Sibanye-Stillwater Sees 216% Hike in Earnings as Metal Prices Rally

Sibanye-Stillwater reported a significant turnaround in its financial performance for the six months to end-June, driven by high precious metal prices. The company's headline earnings per share rose 216% year-over-year to 601c, while revenue increased 64% to R90bn. Adjusted EBITDA more than doubled to R31.8bn.

The price rally lifted the rand gold price by 35%, with the dollar PGM basket at the US operations gaining 70%. However, production volumes fell 2% and 2% respectively. The company's gross debt decreased 18% to R32.1bn, allowing it to declare an interim dividend of R2.01 a share.

Sibanye is expanding into cancer treatment metals through two new projects: Burnstone, a gold mine in Gauteng, and Mount Lyell, a copper and gold operation in Tasmania. The company aims to halve its gross debt within two to three years while funding new projects from internally generated cash.