Northam Platinum clocks record revenues, weighs stock re-purchase
Northam Platinum said today its full-year financial results showed a record operating profit of $160 million (R2.4 billion), and normalized headline earnings up 226.7% to $92 million (R1.4 billion).
The integrated platinum group metal producer, which is listed on the JSE, said production grew by 7.4% to 519,954 oz. due to increased contributions from both Booysendal and Zondereinde operations.
Cost were up 22.4% due to labor cost increases and new equipment coming on-line. The company said its capital investment program should start to taper.
Northam CEO Paul Dunne said the company can consider stock buy backs.
"Now that we're over the peak funding requirements for our project pipeline, we’re turning our attention to returning value to shareholders, either by repurchasing our own ordinary shares or the Zambezi preference shares or a combination of the two," said Dunne in a news release. "Any free cash over and above our targeted net debt level will be used for this purpose."