Amplats predicts a 20% decline in earnings

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The company predicts a 20 per cent decrease in comparison to last year’s results.

[DATA AMS: Anglo American Platinum] reported headline earnings of 1,451 million rand and HEPS of 5.56 rand for the period ended 31 December 2013.

“The decrease in headline earnings and HEPS is primarily due to the impact of the five month industrial action which impacted on operational performance,” said Anglo American.

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The company, however, estimates a 20 per cent increase in basic earnings and basic earnings per share (EPS) from the previous 12 months ended 31 December 2013. Basic earnings for the comparative period were at a loss of 1,370 million rand and EPS was at 5.25 rand.

“Basic earnings for the period include a gain of 243 million rand arising on the final phase of the refinancing transaction with Atlatsa Resources Corporation and the scrapping of assets of 257 million rand, after tax and minority interest, following the closure of the Union Mine south decline section,” said the company.

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The results of year ended 31 December 2013 included the scrapping of assets of 2,026 million rand as well as an 833 million rand loss as a result of the acquisition of properties as part of the refinancing transaction with Atlatsa Resources Corporation.

Anglo American is set to release the results of the 12 months ending 31 December 2014 on 9 February 2015.