Strikes, floods and other headwinds cause Sibanye-Stillwater's profits to dive | Business

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Sibanye-Stillwater profits plummeted 44% in 2022, with the group's performance weighed down by a three-month strike at its SA gold mines, a one-in-200-year flood at its Montana operations in the US, inflation and other macro-economic headwinds.

Sibanye-Stillwater profits plummeted 44% in 2022, with the group's performance weighed down by a three-month strike at its SA gold mines, a one-in-200-year flood at its Montana operations in the US, inflation and other macro-economic headwinds.

According to Sibanye CEO Neal Froneman, the group's performance for 2022 reflects significant positive achievements in some respect and notable challenges in others. The industrial action and flooding events resulted in significantly reduced production from the SA gold and US PGM operations during 2022, with a concomitant increase in unit costs. The phased resumption and build-up of safe production after these operational stoppages also negatively impacted production and costs during the second half of the year, resulting in group revenue declining by 20% to R138.3 billion for 2022 compared with R172.2 billion for 2021.

Inflation-linked wage agreements signed at the gold and PGM operations position them for stability in the coming years.

 

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