Zondereinde Northam platinum in Limpopo.Photo Supplied

JOHANNESBURG - Northam Platinum said on Tuesday that it expects to achieve a record operating profit of R2.4 billion for the financial year ended 30 June 2019, up from R823.3 million the previous financial year. 

The platinum group metals (PGMs) producer said that the record 192.7 percent profit growth was underpinned by a solid operating performance at both operations the Zondereinde and Booysendal mines, well contained unit cash costs and a higher basket price received.

The group achieved a record production from own operations amounting to 519,954 4E ounces, representing a 7.4 percent increase from the 2018 financial year. Sales volumes increased by 23.3 percent to 583,069 4E ounces.

Revenue for the year went up from R7.6 billion to R10.6 billion representing a 41 percent increase.

The group expects normalized headline earnings, defined as headline earnings adjusted for the impact of Northam's black economic empowerment transaction, to be in excess of R1.3 billion, representing an increase in excess of 220 percent from the previous financial year. 

Northam will published the condensed results for the year ended 30 June 2019 next week.

- African News Agency (ANA)