Sibanye Stillwater (US:SBSW)2024-09-12 13:24Financial Performance & Restructuring - H1 2024 saw a basic loss of R75 billion (US$397 million) and headline earnings of R137 million (US$7 million)[21] - US PGM operations faced an impairment of R75 billion (US$401 million) due to lower palladium price assumptions[21, 26] - A new restructuring of US PGM operations is initiated to reduce annual production by approximately 200,000 2E ounces from 2025, targeting a 40% reduction in absolute US$ AISC[19, 54] - SA gold operations production declined by 17% to 10,703 kg (344,109 oz), with AISC 18% higher at R1,251k/kg (US$2,078/oz)[28, 41] Balance Sheet & Liquidity - The company increased balance sheet strength and liquidity by > R25 billion/US$14 billion through various initiatives[15] - Net debt: adjusted EBITDA stood at 143x[15, 21] - Gross debt was R342 billion (US$19 billion), 9% lower than at 31 Dec 2023, with cash and cash equivalents of R155 billion (US$08 billion)[21] - Liquidity headroom of R394 billion (US$21 billion) consists of R155 billion (US$08 billion) cash and R239 billion (US$13 billion) undrawn facilities[29, 64] Operational Performance - SA PGM operations achieved 4% higher 4E PGM production of 878,606 4Eoz, but adjusted EBITDA was 60% lower due to a 28% decline in PGM basket prices[38] - US PGM operations saw a 16% increase in 2E mined PGM production to 238,139 2Eoz and a 23% decline in AISC to US$1,343/2Eoz, but the average 2E PGM basket price declined 30% to US$977/oz[52] - Century zinc operation produced 42kt of payable zinc metal, with AISC improving by 8% to US$2,228/tZn compared to H1 2023[48] Strategic Initiatives & Outlook - Keliber lithium project is progressing, with capital forecast for 2024 reduced to €300 million due to timing factors[45, 60] - The company is targeting a BEV growth to 42% share by 2033[12, 71]