Pan African Resources Company Research (PAF)

Almost exactly half way through its financial year, Pan African has reiterated its production guidance for FY25 of 215,000oz – not least as a result of c 9,000oz gold produced at MTR in H125 following a seamless ramp-up process that has proceeded ahead of schedule since commissioning in early October. As a consequence, we have revised our production expectations for FY25 up by 3,130oz (1.5%), although we have revised our normalised headline EPS (HEPS) expectations down by a modest 4.2% to reflect lower margin initial start-up production supplanting established, steady-state production from Evander and Barberton and the recent 3.0% strengthening of the rand against the US dollar. Note that production in H225 is expected to be 44.6%, or 38,590oz, higher than in H125. Guidance for FY26 was exactly in line with our prior expectations.