Sibanye Stillwater (SBSW) H2 2025 earnings summary

Executive summary

• 2025 marked a year of significant transformation, including leadership transition, a strategic refresh focused on simplification, operational excellence, and disciplined capital allocation.

• Achieved solid operational output and financial stability, with most operations meeting or exceeding guidance despite market volatility and complex financials.

• Major decisions included the staged ramp-up of the Keliber lithium project and a year-by-year approach to Kloof gold operations due to safety concerns.

• Sustainability initiatives advanced, notably in renewable energy and water stewardship, positioning the company as a leader in responsible mining.

• Addressed key legal and labor issues, including the Appian court case settlement and South African gold wage negotiations.

Financial highlights

• Headline earnings per share rose 281% to ZAR 2.44; adjusted EBITDA nearly tripled to just under ZAR 38 billion, a 189% increase year-over-year.

• Revenue increased 16% to ZAR 129.7 billion while costs declined 8%, driving a near 200% increase in adjusted EBITDA.

• Net debt to adjusted EBITDA improved from 1.77x to 0.59x; gross debt at ZAR 39 billion, net debt at ZAR 22.1 billion, with strong liquidity headroom.

• Dividend declared at ZAR 1.31 per share (2% yield), a 146% increase from the last dividend in 2023.

• Significant non-routine cash impacts included a $215 million Appian settlement and gold hedge losses.

Outlook and guidance

• 2026 guidance: Slight production decline in SA PGMs and gold due to life-of-mine profiles and Cooke output reduction; slight increase in US PGM output with ongoing cost reduction efforts.

• 2026 production guidance: SA PGM 1.65–1.75Moz, SA gold 13,700–14,700kg, US PGM 280–300koz, recycling 400–420koz gold equivalent.

• Keliber to produce 15,000–20,000 tons of spodumene concentrate; construction to complete in Q1 2026, with total expenditure guided at EUR 180–190 million.

• Century Zinc expected to have its last full production year in 2026.

• Growth capital plan for 2026 set at ZAR 3.7 billion, down from ZAR 9.4 billion in 2025.