Valterra Platinum (VAL) H2 2025 earnings summary

Executive summary

• Achieved a transformative year in 2025, completing the demerger from Anglo American, launching as an independent company with a secondary London listing, and establishing a new brand identity.

• Exceeded production and cost guidance, driven by higher PGM prices, operational excellence, and all assets contributing to progress.

• Delivered ZAR 18 billion in cost and capital savings over 24 months, surpassing targets and achieving significant efficiencies.

• Paid a total dividend of ZAR 12 billion, including a special dividend, representing 71% of headline earnings and reflecting strong free cash flow.

• Maintained industry-leading safety performance, with significant improvements in injury frequency rates.

Financial highlights

• Revenue increased 7% year-over-year to ZAR 116 billion, driven by higher PGM basket prices.

• EBITDA rose 68% year-over-year to ZAR 33 billion, supported by cost savings and a 26% stronger PGM dollar price.

• Ended the year with ZAR 11.5 billion net cash, a turnaround from ZAR 4.5 billion net debt at mid-year.

• Free cash flow reached ZAR 20 billion, up 22% from 2024.

• All-in sustaining cost was $987 per 3E oz, flat year-over-year and 13% lower than 2023.

Outlook and guidance

• 2026 CapEx expected at ZAR 17–18 billion, with ZAR 12.5 billion for sustaining capital.

• All-in sustaining cost guidance for 2026 is around $1,050 per 3E oz, assuming ZAR 17/USD.

• Targeting ZAR 1–1.5 billion in additional cost savings for 2027, with some benefits expected in 2026.

• Production guidance for own mines trimmed for 2027, focusing on value over volume and maintaining cost curve position.

• Maintaining disciplined capital allocation and investment in key projects.