The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
London South East prides itself on its community spirit, and in order to keep the chat section problem free, we ask all members to follow these simple rules. In these rules, we refer to ourselves as "we", "us", "our". The user of the website is referred to as "you" and "your".
By posting on our share chat boards you are agreeing to the following:
The IP address of all posts is recorded to aid in enforcing these conditions. As a user you agree to any information you have entered being stored in a database. You agree that we have the right to remove, edit, move or close any topic or board at any time should we see fit. You agree that we have the right to remove any post without notice. You agree that we have the right to suspend your account without notice.
Please note some users may not behave properly and may post content that is misleading, untrue or offensive.
It is not possible for us to fully monitor all content all of the time but where we have actually received notice of any content that is potentially misleading, untrue, offensive, unlawful, infringes third party rights or is potentially in breach of these terms and conditions, then we will review such content, decide whether to remove it from this website and act accordingly.
Premium Members are members that have a premium subscription with London South East. You can subscribe here.
London South East does not endorse such members, and posts should not be construed as advice and represent the opinions of the authors, not those of London South East Ltd, or its affiliates.
I believe the results will be out on 22nd, Investor Meet Company live presentation is on 23rd.
hTTps://www.investormeetcompany.com/
Definitely 23rd February @ 4pm (not 22nd)
https://www.biznews.com/briefs/2021/02/16/platinum-surge
https://www.economies.com/commodities/platinum-analysis/platinum-turns-green-%E2%80%93-analysis-%E2%80%93-16-2-2021-79374
https://www.fxempire.com/forecasts/article/a-new-commodity-super-cycle-is-here-whats-next-for-prices-700513
Investor Meet Company live presentation:
Interim financial results for the six months ended 31 December 2020 which will start at 23rd Feb 2021 at 4:00pm GMT.
Worth booking yourself on.
again today - having been steady for the past 5 trading days. Up from $16,700 to $17,400 / oz - Baird bid prices.
Sylvania Platinum Limited (AIM: SLP) will announce its interim financial results for the six months ended 31 December 2020 on Monday 22 February 2021.
Sylvania Platinum Limited (AIM: SLP) will announce its interim financial results for the six months ended 31 December 2020 on Monday 22 February 2021.
February 28th ladies :) Let's goooo.
I would add, for a mining company, WHEN to invest as being of upmost importance. Peter Hambro might be able to help out on this question, if he has learnt his lesson!
Fly high my beauty, fly high, up to the £2 mark way up in the sky.
Let’s take £1.20 today :)
Have to watch too much excess cash held with currency risk.
Companies have 3 major finance decisions to make : where to invest ; how to finance ; and finally their dividend decision. Clearly SLP now have more than enough to run the business vs their expectations in the August 2020 corporate presentation. There are also tailwinds in demand, Q4 production recovery, PGM pricing & currency. I expect a decent but not excessive ‘ windfall ‘ payment. 5cents would be appropriate.
That headline is back again!
Rhodium at $22,300/oz this morning (JMAT).
Platinum at $1,300/oz as well.
I'm here for the jackpot :)
I guess though that the windfall dividend at say 1.6p would have given double the return at the share price at the time of its announcement to the price now. Personally I am not worried about a dividend as it comes off the share price anyway and am much more interested in continued share price appreciation. Consequently I am much more interested in their future plans and the impact on the share price than getting 1.6p in cash and the share price going down by that thus making me net zero.
HunSen thank you for that analysis. My comments earlier were referring to the windfall dividend alone rather than the annual one. If you are correct at 1.6p, then even my lower figure if 3p looks optimistic. Considering the amount of cash being generated, 1.6p doesn't feel like much of a windfall. I had the impression the windfall dividend was to be a one off, separate payment from the annual dividend,hence the figures I talked about. If it is as low as 1.6p my original concern stands that the share price will be punished by the market as a result. Not long to wait now until we find out.
The board upset shareholders 6 months ago with an ultra conservative dividend. I don't think they will make the same mistake again. I reckon the special dividend will be 5 to 10 cents.
5cents really should be the minimum, that's only $14m out of a cash balance which must be approaching $100m
Ricardofin, I have been looking into dividends with the help of someone in one of my investment groups, and there is some guidance in the last annual report;
"That said, the Directors have decided to examine the possibility of payment of a ‘metal price windfall dividend’ to be paid in HY2 FY2021, to be based on any excess cashflow generated from palladium and rhodium prices achieved above long-term broker consensus prices for these metals for the 2020 calendar year. Such a distribution will take into account the actual production achieved, the actual prices achieved, and the actual ZAR exchange rate achieved. Any windfall will take into account its share of royalties and corporate tax, dividend withholding tax. I stress that any windfall will be calculated on an
“achieved basis” and we aim to pay this in Q3 of 2021."
So reading that criteria and looking at the "actuals" achieved in the period, the windfall dividend may be around £4.5m / 272m shares is 1.65p (special). That seems to fit with the forecast total dividend of 4.5p total (last years dividend was 1.6p).
I see talk of a 5p windfall dividend, while that sounds great, that is £13.6m or (if you include a progressive regular dividend) at 2.85p it comes to £21.3m. I'm not so sure that will happen.
The criteria is outlined in the last annual report, in the latest update, they say, "The Group remains debt free and continues to maintain strong cash reserves to allow for funding of capital expansion and process optimisation projects; the safeguarding of our employees during these times of uncertainty; upgrading our exploration and evaluation assets and returning value to all stakeholders."
I go along with the estimate for the special dividend at 1.6p. The regular dividend isn't due until October.
I am hoping though that the management outline their plans for the remaining cash.
ALB
a witness? :)
Having a clear out. I used to print out and keep all my transactions. Looking back, I've been in this share for over 4 years now. Sold half my stake @ 14.8p and a large chunk in the low 30s. Entirely out now as I need the cash. Interesting looking back on all of these and where they are now.
Almost all that are higher than when I traded out of them were cash-generative at the time. Many of those that weren't are either languishing way below or no longer with us.
Hi Tricky!
Yes and no.
The cash pile is mostly in rand, so the value of that (in £ or $) will be growing. That's good.
But SLP's production costs are mostly in rand and its revenue in dollars. So that's not so good.
Significant Rand strength over recent days building on momentum should assist .
Rhodium back at $21,900 / oz (JMAT), equalling its all-time high.
Iridium holding at $4,400 / oz, also its all time high. (But I think this will go to $10,000 / oz and beyond in due course, due to its unique properties as a catalyst for green hydrogen manufacture).
Platinum still rising at $1,275 / oz as well (Kitco).
I would hope that they are having a serious look at their power supply!!
It doesn't need to be a choice between the two. There is enough cash in the bank for both a significant dividend and significant capex investment.
I'd rather the surplus would be put to good use, such as developing the company further, than returning the cash to shareholders. Given the excellent returns to date, this would be my preferred option.
Not that I would mind a dividend, but why can't this surplus go towards a mild expansion of their (brilliantly run) operations?