Interim Announcement: Six Months Ended 30 September 2022

recordfg.com

Modernisation and diversification…

on track to deliver

Record plc Interim Report 2022

Six months ended 30 September 2022

Our purpose

Tocontinue to harnesstrendsand innovateby collaborating withour clients

Our vision

Diverse partnershipsof financial specialists - creating unique, opportunistic, sustainable solutions

Our mission

Independent, candidadvicederived from

our 40-year legacy -as we evolve into a globalasset management network

Ourvalue proposition

Transparency and trust, above all. We listen to clients,

trulyunderstand their needs,then collaboratewith

like-mindedspecialistpartners froma wide rangeofasset classestodeliversolutions

Record plc

Interim Report 2022

Our highlights

AUME1 at period end

$80.8bn

H1-222: $84.1bn, FY-22: $83.1bn

Earnings per share

3.27p

H1-22: 2.08p, FY-22: 4.52p

Revenue

£22.1m

H1-22: £16.3m, FY-22: £35.1m

Ordinary dividend per share

2.05p

H1-22: 1.80p, FY-22: 3.60p

Profit before tax

£7.5m

H1-22: £5.2m, FY-22: £10.9m

1

Contents

Our highlights	1
Chief Executive Officer's statement	2
Interim management review	4
Statement of Directors'	12
responsibilities
Independent review report	13
to Record plc
Financial statements	14
Notes to the consolidated financial	18
statements
Information for shareholders	25

1. Record manages only the impact of foreign exchange and not the underlying assets on its currency and derivatives business, therefore its "assets under management" ("AUM") are notional rather than real. To distinguish this from the AUM of conventional asset managers, Record uses the concept of Assets Under Management Equivalents ("AUME").
2. H1-22indicates the six-month period to 30 September 2021. H2-22 indicates the six-month period to 31 March 2022. FY-22 indicates the financial year ended 31 March 2022.

2Record plcInterim Report 2022

Chief Executive Officer's statement

We continue to make steady progress along the three strands of our business strategy.

Leslie Hill

Chief Executive Officer

Our plans for diversification, modernisation and succession are all going smoothly despite headwinds caused by inflation, events on the global stage and residual work disruption left over from the pandemic.

Against this backdrop, we are seeing growth in revenue and profits broadly in line with expectations, our modernisation programme is on course and on budget, and we have now implemented a Long Term Incentive Plan ("LTIP") scheme to help us with our succession planning, talent retention, and to further reward those team members who are willing to take a leading role in our growth and development trajectory.

To avoid repeating past statements, I would like to focus on the following three important areas in more detail: investment performance, Record Asset Management

(our European subsidiary) and Record Digital Asset Ventures.

Currency products and investment performance

While a lot of our future growth might come from products other than pure currency, traditional currency products are and will remain a cornerstone of our brand and our reputation. Promisingly, we are seeing some growth in our traditional business and expect this to continue whilst mindful these are at lower fee rates than other areas of focus. Nonetheless, especially given the turbulence in the currency markets in recent years, it is encouraging to see strong performance from our Dynamic Hedging product, our hedging product with active tenor management (on which we earn performance fees), G10 and EM Currency Multi-Strategy, and our Emerging Market Sustainable Finance ("EMSF") Fund.

In addition, there are interesting developments in our Currency for Return product range, where we have trialled (with our own capital) adding machine learning features to our Currency for Return strand and, as this is showing good results so far, it has now been adopted by certain of our clients as an enhancement to our offering. While we are devoted to diversification as a source of growth and improved margins, we would not want our investors or stakeholders to forget our currency roots.

	Record plc	Interim Report 2022	3
	Chief Executive Officer's statement
	Revenue		Profit Before Tax
	£22.1m+35%	£7.5m +46%
	H1-22:£16.3m, FY-22: £35.1m		H1-22: £5.2m, FY-22: £10.9m

Record Asset Management

Record Asset Management is our relatively new subsidiary based in Germany that will enable us to offer much more to our clients whilst continuing to build on our existing offering. With the award of our BaFin licence in Germany and the launch of our Luxembourg Fund range, we are now able to expand our activities in Europe. This is starting to bear fruit and will begin to have a bigger impact on our bottom line in the coming year. Led by our Global Head

of Sales Dr Jan Witte, we are working with partners such as AGL (the syndicated loan manager in New York) and VTeam (the Supply Chain Finance business based in SE Asia) to create blended products for our clients, such as the recently launched Municipal Loan Fund in Germany. There are good opportunities for us here and our team based in Zurich, Amsterdam and Düsseldorf is growing in line with the growth in revenue.

Record Digital Asset Ventures ("RDAV")

Last April we launched RDAV with the express intent to invest in start-up and early-stage companies across the globe that aim to disrupt the financial services sector (including the digital asset economy) in a form we felt would be relevant to Record. Spearheaded by our CTO Rebecca Venis, we started by setting out an investment thesis: we look to invest in financial technology differentiated through the creation of

a new economy, and defensible through network effects. We wish to apply a modest proportion of our excess capital, putting it to work in venture capital investments which will enable us to: 1) learn more about this area; 2) get a "seat

at the table" with key people in this evolving industry; and 3) make a return for our stakeholders and investors.

The funds to which we have committed capital include Hack VC, Castle Island and Fasanara VC, as well as investing directly into companies including Block Scholes and

Lake Parime, the latter of which was invested just after the period end in October 2022. While these are still early days, we are very encouraged by the results so far and the opportunities to partner with and offer our services to this sector. More on this to come.

It is crucial to remember that all the elements above are part of a plan to diversify Record and make us a meaningful asset management business, fit for the next generation, and well balanced between opportunity, risk and return. No single revenue line is ever intended to dominate, and we are always very much aware of the Board's measured approach to risk appetite in everything we do.

Financial performance and dividends

As stated above, we continue along the path we set ourselves in the full year (FY-22) results back in June, which is to achieve revenue of approximately £60 million by the year ending March 2025 (FY-25).

Compared to the same period last year, our revenue has increased by 35% to £22.1 million and our operating profit of £7.5 million is 46% higher. The return to performance fees seen in the second half of last year has continued with £2.8 million for this six-month period (FY-22: £0.5 million) and going forward is one we hope to be less episodic than has historically been the case, but as always subject to market conditions.

As expected, we have seen an increase in our cost base resulting from our continued investment in the modernisation of our business, albeit this has been exacerbated by the current high inflationary environment. Notwithstanding this, it is still pleasing to report an increase in our operating margin from 31% for FY-22 to 34% for

this six-month period, and we continue to focus on ensuring the right balance between good cost control and in ensuring the business is appropriately resourced to support its growth trajectory.

The Board remains confident in the strategy and the ability of the business to deliver against its plan for growth. In line with the capital and distribution policies, which target progressive and sustainable dividend growth, the Board has decided to pay an increased interim dividend for HY-23 of 2.05 pence per share (HY-22: 1.80 pence) on 30 December to shareholders on the register at 9 December 2022.

Leslie Hill

Chief Executive Officer

28 November 2022