Cash Pay Advance

Results Three months ended September 30, 2007 and 2006 GAAP Fundamental Fundamental GAAP GAAP Variance Fundamental Q1 2007 Variance Q1 2008 Q1 2007 % Q1 2008 (1) (1) % Net income (USD’000) 17,928 15,072 19% 19,659 15,994 23% Earnings per share, basic (US cents) 31 27 15% 34 28 21% Revenue (USD’000) 60,259 52,926 14% 60,259 52,926 14% (1) - Fundamental net income and earnings per share is GAAP net income and earnings per share excluding the amortization of acquisition-related intangible assets, net of deferred taxes, and stock-based compensation charges. Unaudited Condensed Consolidated Statements of Operations Three months ended September 30, 2007 2006 (In thousands, except share data) REVENUE $ 60,259 $ 52,926 EXPENSE COST OF GOODS SOLD, IT PROCESSING, SERVICING AND SUPPORT 15,143 13,319 SELLING, GENERAL AND ADMINISTRATION 16,464 13,485 DEPRECIATION AND AMORTIZATION 2,746 2,947 OPERATING INCOME 25,906 23,175 INTEREST INCOME, net 2,982 872 INCOME BEFORE INCOME TAXES 28,888 24,047 INCOME TAX EXPENSE 10,872 8,840 NET INCOME FROM CONTINUING OPERATIONS BEFORE MINORITY INTEREST AND (LOSS) EARNINGS FROM EQUITY-ACCOUNTED INVESTMENTS 18,016 15,207 MINORITY INTEREST (196) 205 (LOSS) EARNINGS FROM EQUITY-ACCOUNTED INVESTMENTS (284) 70 NET INCOME $ 17,928 $ 15,072 Net income per share Basic earnings, in cents - common stock and linked units 31. Unaudited Condensed Consolidated Statements of Cash Flows Three months ended September 30, 2007 2006 (In thousands) Cash flows from operating activities Net income $17,928 $15,072 Depreciation and amortization 2,746 2,947 Loss (Earnings) from equity-accounted investments 284 (70) Fair value adjustment related to financial liabilities (73) 2 Fair value of FAS 133 derivative adjustments 7 - Interest payable 117 - Profit on disposal of property, plant and equipment (10) (34) Minority interest (196) 205 Stock-based compensation charge (reversal) 841 (28) Decrease (Increase) in accounts receivable, pre-funded social welfare grants receivable and finance loans receivable 5,538 (9,029) Decrease in deferred expenditure on smart cards 94 43 Increase in inventory (1,765) (2,579) Increase (Decrease) in accounts payable and other payables 12,419 (7,291) Increase (Decrease) in income taxes payable 496 (2,866) Increase in deferred income taxes 1,817 2,100 Net cash provided by (used in) operating activities 40,243 (1,528) Cash flows from investing activities Capital expenditures (671) (843) Proceeds from disposal of property, plant and equipment 41 118 Acquisition of Prism Holdings Limited, net of cash acquired - (82,106) Net cash used in investing activities (630) (82,831) Cash flows from financing activities Proceeds from issue of share capital 150 50 Proceeds from bank overdrafts 9 18,173 Repayment of bank overdraft (16) (17,056) Net cash provided by financing activities 143 1,167 Effect of exchange rate changes on cash 4,039 (4,410) Net increase (decrease) in cash and cash equivalents 43,795 (87,602) Cash and cash equivalents - beginning of period 171,727 189,735 Cash and cash equivalents at end of period $215,522 $102,133 Net 1 UEPS Technologies, Inc. Our solution is based on simplifying the existing processes and providing significantly improved convenience to beneficiaries to access and receive their grants; — our financial strength that enables us to arrange finance for the significant amount of money required to pre-fund social grants in any, or all of the provinces, which is a requirement of the tender; and — our commitment to the principles of black economic empowerment, underscored by our demonstrable high levels of employment equity, financial participation by local black partners, preferential procurement policies and community upliftment programs. Card holders can obtain cash from any participating retailer, eliminating the need to search for an available ATM; — Cost effectiveness - Our solution is significantly cheaper than any other bank product, as we recover our fees mainly from employers, merchants and service providers; and — Access to credible and affordable facilities, such as money transfers, loans, interest paying savings, life insurance and third party payments. Three months ended September 30, 2007 Illustrative Illustrative effect effect Actual scenario 1(1) scenario 2(2) Fully distributed tax rate 36. Find Out More

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