Anglo American Platinum 2020 Earnings Rise 64%, Production to Return to Prepandemic Levels in 2021

By Jaime Llinares Taboada

Anglo American Platinum Ltd. on Monday reported a 64% increase in basic earnings for 2020, and said production will return to precoronavirus levels this year.

The South African precious-metals miner--which is majority-owned by Anglo American PLC--achieved basic earnings of 30.3 billion rand ($2.06 billion) in 2020, up from ZAR 18.5 billion in 2019. Headline earnings were also ZAR30.3 billion, in line with the company's own guidance of ZAR27.8 billion-ZAR31.4 billion.

Refined production of platinum, palladium, rhodium, iridium, ruthenium and gold fell 42% year-on-year, but this was more than offset by stronger realized prices. Revenue rose 38% to ZAR137.8 billion.

The group declared an ordinary dividend of ZAR45.58 a share, up from ZAR27.60 in 2019, when it had also paid an special dividend of ZAR25.00.

For 2021, AA Platinum expects refined production to rise to prepandemic levels of 4.6 million-5.0 million ounces from 2.71 million in 2020, with unit costs of between ZAR11,000 and ZAR11,500 and ounce.

In addition, the company on Monday released an strategy update including targets to achieve carbon neutrality across scope 1 and 2 emissions by 2040, and a mining Ebitda margin of 35%-45% by 2030.

Write to Jaime Llinares Taboada at [e-mail]; @JaimeLlinaresT

(END) Dow Jones Newswires

February 22, 2021 01:50 ET (06:50 GMT)

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