Tharisa Share Discussion Threads

[casholaa] 15/11/2022 15:43

Not much point in debate or singing and dancing. It's just a VIP departure lounge for now.

[tigerbythetail] 03/11/2022 19:45

www.theguardian.com/us-news/2022/nov/02/catalytic-converter-theft-ring-new-jersey

[moneyman50] 01/11/2022 13:28

Sotolo-a lot of people rely on dividends to fund everyday living expenses- there are too many companies that keep putting off paying dividends promising returns one day.
Ths has promised to distribute at least 15% of there post tax profit as dividends -to Welch on this with the cost of living crisis would not be honorable.

[loglorry1] 30/10/2022 13:26

A 9% coupon is OK. I thought it would be more. The ROI is much higher so a bit of gearing is OK.

[sotolo] 30/10/2022 11:58

Yes, but with rising rates we have to pay 9% for it. I for one would prefer no dividend and save the 9%. On another note hardly surprising PM’s are under such pressure when you can get 9% bond from a lovely company like ths

[lennonsalive] 28/10/2022 13:49

Market likes this

[loglorry1] 28/10/2022 13:38

$50m bond sale for Karo Pl mine. Has to be good news for THS as will reduce amount to come from equity.

[lennonsalive] 24/10/2022 12:23

Sad to hear of loss of life at the mine with a company that prides itself on health and safety

[moneyman50] 20/10/2022 16:05

Still here-whatever happens to the prices of PGM and chrome prices or new projects the share price seems to be stuck circa £1 despite a current p/e of circa 3,very healthy cash balances and dividend payouts.
Perhaps some major could make us a cheeky takeover price of £2 to £2.50 a share to get the shareprice moving-so dull at the moment and therefore little to comment on

[sotolo] 20/10/2022 09:14

Everyone has gone away again, no posts here this week and no trades at all so far today….

[dnair28] 14/10/2022 17:35

Yes, annual production is about 3x higher. I also like the diversification into Chromium.

[gotabsirius] 14/10/2022 17:04

One word...scale

[dnair28] 14/10/2022 16:58

I am mulling over the investment case here versus Sylvania Platinum? Any thoughts?

[nimrod22] 13/10/2022 13:13

Berenberg cuts Tharisa price target to 240 (250) pence - 'buy'

[sailing john] 13/10/2022 11:14

Indalo. See the latest presentation slides from this week which are on the Tharisa website and will answer all your questions and more.
SJ

[indalo] 13/10/2022 11:11

does anyone know what level of profitability is expected from Karo and what the ramp up time is? Things I have read are;

194,000 oz platinum pa at full production.
Current platinum price ~$890.

Expected mine life?
Expected production / distribution costs per Oz?
Production ramp up profile?

[sotolo] 12/10/2022 07:13

The dividend is pretty fixed at a bit above 15% of profits so likely to be as moneymaker says, that leaves them around 83% of profit for Karo etc

[jane deer] 11/10/2022 20:48

Dividend depends how much board want to risk with Karo financing. Gross cas $143m (net cash $78m) . THS indicated around $130m needed to fund THS's equity financing of Karo on last update (at end-March), when project cost was $310m and $120m was hoped to be debt financed. Since then the total project cost is only likely to have increased and the debt availability to have deteriorated.

What management hopefully will avoid is being too aggressive on divs etc, see the metal markets tank and then have to do an equity raise (in a weak market) to fund any overspend on Karo. I see Wednesday's ImC call is also titled as a Karo Update.

That said, if metal prices stay at current levels and production is on target, then definitely financing Karo and the dividend should be no problem.

[moneyman50] 11/10/2022 13:26

Very good set of figures-wonder what level of final dividend will be?
4c,5c or 6c-hopefully will be more towards 6c to make total dividend of 9c per share (exactly the same as last year).
Don’t think a 6c dividend would be unreasonable as cost circa $18 million dollars with net cash position of circa $80 million at 30th Sept and no longer reduction in profits due to BEE interest been converted to ordinary shares

[sailing john] 11/10/2022 11:15

Our CEO was interviewed by Ian King on Sky news this morning. Great exposure for our small miner!
GL SJ

[indalo] 11/10/2022 11:15

I agree on markets, and am also largely in cash. I would have thought that larger players will take a relatively sanguine view of the current market turmoil, which can only present long term opportunities. Tharisa must now be a serious bid target given long mine life, strong cash flows and extremely attractive valuation. A 100% bid premium still looks cheap unless you believe that their basket prices will fall dramatically and stay low for 5-10 years.

[tigerbythetail] 11/10/2022 11:08

I agree that the production report is good, and I've bought back in this morning on the back of it.
I still have major concerns about the wider markets - especially as regards rising interest rates worldwide (leading to EM crisis? major recession?) and the Russian invasion of Ukraine), so I'm limiting all my positions and keeping a lot of cash. But narrowly, as regards Tharisa, these are excellent numbers.

[sailing john] 11/10/2022 08:54

Better than expected PGM production and average prices in Q4

Updated my model that is pretty accurate now and I have an eps of 22.5p for 2H

Giving a FY eps of 36.6p and a Headline (inc Karo accounting uplift) of 52p (XR 1.11)

So PE sub 3 and yield above 5.5% (Headline PE around 2! with a positive outlook from Vulcan fine tuning and Karo development and possibly further £/$ weakening with the 2 Clowns we have running our country!!!)

$ earnings is the pace to be!

GL - SJ