Who we are

celebrating 20 years Our approach to reporting

Content and scope of the report

This is our eighth Integrated Report and is aimed at providing our stakeholders with an enhanced understanding of:

  • our strategic objectives, progress made in pursuit of these and the outlook;
  • the challenges and risks to achieving these strategic objectives;
  • our capitals, with specific reference to the inputs, activities and outcomes relevant to them as well as a brief review of how we have performed in respect of achieving key performance indicators ("KPIs") which measure our financial and non-financial performance in respect of these capitals;
  • the economic, social and environmental impacts of the Group;
  • information relevant and material to our business;
  • how we operate; and
  • the governance framework which regulates the conduct of our business.

All these aspects, interwoven, represent the fabric of the business that is Aspen. The Integrated Report of Aspen Pharmacare Holdings Limited ("the Company") and its subsidiaries (collectively "Aspen" or "the Group") has been prepared in accordance with the South African Companies Act of 2008 ("The Companies Act"), the JSE Listings Requirements and the integrated reporting principles as set out in the King Report on Corporate Governance™ for South Africa 2016 ("King IV") and covers the Group's operations, except where the scope is specifically stated as limited. This report has been structured to provide stakeholders with financial and non-financial information that is relevant and includes the Summarised Group and Company Annual Financial Statements for the year ended 30 June 2018 ("Annual Financial Statements") as approved by the Board of Aspen.

Due to the impact of relative movements in the exchange rate, the Group has adopted reporting at constant exchange rates ("CER"), where appropriate, in order to enhance the comparability of underlying performance as more fully explained in the Additional Group financial information section of the report. The Summarised Group Annual Financial Statements are not the Group's statutory accounts – the detailed audited Annual Financial Statements along with the supplementary documents as detailed below are available online at www.aspenpharma.com under Investor Information, Results and Reports or from the Company Secretary & Group Governance Officer at rverster@aspenpharma.com.

Reference has been made to the International <IR> Integrated Reporting Framework to reflect the connectivity between our strategic objectives, KPIs and the inputs, activities and outcomes in respect of the Group's capitals. We believe that reporting in an integrated manner assists shareholders, prospective investors and funders to make informed decisions around investing and the allocation of resources. All material sustainability information relevant to our operations has been included as part of our reporting on the Group's capitals. The sustainability information has been prepared with reference to the Global Reporting Initiative's ("GRI") Sustainability Reporting Standards.

Company names, currencies and other references have been abbreviated throughout the Integrated Report. Full names can be referenced from the abbreviations bookmark. Abbreviations of the regulatory authorities and acronyms can be found here.


We value feedback from our stakeholders and use it to ensure that we are reporting appropriately on the issues that are most relevant to them. Please take the time to give us your feedback on this report by contacting the Company Secretary at rverster@aspenpharma.com.

Supplementary documents

Accompanying this Integrated Report is the notice of annual general meeting and related proxy form.

The following documents are available online or as print copies on request:

  • Unabridged Corporate Governance Report and reports of the Aspen Audit & Risk Committee ("A&R Co") and Social & Ethics Committee ("S&E Co") for the 2018 financial year;
  • the Sustainability Data Supplement; and
  • the Annual Financial Statements

(collectively the "supplementary documents").

Determining materiality

In determining materiality, we consider material issues to be those that have the potential to substantially impact our ability to create and sustain value for our stakeholders over the short, medium and long term. The Board has considered and agreed that the Group's strategic objectives and the KPIs related to these objectives constitute our material issues and that these are appropriately aligned with our approach to managing risks.

Board endorsement of report and assurance

The A&R Co reviewed and recommended the Integrated Report and the supplementary documents for approval by the directors. The directors acknowledge that they are responsible for the content of the Integrated Report and the supplementary documents. The Board has applied its mind to this report and confirms that, read with the supplementary documents made available online, it addresses all material issues and fairly represents the financial, operational and sustainability performance of the Group. Our external auditors, PricewaterhouseCoopers Incorporated ("PwC"), have provided an opinion on the financial statements and assurance over the Summarised Group Annual Financial Statements included in the Integrated Report. This opinion can be found here. Our Group Internal Audit function ("Internal Audit"), assisted by external expert service providers, where appropriate, has provided the relevant assurance on the following material aspects of this report:

  • risk governance;
  • ethics governance;
  • IT governance;
  • material business systems of internal control; and
  • material financial systems of internal control.

Selected sustainability information in the Integrated Report has been independently assured by Environmental Resources Management (Pty) Limited ("ERM") in accordance with AccountAbility's AA1000 Assurance Standard (Revised, 2008) (Type II moderate level). External assurance providers and Internal Audit have been engaged to provide limited assurance on the KPIs as reflected in this Integrated Report.

A combined assurance model is applied to provide a coordinated approach to all assurance activities. No significant areas of overlap or assurance gaps have been identified and the levels of assurance were considered to be appropriate.

Strategic objectives

An analysis of these strategic objectives and KPIs is set out in this Integrated Report including a review of how we have performed in respect of the related KPIs is detailed in the commentary on the capitals.

Our five key strategic objectives:

To enhance access to
high quality, affordable
To achieve strategic
advantage through our
integrated supply chain
To provide a safe,
challenging and
rewarding environment
for our employees
To practise good
corporate citizenship
To create sustainable
economic value for all our

Aspen's six capitals

All organisations depend on various forms of capital for their value creation. In the International <IR> Integrated Reporting Framework, these capitals are defined as intellectual, manufactured, human, social & relationship, natural and financial capital.

The business model details the integration of our six capitals into the business. The icons below serve as an identifiable visual reference to these six capitals within this report.

Intellectual Manufactured Human Social & relationship Natural Financial