PPK GROUP LIMITED — Regulatory Filings 2012

Jun 17, 2012

ABN: 65 003 964 181

SUITE 3, LEVEL 2, 668 PRINCES HIGHWAY, SUTHERLAND NSW 2232

PO BOX 3006, KIRRAWEE DELIVERY CENTRE NSW 2232

TEL: 61 (2) 9521 8444 6 FAX: 61 (2) 9521 4561

18 June 2012

Company Announcements Office Australian Securities Exchange Limited

For Release to the Market

Dear Sir

Earnings Update

PPK Group Limited (PPK) today announces an update in relation to its earnings for the year ended 30 June 2012 and preliminary 2013 year earnings guidance.

This update is provided in compliance with PPK's continuous disclosure obligations and to enable PPK to continue its on-market buy-back prior to release of the company's audited full year result in August 2012.

Subject to completion of the audit of PPK's accounts by PPK's auditors and PPK board approval, PPK expects an after tax profit of \$1,350,000 to \$1,450,000 for the 2012 year. This is as compared to an after tax loss of \$2,515,000 for the 2011 year.

The PPK 2011 year results were impacted by a number of impairments and one off gain items as detailed in the Chairman's and Executive Director's Overview in the 2011 Annual Report.

On a normalised basis, the expected 2012 after tax profit represents an improvement of over 57% on the 2011 year normalised earnings.

The PPK directors expect at least incremental improvement in PPK's earnings in the 2013 year.

PPK is relatively lowly geared and the PPK directors consider that the buy-back represents an attractive use of capital particularly as at current share price levels, a buy-back of PPK shares is accretive to earnings per share and NTA.

Yours faithfull

Jury Wowk Chairman

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