Last checked at 27 Mar 2013 07:00
SYLVANIA PLATINUM LIMITED
("Sylvania Platinum", "Sylvania" or the "Company")
(AIM: SLP)
Interim Results
Sylvania Platinum, the low cost Platinum Group Metal processor and developer, today announces its audited interim results for the six months ended 31 December 2012.
For the full set of results, please see the following link http://www.rns-pdf.londonstockexchange.com/rns/9761A_-2013-3-27.pdf.
Financial and operational
·; Sylvania Platinum Group Earnings Before Interest, Tax, Depreciation and Amortisation ("EBITDA") (Including Iron ore disposal) $10,918,477
o Sylvania dump operations ("SDO") maintain a positive EBITDA of $3,830,200 for the half year ended 31 December 2012 despite extensive industrial action
·; Chrome Tailings Retreatment Plant placed on care and maintenance during the reporting period
·; Tweefontein produced first ounces in September 2012
Corporate
·; Disposal of iron ore assets completed and $10 million dividend in specie distributed to Sylvania shareholders
Post period
·; Appointment of Mr Stuart Murray as Chairman of Sylvania, effective 1 April 2013
·; New dividend policy announced
Commenting today, Sylvania Platinum CEO Terry McConnachie, said: "2012 has been a challenging year for miners due to extensive industrial action not least those operating in the platinum industry in South Africa. Despite this I am extremely encouraged by the progress Sylvania has made during this period. The Company disposed of its iron ore asset and the proceeds were distributed to the shareholders in full. We have maintained our positive earnings of $3.8 million in SDO for the half year and continued to grow with Tweefontein, our seventh plant producing its first ounces in September 2012. In addition to this, we have managed our existing capital well and implemented cost cutting measures across the group to focus on driving profitability.
"Following the departure of Richard Rossiter, we are delighted to have bolstered our platinum expertise with the arrival of Stuart Murray as chairman, who brings with him a wealth of experience in this area and we look forward to him starting in April.
"Post period we have announced a new dividend policy which is in line with our strategy to move away from intensive capital investment to focus on creating shareholder value and returning surplus cash to shareholders. The first of these payments is targeted for December 2013."
The following financial figures are supplied for comparison purposes and we refer you to the full set of results as per the link above (which are audited figures).
Consolidated Statement of Comprehensive Income
for the half year ended 31 December 2012
31 December 2012 | 31 December 2011 | ||
$ | $ | ||
Revenue | 19,181,371 | 23,646,602 | |
Cost of sales | (19,388,949) | (16,329,793) | |
Gross (loss)/profit | (207,578) | 7,316,809 | |
Other income | 20,188 | 46,925 | |
Profit on disposal | 9,999,314 | - | |
Losses on sale of property, plant and equipment | (1,788) | (6,842) | |
Foreign exchange loss | (6,898) | (11,506) | |
Impairment of available-for-sale financial assets | (18,031) | (536,150) | |
Loss on revaluation of financial assets at fair value through profit and loss | 8,310 | (20,642) | |
Share of equity accounted jointly controlled entities net loss | (123,909) | (463,908) | |
General and administrative costs | (2,900,803) | (5,156,280) | |
Finance revenue | 205,320 | 581,170 | |
Finance costs | (70,938) | (37,896) | |
Profit before income tax expense1 | 6,903,187 | 1,711,680 | |
Income tax expense | (34,581) | (1,264,473) | |
Profit for the period | 6,868,606 | 447,207 | |
Other comprehensive (loss)/ income | |||
Items that may be reclassified subsequently to profit and loss: | |||
Unrealised gains reserve | - | 195,114 | |
Foreign currency translation | (1,347,593) | (19,135,231) | |
Other comprehensive (loss)/ income | (1,347,593) | (18,940,117) | |
Total comprehensive income/(loss) for the period | 5,521,013 | (18,492,910) | |
Profit attributable to: | |||
Owners of the parent | 6,868,606 | 447,207 | |
Non-controlling interest | - | - | |
6,868,606 | 447,207 | ||
Total comprehensive profit/(loss) attributable to: | |||
Owners of the parent | 5,521,013 | (18,492,910) | |
Non-controlling interest | - | - | |
5,21,013 | (18,492,910) | ||
Profit per share attributable to the ordinary equity holders of the Company: | Cents | Cents | |
Basic earnings per share | 2.29 | 0.15 | |
Diluted earnings per share | 2.19 | 0.15 | |
1Reconciliation of Group EBITDA:
31 December 2012 | 31 December 2011 | |
$ | $ | |
Profit before income tax expense | 6,903,187 | 1,711,680 |
Add: Depreciation | 4,149,672 | 3,868,346 |
Add: Finance costs | 70,938 | 37,896 |
Deduct: Finance revenue | (205,320) | (581,170) |
Earnings before interest, tax, depreciation and amortisation | 10,918,477 | 5,036,752 |
Consolidated Statement of Financial Position
as at 31 December 2012
31 December 2012 | 31 December 2011 | 30 June 2012 | ||
$ | $ | $ | ||
ASSETS | ||||
Non-Current Assets | ||||
Equity accounted investments in joint ventures | 2,065,322 | 2,087,667 | 2,048,635 | |
Other financial assets | 1,635,670 | 133,811 | 93,235 | |
Exploration and evaluation assets | 76,698,479 | 73,965,395 | 75,602,341 | |
Property, plant and equipment | 69,041,891 | 63,395,641 | 68,492,697 | |
Total non-current assets | 149,441,362 | 139,582,514 | 146,236,908 | |
Current Assets | ||||
Cash and cash equivalents | 9,515,793 | 19,932,568 | 15,696,899 | |
Trade and other receivables | 12,591,677 | 16,032,086 | 12,942,343 | |
Inventories | 565,298 | 517,922 | 596,719 | |
Current tax asset | 303,836 | 2,243,234 | 403,527 | |
Assets held for sale | - | - | 1,343,889 | |
Total current assets | 22,976,604 | 38,725,810 | 30,983,377 | |
Total assets | 172,417,966 | 178,308,324 | 177,220,285 | |
EQUITY AND LIABILITIES | ||||
Shareholders' equity | ||||
Issued capital | 29,542,290 | 29,639,275 | 29,557,290 | |
Reserves | 87,256,943 | 95,661,960 | 98,204,246 | |
Retained profits | 23,347,263 | 20,897,667 | 16,478,657 | |
Equity attributable to the owners of the parent | 140,146,496 | 146,198,902 | 144,240,193 | |
Non-controlling interest | - | - | - | |
Total equity | 140,146,496 | 146,198,902 | 144,240,193 | |
Non-current liabilities | ||||
Interest bearing loans and borrowings | 268,064 | 209,478 | 256,063 | |
Provisions | 1,267,521 | 832,501 | 1,257,235 | |
Deferred tax liability | 22,814,069 | 26,241,338 | 23,623,156 | |
Total non-current liabilities | 24,349,654 | 27,283,317 | 25,136,454 | |
Current liabilities | ||||
Trade and other payables | 7,729,952 | 4,692,123 | 7,623,192 | |
Interest bearing loans and borrowings | 182,846 | 124,584 | 174,654 | |
Current tax liability | 9,018 | 9,398 | 9,317 | |
Liabilities directly associated with the assets classified as held for sale | - | - | 36,475 | |
Total current liabilities | 7,921,816 | 4,826,105 | 7,843,638 | |
Total liabilities | 32,271,470 | 32,109,422 | 32,980,092 | |
Total liabilities and shareholders' equity | 172,417,966 | 178,308,324 | 177,220,285 | |
Consolidated Statement of Cash Flows
for the half year ended 31 December 2012
| 31 December 2012 | 31 December 2011 | |
| $ | $ | |
Cash flows from operating activities | |||
Receipts from customers | 18,466,878 | 24,650,825 | |
Payments to suppliers and employees | (16,540,619) | (17,591,180) | |
Finance income | 212,004 | 581,845 | |
Finance costs | (20,207) | (37,896) | |
Taxation received/(paid) | 52,494 | (176,825) | |
Net cash inflow from operating activities | 2,170,550 | 7,426,616 | |
Cash flows from investing activities | |||
Purchase of plant and equipment | (6,823,282) | (6,196,747) | |
Proceeds from sale of property, plant and equipment | - | 13,816 | |
Payments for exploration and evaluation | (608,128) | (2,012,549) | |
Payments to equity accounted associate | (206,500) | (182,613) | |
Net cash outflow from investing activities | (7,637,910) | (8,378,093) | |
Cash flows from financing activities | |||
Repayment of borrowings | (21,217) | (60,725) | |
(Payments)/Proceeds from loans from related parties | (398,578) | 2,157 | |
Net cash outflow from financing activities | (419,795) | (58,568) | |
Net decrease in cash and cash equivalents | (5,887,155) | (1,010,045) | |
Cash and cash equivalents at the beginning of reporting period | 15,716,680 | 23,497,092 | |
Effect of exchange fluctuations on cash held | (313,732) | (2,554,479) | |
Cash and cash equivalents at the end of the reporting period | 9,515,793 | 19,932,568 |
CORPORATE INFORMATION
Registered office: Sylvania Platinum Limited
Clarendon House
2 Church Street
Hamilton HM11
Postal address: PO Box 524
Wembley WA 6913
Australia
CONTACT DETAILS
For further information, please contact:
Terence McConnachie (CEO)
Nigel Trevarthen (Deputy CEO)
+27 (11) 673 1171
Nominated Adviser and Broker
Liberum Capital Limited
Michael Rawlinson/Tom Fyson/Christopher
Kololian
+44 (0) 20 3100 2000
Communications
Newgate Threadneedle
Graham Herring/Beth Harris
+44 (0) 20 7653 9850
Sylvania Website: www.sylvaniaplatinum.com