Production Update and Trading Statement for the six months ended 31 December 2024
IMPALA PLATINUM HOLDINGS LIMITED
(Incorporated in the Republic of South Africa)
(Registration number 1957/001979/06)
JSE share code : IMP
ISIN : ZAE000083648
ADR code : IMPUY
("Implats" or the "Group")
PRODUCTION UPDATE AND TRADING STATEMENT FOR THE SIX MONTHS ENDED 31 DECEMBER 2024
Implats will release results for the six months ended 31 December 2024 (the "period" or "H1 FY2025")
on or about 27 February 2025.
PRODUCTION UPDATE
Implats delivered a commendable operating performance in H1 FY2025 following Group-wide labour
restructuring and changes to operating parameters at several of our assets. Unit costs benefitted from
strategic actions and easing input inflation. Capital expenditure reduced as various projects were
commissioned in the period. The Group is on track to deliver previously provided refined production,
unit cost and capital expenditure guidance in FY2025.
Gross Group 6E production decreased by 4% to 1.82 million 6E ounces from 1.90 million 6E ounces for
the half year ended 31 December 2023 (the "comparative period").
Production from managed operations declined by 5% to 1.47 million 6E ounces:
- Impala Rustenburg increased production by 2% to 687 000 stock-adjusted 6E ounces, with
sustained operating momentum
- Impala Bafokeng delivered stable production of 254 000 6E ounces in concentrate, benefitting
from improved efficiencies at Styldrift
- Performance at Marula remained challenged by constrained mining flexibility and organisational
restructuring implemented in the period. 6E concentrate production declined by 10% to 101 000
ounces
- 6E production in matte at Zimplats decreased by 15% to 280 000 ounces, due primarily to the
accumulation of concentrates during the commissioning of the expanded smelter complex
- At Impala Canada, 6E concentrate volumes were 20% weaker at 116 000 ounces, reflecting
revised operating parameters and lower underground grade.
Group operational performance H1 FY2025 H1 FY2024 Var, %
Safety
LTIFR pmmhw 3.31 4.65 28.8
TIFR pmmhw 7.10 9.05 21.6
Fatalities Count 5 16 68.8
6E Group production 000oz 1 822 1 902 (4.2)
Managed operations 000oz 1 438 1 513 (5.0)
JV operations 000oz 282 276 2.1
Third-party 000oz 103 113 (8.9)
Gross 6E refined and saleable 000oz 1 788 1 751 2.1
Impala 6E refined 000oz 718 630 13.9
IRS 6E refined 000oz 746 773 (3.5)
Impala Bafokeng 6E saleable1 000oz 216 215 0.7
Impala Canada 6E saleable1 000oz 107 133 (19.4)
Gross platinum refined and saleable 000oz 863 832 3.7
Gross palladium refined and saleable 000oz 587 593 (1.0)
Gross rhodium refined and saleable 000oz 102 98 4.4
Gross nickel refined and saleable t 8 375 8 309 0.8
6E sales volumes 000oz 1 773 1 697 4.5
Managed operations production:
Tonnes milled 000t 13 740 14 313 (4.0)
6E grade g/t 3.80 3.77 0.9
Impala Rustenburg
Tonnes milled 000t 5 403 5 392 0.2
6E grade g/t 4.11 4.00 2.6
6E stock adjusted2 000oz 687 675 1.7
Impala Bafokeng
Tonnes milled 000t 2 140 2 252 (5.0)
6E grade g/t 4.35 4.33 0.3
6E in concentrate4 000oz 254 254 0.3
Marula
Tonnes milled 000t 848 945 (10.3)
6E grade g/t 4.10 4.30 (4.6)
6E in concentrate4 000oz 101 113 (10.3)
Zimplats
Tonnes milled 000t 3 811 3 911 (2.6)
6E grade g/t 3.38 3.34 1.3
6E in matte (incl. concentrate sold to IRS)3 000oz 280 328 (14.6)
Impala Canada
Tonnes milled 000t 1 537 1 813 (15.2)
6E grade g/t 2.84 3.00 (5.4)
6E in concentrate4 000oz 116 144 (19.5)
JV operations production:
Two Rivers
Tonnes milled 000t 1 787 1 821 (1.9)
6E grade g/t 2.96 3.10 (4.5)
6E in concentrate4 000oz 153 151 1.3
Mimosa
Tonnes milled 000t 1 467 1 423 3.1
6E grade g/t 3.61 3.63 (0.6)
6E in concentrate4 000oz 129 125 3.0
Impala Refining Services production:
Gross 6E receipts 000oz 766 828 (7.4)
Managed operations 000oz 380 437 (13.0)
JV operations 000oz 284 279 1.9
Third-party 000oz 103 113 (8.9)
1. PGM production adjusted for offtake terms from third parties.
2. PGM production post the precious metals refinery, adjusted for any increase (added), or decrease (deducted) in smelting and refining lock up.
3. PGM production post the smelter ahead of the base metal refinery, unadjusted for further processing recoveries.
4. PGM production post the concentrator ahead of the smelter, unadjusted for further processing recoveries.
Production from joint ventures ("JVs") increased by 2% to 282 000 6E ounces:
- Two Rivers recorded a 1% increase in 6E in concentrate production to 153 000 ounces, with
improved operational delivery at the UG2 operations
- At Mimosa, 6E in concentrate volumes rose by 3% to 129 000 ounces, despite challenges
presented by intermittent regional power disruptions.
Concentrate receipts from third parties were 9% lower at 103 000 6E ounces, reflecting underlying
contractual agreements.
Refined 6E production, which includes saleable ounces from Impala Bafokeng and Impala Canada,
increased by 2% to 1.79 million 6E ounces, benefitting from increased available processing capacity
and fewer power disruptions in the period. Implats ended H1 FY2025 with excess inventory of circa
375 000 6E ounces.
Sales volumes increased by 5% to 1.77 million 6E ounces, including saleable production from Impala
Canada and Impala Bafokeng. The softer US dollar basket pricing was compounded by appreciation in
the rand exchange rate and Group sales revenue decreased to circa R23 800 per 6E ounce sold.
Group unit costs per 6E ounce are expected to increase by 3% to circa R20 900 on a stock-adjusted
basis. Moderating input inflation and labour savings were bolstered by rand appreciation on the
translated dollar cost base of Zimplats and Impala Canada.
Implats generated EBITDA of circa R6.5 billion and Group capital expenditure is expected to have
decreased to circa R4.0 billion in the period due to lower levels of growth and replacement capital as
projects neared completion.
TRADING STATEMENT
In terms of the Listings Requirements of the JSE Limited, issuers must publish a trading statement on
SENS as soon as they become reasonably certain that the financial results for the period to be reported
on will differ by at least 20% from those of the previous comparative period.
Headline earnings for the period decreased primarily due to lower rand revenue arising from an 8%
retracement in achieved rand revenue per 6E ounce sold. Lower dollar pricing was compounded by the
strengthening rand exchange rate, which more than offset the benefit of improved refined and saleable
output, higher sales volumes and strong cost controls achieved in the period.
Implats' headline earnings and headline earnings per share ("HEPS") are expected to decrease by
between 40% and 49% to be between R1.65 billion and R1.95 billion, and between 184 cents and 217
cents per share, respectively. Headline earnings and HEPS for the comparative period were R3.26
billion and 365 cents, respectively.
Basic earnings and basic earnings per share ("EPS") are expected to increase by between 2% and 21%
to be between R1.65 billion and R1.95 billion, and between 184 cents and 217 cents per share,
respectively. Basic earnings and EPS in the comparative period were R1.61 billion and 180 cents,
respectively, and were negatively impacted by impairments of property, plant and equipment at Impala
Canada and the Two Rivers joint venture.
The production and financial information for the six months ended 31 December 2024, on which this
production update and trading statement is based, has not been reviewed and reported on by the
external auditors of Implats.
Ends
Queries :
Johan Theron
E-mail: johan.theron@implats.co.za
T: +27 (0) 11 731 9013
M: +27 (0) 82 809 0166
Emma Townshend
E-mail: emma.townshend@implats.co.za
T: +27 (0) 21 794 8345
M: +27 (0) 82 415 3770
Alice Lourens
E-mail: alice.lourens@implats.co.za
T: +27 (0) 11 731 9033
M: +27 (0) 82 498 3608
11 February 2025
Johannesburg
Sponsor
Nedbank Corporate and Investment Banking, a division of Nedbank Limited
Date: 11-02-2025 08:00:00
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