Implats pumps full-year earnings

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Like its peers, SA's number three PGM supplier benefits from soaring metal prices and weak rand

20 August 2020 - 11:35Impala Platinum, the world number three source of platinum group metals , expects a five-fold increase in annual headline earnings as soaring metal prices offset a small dip in sales.

“The benefit of a significant increase in the dollar basket price for PGMs, together with rand depreciation, has resulted in a meaningful increase in gross profit, which is expected to increase to R23bn in the period from R7bn in the comparative period,” Implats said on Thursday. Many SA mining companies have reported reduced production for the three months to end-June, but their financials reflected the benefits of strong metal prices, particularly for PGMs — most notably rhodium and palladium — and gold, combined with a depreciation of the rand against the dollar.

Implats, which has Nico Muller as its CEO, said production from its mines was at the top end of the June 24 guidance when it said mines in the group would generate 2.4-million to 2.53-million ounces of the six PGMs in concentrate.

 

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