property : ABRIDGED UNAUDITED GROUP FINANCIAL RESULTS FOR THE SIX MONTHS ENDED 31 DECEMBER 2022

The Far Property Company Limited

("the Company" or "FPC") Company No. BW00000942235

Incorporated in the Republic of Botswana on 29 June 2010 BSE share code: FPC

Abridged Unaudited Group Financial Results

For The Six Months Ended 31 December 2022

PROFIT BEFORE		NET INCOME		REVENUE	LOAN TO	RENT
TAX		FROM OPERATIONS			ASSET VALUE	YIELD
7%		9%		7%	20%	10%

Abridged Consolidated	(Unaudited)	(Unaudited)	Audited		Abridged Consolidated	Linked	Foreign	Retained	Total
6 months ended	6 months ended	12 months ended
Statement of		Units	currency	income	equity
31 December,	31 December,	30 June,		Statement of Changes		translation
Comprehensive Income
2022	2021	2022		In Equity		reserve
		P' 000	P' 000	P' 000		P' 000	P' 000	P' 000	P' 000
Revenue	75,087	69,982	141,400		Balance at 1 July 2021	506,803	(43,037)	501,529	965,295
Other income	9,747	9,736	21,212		Profit for the year	-	-	116,466	116,466
Operating expenses	(16,518)	(17,662)	(37,552)		Other comprehensive income	-	13,212	-	13,212
	Total comprehensive income for the year	-	13,212	116,466	129,678
Operating profit	68,316	62,056	125,060
						Issue of shares	30,301	-	-	30,301
Finance income	115	54	8
	Distribution declared	-	-	(84,702)	(84,702)
Finance costs	(13,352)	(11,494)	(22,924)
	Balance at 30 June 2022 (Audited)	537,104	(29,825)	533,293	1,040,572
Net income from operations	55,079	50,616	102,144

Performance Trend and

Commentary Result

• Profit before tax increased by 7%
• Rent yield remained at a stable level of 10%
• Revenue increased by 7%
• Very healthy loan to asset value of below 20%
• Net income from operation increased by 9% from P50,616 (P'000) for six months ended 31 Dec 2021 to P55,076 (P'000)
  for six months to December 2022.

Foreign Exchange gain/(loss)

(1,339)

(303)

(2,256)

Balance at 1 July 2022

537,104

(29,825)

533,293

1,040,572

Investment property fair value adjustment	-	-	12,019
Profit before income tax	53,740	50,313	111,907
Income tax credit / (expense)	(239)	(79)	4,559
Profit from Continuing Operations	53,501	50,234	116,466
Profit for the year attributable to linked
unitholders	53,501	50,234	116,466
Other Comprehensive income, net of tax items
Items that may be subsequently reclassified to
profit or loss
Exchange differences on translating foreign
operations	(1,801)	4,443	13,212
Total comprehensive income for the year	51,700	54,677	129,678
attributable to linked unitholders
Profit attributable to:
Owners of the Parent:	53,501	50,234	116,466
Weighted average Linked units in issue	461,769,514	449,059,850	455,320,649
Basic earnings per linked unit attributable to
linked unitholders (thebe)	23.17	22.37	25.58
Distribution per linked units (thebe)	-	-	18.40
Headline earnings per linked unit attributable to
linked unitholders (thebe)	23.36	22.00	26.09
Abridged Consolidated	(Unaudited )	(Unaudited )	Audited
6 months ended	6 months ended	As at 30 June
Statement of Financial
31 December,	31 December,	2022
Position	2022	2021
	P' 000	P' 000	P'000
Assets

Profit for the Six Months	-	-	53,501	53,498
Other comprehensive income	-	(1,801)	-	(1,801)
Total comprehensive income for the year	-	(1,801)	53,501	51,700
Issue of linked Units	33,042	-	-	33,042
Distribution declared	-	-	-	-
Balance at 31st December 2022 (Unaudited)	570,146	(31,626)	586,794	1,125,314

Abridged Consolidated	(Unaudited)	(Unaudited )	Audited
6 months ended	6 months ended	12 months ended
Statement of Cash Flows
31 December,	31 December,	30 June, 2021
	2022	2021
	P' 000	P' 000	P' 000
Net cash generated from / (used in) operating
activities	66,860	71,856	122,681
Net cash flow used in investing activities	(19,763)	(19,187)	(40,200)
Net cash generated from/(used in) financing
activities	(75,822)	(25,393)	(33,966)
Net Movement in cash and cash equivalents	(28,725)	27,276	48,515
Cash and cash equivalents at beginning of
period	32,714	(16,281)	(16,281)
Effects of exchange rate changes on cash and
cash Equivalent	73	(269)	(449)
Effects of Exchange rates on translation of
foreign Operations	(40)	76	929
Cash and cash equivalents at end of period	4,022	10,802	32,714

Basis of Preparation and

Accounting Policies

The abridged financial information is prepared in accordance with the International Financial Reporting Standards ("IFRS") and in the manner required by the Companies Act 2003 (No. 32 of 2004) of Botswana, except the investment property fair value adjustments are only accounted at the year end.

The financial information is presented in Botswana Pula, Which is considered the functional currency.

The Company has not provided for any taxation at this stage, because the company's tax liability is managed with the tax management opportunities available from VRLS legislation.

Prospects

• Four new projects with better rental yield will be in the Portfolio, before the end of the current financial year.
• Better prospects to add and develop more properties with the existing land bank.
• Continued focus on better and stable yield through diversification of current portfolio.

Non-current Assets
Investment property	1,435,705	1,367,442	1,416,647
Property, plant and equipment	954	1,157	1,320
Operating lease asset	35,053	32,832	33,779
Deferred income tax assets	7,797	6,454	7,873
	1,479,509	1,407,885	1,459,619
Current Assets
Related party receivables	6,410	5,095	5,405
Operating lease asset	4,910	6,367	6,320
Trade and other receivables	18,074	16,422	14,448
Cash and cash equivalents	4,022	10,811	32,714
	33,416	38,695	58,887
Assets Included in disposal group classified as
held for Sale	-	8,075	-
Total Assets	1,512,925	1,454,655	1,518,506
Equity and Liabilities
Equity Attributable to Equity Holders of
Parent
Stated capital	570,146	537,104	537,104
Foreign currency translation reserve	( 31,626)	(38,594)	(29,825)
Retained income	586,794	551,762	533,293
	1,125,314	1,050,272	1,040,572
Liabilities
Non-Current Liabilities
Borrowings	274,320	248,499	250,655
Deferred income tax liabilities	56,476	61,636	56,674
Lease Liabilities	5,696	2,108	2,938
	336,492	312,243	310,267
Current Liabilities
Borrowings	28,884	61,647	63,851
Trade and other payables	21,786	30,139	18,409
Distribution payable	-	-	84,702
Current tax payable	307	256	517
Bank overdraft	-	9	-
Lease Liabilities	142	89	188
	51,119	92,140	167,667
Total Liabilities	387,611	404,383	477,934
Total Equity and Liabilities	1,512,925	1,454,655	1,518,506

Property Portfolio

Well balanced portfolio by GLA

GLA by	52% Industrial	• Backed by long term lease.
40% Commercial	•	Vacancy rate negligible.
Usage	• Value of portfolio is P1.44 Billion.
	8% Residential	•	Land bank available for future growth.

			Grade Classification
			Grade - A: Premium Tenant including
	78% Grade A		Retail Tenant with National and
Tenants by		International Brands.
19% Grade B
Grade	Grade - B:	Local Tenants & Medium Sized
	3% Grade C		Business with well- established
		business operations.
			Grade - C: New Start-up Companies with
				Small Business Operations.
				Revenue by
				Location
Revenue by	40%	Industrial		87%	Botswana
52%	Commercial		11%	South Africa
Usage
8%	Residential
		2%	Zambia

The Segment Information Provided to the Board for the Reportable Segments for the Half-Year Ended 31 December 2022 is as follows:

		Botswana			South Africa			Zambia
Group	Residential	Commercial	Industrial	Other	Residential	Commercial	Industrial	Other	Residential	Commercial	Industrial	Other	Total
	P '000	P '000	P '000	P '000	P '000	P '000	P '000	P '000	P '000	P '000	P '000	P '000
Revenue	5 ,548	29,893	29,706	203	19	8,116	537	(363)	-	1,398	-	30	75,087
Other income	505	3,513	2,155	15	1	3,022	531	-	-	5	-	-	9,747
Operating expenses	(731)	(3,436)	(2,421)	(4,964)	(56)	(2,693)	(1,061)	(843)	-	(313)	-	-	(16,518)
Finance income	-	-	-	6,043	-	-	-	(5,928)	-	-	-	-	115
Finance costs	-	-	-	(11,813)	-	-	-	(1,747)	-	-	-	208	(13,352)
Foreign exchange gain/(loss)	-	-	-	73	-	-	-	(1,625)	-	-	-	213	(1,339)
Income tax	-	-	-	-	-	-	-	-	-	-	-	(239)	(239)
	5,322	29,970	29,440	(10,443)	(36)	8,445	7	(10,506)	-	1,090	-	212	53,501
Segment assets
113,785	641,290	498,708	25,942	1,659	113,435	74,335	9,651	-	34,120	-	-	1,512,925
Reconciliation to total assets as reported
in the statement of financial position
Property, plant and equipment	-	-	-	808	-	-	-	146	-	-	-	-	954
Investment property	113,290	615,495	486,009	-	1,659	113,035	74,230	-	-	31,987	-	-	1,435,705
Related party receivables	-	-	-	7,910	-	-	-	-	-	-	-	-	7,910
Operating lease asset	495	25,795	12,699	-	-	400	105	-	-	469	-	-	39,963
Trade and other receivables	-	-	-	14,478	-	-	-	1,705	-	391	-	-	16,574
Cash and cash equivalents	-	-	-	1,791	-	-	-	958	-	1,273	-	-	4,022
Deferred income tax assets	-	-	-	955	-	-	-	6,842	-	-	-	-	7,797
				-
Total assets as reported in the	113,785	641,290	498,708	25,942	1,659	113,435	74,335	9,651	-	34,120	-	-	1,512,925
statement of financial position
Total liabilities
-	-	-	332,454	-	-	53,614	-	-	-	-	1,543	387,611

For and on behalf of the board

Vidya Sanooj	Ranjith Priyalal De Silva
Director	Director
24 February 2023

Transfer Secretaries:

Grant Thornton Business Services (Pty) Ltd Plot 50370 Acumen Park, Gaborone, Botswana. P.O. Box 1157, Gaborone, Botswana).

Company Secretaries / Registered office:

Kingsway (Ply) Ltd, BDO House,

28 Kgale Mews, Gaborone International Finance Park, P.O. Box 1839, Gaborone, Botswana.

Directors:

Reetsang Willie Mokgatlhe I Ramachandran Ottapathu I Faizel lsmail I Vidya Sanooj I Ranjith Priyalal De Silva I Rajeshkumar Jayrajh I Gobusamang Dempsey Keebine

Auditor:

Grant Thornton, Botswana Acumen Park,

Plot 50370, Fairgrounds, Gaborone.

P.O. Box 1157, Gaborone, Botswana.