How long of an audited financial history is required for a company seeking to list on the JSE?

For a company seeking to list on the Johannesburg Stock Exchange (JSE), the requirement for an audited financial history is that the company must provide three years of audited financial statements. This requirement is in place to ensure that potential investors have access to a consistent and comprehensive overview of the company’s financial performance, enabling them to make informed decisions. Having three years of historical data helps to illustrate the company’s growth, stability, and business practices over time, which is critical for establishing credibility and fostering investor trust.

The choice of a three-year period reflects a standard preference in many exchanges for longer-term financial viability assessments, as shorter periods may not adequately capture the company’s operational cycles or financial stability. This rigorous standard helps to maintain the integrity of the market and provides better transparency for investors.