JOHANNESBURG (miningweekly.com) – Diamond producer Trans Hex on Tuesday warned that it would swing to a net loss of R100.8-million for the financial year ended March 31, compared with a profit of R190.6-million in the prior financial year.
The loss after tax from continuing operations was likely to be R124.8-million for the year under review, compared with a profit of R169.1-million the year before.
Trans Hex expected to report a loss a share of 94.4c and a headline loss a share of 56.9c respectively for the 2016 financial year, compared with earnings a share of 181.1c and headline earnings a share of 78.6c in the prior year.
The diamond miner noted on Tuesday that diamond prices had declined by 23.5% during the financial year.
Trans Hex had incurred R55.1-million in impairment charges in respect of the Lower Orange River operations, compared with charges of R86.5-million the year before; a R13.6-million equity accounting loss from West Coast Resources; and a R15.8-million equity accounting loss from the Somiluana mine, in Angola.
The company’s results would be published on June 2.