Sylvania Platinum Share Discussion Threads

[otemple3] 30/6/2020 17:11

It's what shares do

[red5] 30/6/2020 17:10

Why Has this gone down

[nimrod22] 30/6/2020 16:11

# Trades 261
Vol. Sold 900,450
Sold Value £364.68k
Vol. Bought 1,230,826
Bought Value £498.48k

[red5] 30/6/2020 14:49

Why Has this gone down.

[mr stephens] 30/6/2020 13:49

I think I get where your going danger but prefer it in $

The basket price in q3 was $2038 up from 1872. The average basket price in q4 is 2011 according to Johnson M. So 8,000 ounces = 16.8m gross revenue. Assume costs of 600 per ounce would give an ebitda if $12m take tax off and net profit Will be $8.6m
They had $45m cash in bank less approx $8m in share buy back means they will still have around $45-50m
Also they had $9m of trade debtors so could be higher. Also no news yet on grasilly disposal which would bring in approx $9m
Pe for the year at this price is under 3 and cash represents nearly 50% of market cap
PGM prices are holding up and quote from the q3 update That SDO operations allow for a quicker start up than traditional mines

[dangersimpson2] 29/6/2020 14:50

Re: Q4 expectations, we have this guidance from the company:

Based on current information at hand and anticipated operational performance, the Group's PGM production is expected to be circa 68,000 ounces for FY2020. This is however dependant on the operations being able to resume as planned with no further delays.

Which means they should produce c8koz in Q4 since they produced 60koz Q1-3.

Q4 PGM pricing has been roughly similar to Q2 at maybe ZAR27k avg gross basket price down from the record highs in Q3.

This should give about ZAR150m Revenue + roughly ZAR10m for byproducts. Sales adjustments could be as much as -ZAR50m due to the fall in price and record Q3 production being sold at a lower value in Q4.

Assuming operating costs per ton of PGM plant feed is similar to Q3 then costs will be cZAR85m but could be higher because presumably there are economies of scale here. Admin costs cZAR9m for the quarter would be normal.

So we have about ZAR16m EBITDA, but this will reduce to break even after depreciation, tax and interest, on what could be considered an optimistic cost scenario.

It is certainly possible that they post a loss in Q4, and I'm not sure the market has priced this in at all yet, so those eagerly expecting the Q4 report may get a shock when it arrives.

With the strengthening of the ZAR then the cash balance in $ should go up slightly to $47m but offset by any FCF losses in Q4.

The key to understanding future valuations is what production they can maintain with more limited fresh arisings. I'd guess at about 60koz for FY21 giving about $30m EBITDA for the year at current PGM prices, but future production guidance usually comes with FY results not Q4 production, so we won't know for a while.

This isn't necessarily a bad outcome but again not sure the market will look at it this way given that they did greater EBITDA than that in Q3 alone this year. FY19 was a $30m EBITDA year and the price traded between 16-30p that year, although the cash was only around $20m at that time.

[plat hunter] 29/6/2020 13:35

It is yes but now you can add covid to that threat too.Chrome operations have been shutting up shop all across south Africa for the last 2 years. JLP bought Platcro and Dilikong practicaly in care and maintenance.The perceived risk perhaps maybe that without a mine there is no tailings.

[ddubzy] 29/6/2020 13:28

Is that report not from January?

[plat hunter] 29/6/2020 13:26

Https://www.google.com/amp/s/amp.ft.com/content/3c36296c-3dd3-11ea-b232-000f4477fbca

[martinfrench] 29/6/2020 13:22

does anybody understand this share ?

on paper best in my portfolio, in reality worst.

[maxplus2] 28/6/2020 21:57

What's the expectation of the quarterly report?

[otemple3] 23/6/2020 17:01

No, it says the quarterly report to June 30th will be released in July. End of July as per usual

[risa5] 23/6/2020 14:35

From SLP website, Quarterly report: 30 June 2020

[basem1] 23/6/2020 14:32

That update is still a month away Unless you know something I don't

[risa5] 23/6/2020 14:30

Q4 report next week should have info about dividend.

[davebowler] 21/6/2020 16:18

hTTps://www.thisismoney.co.uk/money/cars/article-8442715/Beware-new-burglars-metal-cars-catalytic-converter.html

[nimrod22] 19/6/2020 18:34

hxxps://www.spglobal.com/marketintelligence/en/news-insights/latest-news-headlines/china-s-platinum-demand-sees-positive-signals-from-auto-jewelry-sectors-58738434

[kaos3] 19/6/2020 12:52

bought in a still market. good for accumulation

[book5] 09/6/2020 12:55

Markets weaker and battery cars with strong publicity are not helping.
Testing times, if we are at the bottom of the channel we should recover from here
Good luck

[arshadte] 09/6/2020 10:23

I can get a quote online. However you are right volume has def picked up.

[mrx001] 09/6/2020 09:41

Feeling quite optimistic about these, have just doubled my holding. Interestingly no online quotes available, however broker was able to purchase them without too much trouble. Time will tell.

[davebowler] 07/6/2020 19:20

hTTps://www.thisismoney.co.uk/money/investing/article-8394961/How-investors-taking-shine-precious-metals.html