73 INTEGRATED ANNUAL REPORT 2026 Group Co-operative 2026 2025 2026 2025 Notes R’000 R’000 R’000 R’000 Revenue 3 366 159 1 865 539 3 364 021 1 864 217 Cost of sales (3 033 696) (1 644 003) (3 058 713) (1 671 495) Gross profit 332 463 221 536 305 308 192 722 Other income 1 18 980 34 752 16 109 18 445 Operating expenses 2 (358 592) (395 558) (313 441) (309 740) Foreign exchange gains 29 866 12 822 29 866 12 815 Insurance proceeds 40 522 397 170 33 497 280 715 Impairment of investment – – (33 820) – Fair value losses on biological assets (134 620) (121 035) (85 670) (71 815) Operating (loss) profit (71 381) 149 687 (48 151) 123 142 Investment revenue 36 944 40 689 104 889 40 352 Finance costs (9 294) (9 778) (19 222) (23 135) (Loss) profit before taxation (43 731) 180 598 37 516 140 359 Taxation 11 137 (48 066) (1 604) (37 774) Total comprehensive (loss) income for the year (32 594) 132 532 35 912 102 585 Notes: 1. Other income Other income includes the following income: Administration consulting and rental 2 491 2 438 3 670 3 446 Contracting 5 136 3 592 2 991 4 878 Loading operations 5 027 4 503 5 032 4 810 Profit on disposal of assets 59 16 249 – – 2. Operating expenses Operating expenses include the following expenses: Auditor’s remuneration 1 046 1 117 535 503 Contract chipping 10 196 22 262 187 004 121 005 Depreciation 52 808 42 826 26 654 21 333 Directors remuneration - allowances 520 551 520 551 Directors remuneration - fees 1 071 1 044 1 071 1 044 Impairment on investment in subsidiary – – 33 820 – Insurance 42 760 32 508 18 271 11 974 Repairs and maintenance 52 911 47 271 26 185 28 909 Utilities 49 967 30 911 15 940 9 637 Legal and professional fees 5 130 2 919 4 531 1 910 Loss on disposal of assets 1 874 3 245 46 875 Salary and wage costs 255 864 239 647 206 500 192 949 3. Comparative figures Certain comparative figures have been reclassified. These relate to the co-operatives depot operations which have previously been shown as a single net expense line. We believe it is more accurate to show the timber purchases and sales portion of the depot operations along with the main timber purchases and sales of the co-operative. The effects of the reclassification are as follows: Cost of sales increase / operating expense decrease – 3 642 – 3 642 NCT Forestry Agricultural Co-operative Limited and its subsidiaries (Registration number: 1949/000002/24) Consolidated and Separate Annual Financial Statements for the year ended 28 February 2026 Statement of Comprehensive Income
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