Valterra Platinum's share price rises sharply despite forecasted earnings plunge

VALTERRA Platinum, formerly Anglo American Platinum, directors said lower platinum group metal (PGM) production and demerger costs were the reasons for their expectation that headline earnings a share (HEPS) will decrease between 76% and 88% for the six months to June 30.

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Despite the sharply lower earnings forecast, Valterra’s share price surged 7.24% to R898.20 on Friday afternoon, bringing its gain in 12 months to over 47%. The increase was in line with a sharp 4.28% increase in the JSE Precious Metals & Mining Index at the same time. The share' gain might also be reflecting the basket price increase of over 30% for PGMs, year-to-date.

The group, which completed its demerger from Anglo American only this month, said in its first independent trading statement that HEPS would likely be between 305 cents and 590 cents a share, when compared with 2 456 cents a share in the prior period.

"The repair and recovery work at Amandelbult has progressed well and in line with our expectations. Dishaba Mine and Tumela Upper restarted in April and Tumela lower was recommissioned in June 2025 and remains on track to be at steady state in the third quarter,” said Valterra Platinum CEO Craig Miller.

The full interim results, which are expected to be released on July 28, 2025, will likely report headline earnings at between R0.8 billion and R1.6bn, compared with R6.5 bn in the prior period.