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Amplats expects a swing to profit in 2013 FY

22nd January 2014

By: Natalie Greve

Creamer Media Contributing Editor Online

  

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JOHANNESBURG (miningweekly.com) – Anglo American Platinum (Amplats), which is currently finalising its results for the year ended December 31, 2013, expects headline earnings a share (HEPS) for the period to increase to a profit of between 480c and 590c, after posting a loss of 562c for the prior fiscal year.

The increase in HEPS would be primarily owing to higher sales volumes and a favourable rand:dollar exchange rate, which was partially off-set by weaker US dollar metals prices, a once-off restructuring cost of R15-million and a higher effective tax rate resulting from an additional provision for tax in respect of prior years. 

In addition, basic earnings a share for the period was expected to improve to a loss of between 495c and 605c, from a loss of 2 558c for the comparative prior period.

Basic earnings for the period included one-off items such as a R2.8-billion write down in the carrying value of various projects and other assets as a result of the implementation of the restructuring plans.

Earnings were further impacted by the loss on the acquisition of properties amounting to R833-million related to the Atlatsa Resources Corporation refinancing transaction.

Amplats would release its results on February 3.

Edited by Tracy Klückow
Creamer Media Contributing Editor

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