COMPANIES: Amplats reports a dip in annual earnings, but a stellar year on mine safety

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Anglo American Platinum (Amplats) had its best safety year ever in 2022, with no employee killed on the job at the mines it manages. Meanwhile, the full-year earnings for the Anglo American unit fell from record levels on lower prices and grades and ...

At first glance, its earnings for 2022 look a damp squib compared with 2021. Adjusted Ebitda – earnings before interest, taxes, depreciation and amortisation – were down 32% to R73.9-billion. The dividend per share was 62% lower to R115/share or R30-billion. And so on.

“This financial year has seen us navigate a complex operating environment, with macro-economic challenges, supply chain disruptions, socioeconomic unrest, and electricity load-curtailment, as well as some operational headwinds of our own. However, we have seen good levels of resilience across our operations,” said CEO Natascha Viljoen.

Lower grades – which refer to the amount of metal per tonne of rock mined – at the jewel in Amplats’ crown, its mechanised Mogalakwena mine, and delays in the planned rebuilding of its Polokwane smelter because of “substandard materials”, impacted sales and reduced revenue by 24%. Cost inflation also ate into margins.

 

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