Tharisa declares 33% lower dividend despite improved headline earnings

THARISA, the South Africa-based platinum and chrome mining company, paid a 33% lower dividend to 3 US cents (4.5 US cents) in the year to September 30, after production fell, but headline earnings improved marginally.

- EDWARD WEST

Reef mined increased 17.4% to 5.4Mt from 4.6Mt. PGM production fell by 4.7% to 138.3koz (thousand ounces) from 145.1koz in the previous year. Chrome concentrate production fell 8.2% to 1.56Mt compared with 1.7Mt in the previous year.

The share price nudged up 0.7% to R21.65 on the JSE Monday afternoon - a year before the share price traded at R16.40.

Revenue declined by 16.4% to $602.9 million. Operating profit was up 5% to $125.6m from $119.6m in the previous year. Earnings before interest tax depreciation and amortisation was up 5.5% to $187.3m. Headline earnings a share fell 2.1% to 27.5 US cents from 28.1 US cents.