Harmony Gold posts FY loss as output falls, costs rise

by Reuters 0

Photo: Wikipedia.

South African bullion producer [DATA HAR:Harmony Gold Mining Co] said on Tuesday it had fallen into a full-year loss as operational costs rose 6 percent and production fell 8 percent.

The company, which is currently in protracted wage talks with unions that could result in a strike, said its headline loss per share for the year to end June was 189 cents versus earnings of 26 cents last year.

A Reuters poll had forecast a wider loss of 223 cents per share.

South Africa’s entire gold industry is being squeezed by falling prices and production, and rising costs.

Harmony did manage to post quarterly earnings, with headline earnings of 44 cents a share, rebounding from a loss of 60 cents a share in the previous quarter, as production and sales for the three-month period climbed.