NCC Full Year Results & Dividend Declaration

NAOS Emerging Opportunities Company Limited Announces Record Full Year Dividend for the Financial Year Ending 30 June 2018

Result Highlights:

• FY18 Profit After Tax $4.1 million 
• Final FY18 Dividend Declared, 3.50 cents per share fully franked
• FY18 Full Year Dividend Declared 7.25 cents per share fully franked
• FY18 Investment Portfolio Performance +7.13%

Thursday, 23 August 2018: NAOS Emerging Opportunities Company (ASX: NCC) today announced its full-year result for the financial year to 30 June 2018, reporting an after tax profit of $4.1 million. NCC also declared a fully franked dividend of 3.50 cents per share, bringing the full-year dividend to a record 7.25 cents per share, an increase of 3.6% on the prior comparative period and the sixth consecutive year of dividend growth. Independent Chairman, David Rickards commented:

‘The Board continues to be mindful of providing shareholders a growing stream of fully franked dividends over the longer-term whilst focusing on long-term capital growth.’

Historical Fully Franked Dividend Profile

The Year at a Glance & Performance

NCC provides pure, concentrated, long-term exposure to micro-cap industrial businesses regardless of their liquidity profile. This high conviction approach is reflected by the nine positions held as at 30 June, all of which have been held for more than 12 months within the investment portfolio.

The Company remains focused on capital preservation over the longer term with the investment portfolio yet to recognise a negative financial or calendar year return, whilst the portfolio returns since inception of the Company have been generated with a lower volatility than that of the wider market. NAOS Chief Investment Officer and Managing Director Sebastian Evans stated:

‘Most importantly, what our shareholders expect, and what we expect of ourselves, is that the portfolio of investments should be delivering a return of circa 15%- 20% p.a. over a rolling 5-year period. We believe that the NCC investment portfolio is entering FY19 on a solid footing, with many of our core investments expected to grow their earnings in a significant manner from their FY18 bases.’

FY18 Final Dividend Dates & Dividend Reinvestment Plan (DRP)

Ex Dividend Date8 October 2018Record Date9 October 2018Last Date for DRP Election10 October 2018Payment Date24 October 2018

Under the Company’s Dividend Reinvestment Plan (DRP) rules, where shares are trading at a discount to the post-tax net tangible assets (NTA), the Company will purchase shares “on market” for DRP purposes, as opposed to issuing new shares. This means that potential dilution to the Company’s NTA is avoided. Further information on how to participate in the Company’s DRP can be found at www.naos.com.au.

Important Information: This material has been prepared by NAOS Asset Management Limited (ABN 23 107 624 126, AFSL 273529) (NAOS) as investment manager of the listed investment company referred to herein (Company). This material is provided for general information purposes only and must not be construed as investment advice. It does not take into account the investment objectives, financial situation or needs of any particular investor. Before making an investment decision, investors should consider obtaining professional investment advice that is tailored to their specific circumstances. Past performance is not necessarily indicative of future results and neither NAOS nor the Company guarantees the future performance of the Company, the amount or timing of any return from the Company, or that the investment objectives of the Company will be achieved. To the maximum extent permitted by law, NAOS and the Company disclaims all liability to any person relying on the information contained herein in relation to any loss or damage (including consequential loss or damage), however caused, which may be suffered directly or indirectly in respect of such information. This material must not be reproduced or disclosed, in whole or in part, without the prior written consent of NAOS.

Published: 23 August 2018