Implats issues profit warning statement

Johannesburg - Impala Platinum (Implats) [JSE:IMP] issued a profit warning statement on Monday to say that earnings for the year to June 30 2016 will be much lower than the prior year.

The platinum miner, with operations in several countries including Zimbabwe, said in a trading statement  that headline earnings per share (Heps) for the period is expected to be between 9 cents and 16c - 56% to 75% - lower than the previous year's number.

The basic loss per share is however expected to be at 7c to 12c, against a loss of 603c in the prior comparative year.

The miner attributed the decline in Heps to lower rand metal prices.

"The main reason for the decrease in Heps for the year to June 2016 is lower rand metal prices which were offset to some extent by increased volumes and stringent cost control," said Implats.

The company explained that the difference between Heps and basic loss per share for the year to June 2016 is primarily due to the impairment of mechanised sections of 12 shaft, which was closed in December 2015.