ABOUT THIS REPORT
Our integrated report provides information about AfroCentric for the year ended 30 June 2024.
This report is intended for current and prospective investors and stakeholders interested in our Group. It provides information on AfroCentric Investment Corporation Limited’s governance, material risks and opportunities, performance against strategy, impact on society, and prospects.
INTEGRATED THINKING
This report has been prepared to provide balanced, reliable, transparent and relevant information to our providers of financial capital and other interested stakeholders. We strive to demonstrate how we execute our strategy to create or preserve value while minimising value erosion using our chosen business model and considering the nature, quality and availability of the resources and relationships we rely on, as well as our contribution to broader goals. By carefully considering the relationship between the capitals that we use and affect, as well as the potential tradeoffs inherent in our strategic choices, we manage our resources to provide integrated healthcare solutions for our clients and increase access to sustainable, affordable and quality healthcare for their members. This enables us to create value by sustaining financial returns and enhancing the lives of our stakeholders.
Our integrated report houses our material ESG information within the framework of integrated thinking. We will continue to expand our disclosure as the ESG reporting context evolves and as we integrate the necessary processes into the business to manage and measure the full range of matters identified.
In this regard, we will continuously monitor the need for a separate ESG report based on our stakeholders’ needs.
MATERIALITY
This integrated report discloses information about matters that substantively affect our ability to create value over the short (12 months), medium (three years) and long term (five years and beyond) (refer to our material matters for more detail).
To demonstrate our commitment to sustainable development, we have included Sustainable Development Goals (SDGs) – those that relate to our strategy and to which we can most significantly contribute. However, based on our strategic intent, our primary contribution is to SDG 3 – Good Health and Wellbeing – specifically targeting 3.8.
REPORTING SCOPE AND BOUNDARY
Material events between year-end and 2 October 2024, when the Board approved the report, are also included. Our reporting approach’s scope, boundary, and measurement methods are materially similar to those in 2023. Other than restating the financial information in the Chief Financial Officer’s (CFO’s) review and the financial statements, there were no other restatements in the Integrated Annual Report.
In our integrated reporting, we define the reporting boundary by considering the financial reporting boundary and the significant risks, opportunities, and outcomes associated with external entities and stakeholders.
NAVIGATING OUR REPORT
Our strategic focus areas
Collaboration
with Sanlam
Client-facing
strategy
Primary health
insurance
Leadership,
culture
and values
Our capitals
Financial
Social and relationship
Human
Manufactured
Intellectual
Natural
OUR SUITE OF REPORTS
Integrated report
What’s disclosed in these reports
Our integrated report is our primary report and is addressed to our providers of capital and other interested stakeholders. It details the Group’s strategy and our performance against it, including demonstrating the Group’s journey in relation to value creation, preservation and erosion.
Key regulatory and reporting frameworks
- Integrated Reporting Framework
- JSE Listings Requirements
- JSE Sustainability Disclosure Guidance
- King Report on Corporate Governance for South Africa, 2016 (King IVTM)
- Companies Act 71 of 2008, as amended (Companies Act)
- The South African Institute of Chartered Accountants’ Financial Reporting Guides, as issued by the Accounting Practices Committee
- Financial Pronouncements as issued by the Financial Reporting Standards Council
- International Financial Reporting Standards (IFRS® Accounting Standards)
Assurance
- Management and governance oversight
- Board oversight and approval
- B-BBEE verification (Honeycomb BEE Ratings)
Date of issue
8 October 2024
Available @ www.afrocentric.za.com
Annual financial
statements
What’s disclosed in these reports
The Group’s annual financial statements provide comprehensive information pertaining to the Group’s audited financial statements, prepared in accordance with IFRS® Accounting Standards.
Key regulatory and reporting frameworks
- Integrated Reporting Framework
- JSE Listings Requirements
- King IVTM
- Companies Act 71 of 2008, as amended (Companies Act)
- The South African Institute of Chartered Accountants’ Financial Reporting Guides, as issued by the Accounting Practices Committee
- Financial Pronouncements as issued by the Financial Reporting Standards Council
- IFRS® Accounting Standards
Assurance
- Internal controls
- Management and governance oversight
- Internal audit
- Unmodified external audit opinion (KPMG Inc.)
Date of issue
3 September 2024
Available @ www.afrocentric.za.com
OUTLOOK
Outlook information is considered to be that which details the challenges, opportunities and uncertainties we are likely to encounter in pursuing our strategy, as well as the potential implications for our business model and future performance. Outlook information can be found throughout this report; however, the majority of this information is detailed in the following sections:
FORWARD-LOOKING STATEMENTS
Certain statements in this document may constitute forward-looking statements. Such statements involve known and unknown risks, uncertainties and other important factors that could cause the actual performance or achievements of AfroCentric and its subsidiaries to materially differ from future results, performance or achievements expressed or implied by such forward-looking statements.
The Group undertakes no obligation to update publicly or release any revisions to these forward-looking statements to reflect events or circumstances after publication of this report or to reflect the occurrence of anticipated events. These have not been reviewed or reported on by the Group’s external auditors.
PROCESS DISCLOSURE AND ASSURANCE APPROACH
Our integrated reporting process began with reviewing the material matters for reporting. Content gathering for the report included engagements across the business and at the Board level and drawing from Board and Board committee submissions. We apply a combined assurance approach to the Group’s operations. Therefore, internal controls, management assurance, compliance and internal audit reviews, as well as the services of independent external assurance providers, support the accuracy of the disclosures within our published reports. The executive responsible for the report is our Group CFO. In line with their mandate, the integrated report is reviewed and recommended to the Board for approval by the Audit and Risk Committee. The Board takes final accountability for approving the Group’s external disclosures.
BOARD APPROVAL
The Board acknowledges its responsibility for the integrity of this report. This report provides relevant information to providers of financial capital to enable informed capital allocation decisions while supplying information relevant to our broader stakeholders. The report addresses all material matters, offering a balanced perspective of the Group’s strategy and how it relates to AfroCentric’s ability to create value in the short, medium and long term. The report addresses the use of and effects on the capitals and how the availability of these capitals impacts the Group’s strategy and business model. Furthermore, we believe this report demonstrates how the Group seeks to fulfil its purpose and, in this way, creates sustainable value for all its stakeholders. Our opinion is that this integrated report presents a fair and balanced view of AfroCentric’s performance and outlook. We, as the Board, believe that this report has been prepared in accordance with the Integrated Reporting Framework.
This report was approved for release on 8 October 2024.
Dr Anna Mokgokong
Chairman
Hannes Boonzaaier
Group CFO
Dr Nkateko Munisi
Non-executive Director
Joe Madungandaba
Deputy Chairman
Paul Hanratty
Non-executive Director
Mmaboshadi Chauke
Independent
Non-executive Director
Bruno Fernandes
Lead Independent
Non-executive Director
Marinda Dippenaar
Non-executive Director
Kanyisa Mkhize
Non-executive Director
Gerald van Wyk
Group CEO
Alice le Roux
Independent
Non-executive Director
FEEDBACK
We are committed to communicating effectively with our stakeholders, and we value feedback on this report. Any questions or requests for additional information relating to our report can be directed to Gift Dlamini at investor-relations@afrocentrichealth.com or telephonically at +27 (0)11 671 2475.