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Leading PGMs producer Implats reports strong annual operating results

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(Kitco News) - South African platinum group metals (PGMs) producer Impala Platinum (Implats) reported that the company delivered strong operating results for the year ended 30 June 2021, despite the complexity of managing the ongoing impact of Covid-19.

The company said it has recorded a 15.6% annual increase in gross concentrate volumes to 3.29 million 6E PGMs ounces. This includes a 17.9% increase in concentrate production to 2.37 million 6E ounces from managed operations and a 10.3% increase in concentrate production to 561 000 6E ounces from joint ventures.

Implats added that a significant increase in the dollar basket price for PGMs, together with higher 6E sales volumes, resulted in higher revenue and improved profitability for the period.

Consequently, Implats said that the company expecting headline earnings and headline earnings per share (HEPS) for the period to increase by at least 20% from the R16 billion and 2,075 cents reported for the year ended 30 June 2020 (the comparative period), respectively. Therefore, headline earnings and HEPS are expected to be at least R19.2 billion and 2,490 cents, respectively.

Basic earnings and basic earnings per share (EPS) for the period are also expected to increase by at least 20% from the R16 billion and 2,066 cents reported in the comparative period, respectively. Therefore, basic earnings and EPS are expected to be at least R19.2 billion and 2 480 cents, respectively. Basic earnings for the period were favourably impacted by the reversal of impairment losses of R10.6 billion (post-tax).

Implats is a leading producer of platinum group metals structured around six mining operations and Impala Refining Services, a toll refining business. The company’s operations are located on the Bushveld Complex in South Africa, the Great Dyke in Zimbabwe – the two most significant PGM-bearing ore bodies in the world – and the Canadian Shield, an igneous domain for PGMs.

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