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Johannesburg - Northam Platinum [JSE:NHM], one of South Africa's smaller platinum producers, posted lower full year headline earnings as expected on Thursday because of the impact of a crippling strike and said rising costs remained a concern
The group said its headline earnings per share, the main profit gauge in South Africa, fell almost 50%t in the year to end-June to 89.5c from 177.8c in the previous year.
This came as no surprise because the group had already told the market it expected headline earnings of between 80c and 110c per share because of a six-week strike which saw production in the first half of the year fall 33 percent to around 116 000 ounces.
The company, which produces around 300 000 ounces of platinum group metals (PGM) a year, is dwarfed by rivals such as Anglo Platinum [JSE:AMS]. But with current high commodity prices its production is still monitored by market players.
Northam said work at its Booysendal project remained on track with production expected to start in the third quarter of 2013.
Rising costs remained a concern and would affect the group's profitability, the company said.
The group said its headline earnings per share, the main profit gauge in South Africa, fell almost 50%t in the year to end-June to 89.5c from 177.8c in the previous year.
This came as no surprise because the group had already told the market it expected headline earnings of between 80c and 110c per share because of a six-week strike which saw production in the first half of the year fall 33 percent to around 116 000 ounces.
The company, which produces around 300 000 ounces of platinum group metals (PGM) a year, is dwarfed by rivals such as Anglo Platinum [JSE:AMS]. But with current high commodity prices its production is still monitored by market players.
Northam said work at its Booysendal project remained on track with production expected to start in the third quarter of 2013.
Rising costs remained a concern and would affect the group's profitability, the company said.
