Valterra Platinum predicts sharply higher earnings on strong PGM price
Valterra Platinum Ltd on Friday said it expects its annual earnings to surge, getting a boost from a robust platinum group metal price and lower operational costs.
The Rosebank, Johannesburg-based company, formerly called Anglo American Platinum Ltd, estimates earnings per share at between 5,522 rand cents and 6,055 cents in 2025, multiplied from 2,683 cents in 2024.
Valterra was spun off from Anglo American in May last year, and debuted on the London Stock Exchange early in June last year, while it retained its primary listing on the Johannesburg Stock Exchange.
The platinum producer said earnings got a boost from a 26% stronger PGM dollar basket price of $1,852 an ounce, as well as the delivery of R 5 billion operational cost reductions. These, it said, more than offset the impact of inflation and R 1.7 billion one-off costs related to the demerger.
Sales volumes were lower for the 12-month period as a result of the larger drawdown of excess work-in-progress and the significant flooding that occurred at the Amandelbult Tumela mine in the first half of 2025.
The impact of the flooding at Amandelbult was partially offset by the insurance proceeds received of R 2.5 billion, Valterra said.
Valterra also said earnings took a hit of R 1.9 billion, linked to non-recurring scrapping of assets related to the design and engineering work for the SO2 abatement plant at Mortimer Smelter and the Vaalkop Tailings Storage Facility due to it being replaced by the Blinkwater Tailings Storage Facility.
Headline EPS soared to between 5,941 cents and 6,588 cents, compared to 3,205 cents.
Shares in Valterra rose 3.8% to R 1,696.23 in Johannesburg on Friday, and were up 1.0% to 7,596.07 pence in London.
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