Amplats profit plunges 46%

Johannesburg - Anglo American Platinum (Amplats) [JSE:AMS] expects output to return to pre-strike levels this year, the world's biggest platinum producer said on Monday, as it reported a 46% plunge in annual profit.

Amplats, the South African unit of global miner Anglo American [JSE:AGL] , is in the middle of a shake-up that includes selling-off underperforming assets as it struggles to recover from last year's five-month long strike.

The company said production of the metal used widely in auto catalysts was expected to be at least 2.3 million ounces in the year to end-December - which would be 22% higher than the 1.89 million ounces reported in 2014.

Amplats reported a 46% fall to 301 cents in headline earnings per share, largely in-line with what it had flagged. Earnings were hit by the strike and falling prices, it said.

Headline earnings per share strips out certain one-off items.
 
Platinum has fallen more than 20% since July last year, hit by weak demand from the beleaguered European market.

However, Amplats' chief executive Chris Griffith said prices of the metal were set to improve this year because supply was unlikely to materially increase in the next few years.

Shares in Amplats were 0.2% lower at R382.75 by 12:26, largely in line with the benchmark JSE Top-40 index.