2022 year in review

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Cash balance of

R1.3 billion

(2021: R972 million)

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Net cash generated from operating activities increased to

R1.7 billion

(2021: R1.2 billion)

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Revenue of

R7.9 billion

(2021: R8.1 billion)

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Headline earnings per share of

56.4 cents per share

(2021: 67.0 cents per share)

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EBITDA1 of

R2.1 billion

(2021: R2.4 billion)

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Ferrochrome sales volumes of

350kt

(2021: 394kt)

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Net profit of

R1.4 billion

(2021: R1.7 billion)

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Ferrochrome production of

384kt

(2021: 379kt)

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Fatalities

NIL

(2021: NIL)

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Total recordable injury frequency rate (TRIFR) of

2.40

(2021: 2.802)

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Final cash dividend of

13 cents per share

(2021: 22 cents per share)

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Average ferrochrome CIF price of

111 USc/lb

(2021: 108 USc/lb)

1 Earnings before interest, taxation, depreciation, amortisation and impairment
2 Restated from 2.75 to 2.80

Successes
  • Significant EBITDA
  • Excellent financial performance
  • No debt at Merafe and positive cash reserves
  • Nil fatalities and improved safety performance
  • Platinum Group Metals (PGMs) investment
  • Venture's continued response to COVID-19

Challenges
  • Electricity pricing and availability
  • Rail and port infrastructure
  • Community issues
  • Production costs
  • Safety
  • Global conflict and uncertainty
  • Recession and inflationary fears
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Positive performance or occurrence compared to prior year

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No change in performance compared to prior year

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Negative performance or occurrence compared to prior year

Our business model and strategy

The aim of our business model and strategy is to ensure that our ferrochrome interests are profitable and sustainable and that they add value to all our stakeholders. We achieve this by:

  • extracting chrome ore from the Venture's mines and beneficiating it in our smelters in a safe and cost-efficient manner;
  • investing in projects such as the Bokamoso and Tswelopele pelletising and sintering plants and the Lion ferrochrome plant phases I and II that improve the energy and cost efficiency of the Venture's ferrochrome operations;
  • employing the Venture's proprietary Premus technology to ensure that it is the lowest cost producer of ferrochrome in South Africa and, despite rising energy costs in South Africa, remains in the lowest quartile of the global ferrochrome production cost curve;
  • using the flexibility provided by the Venture's variety of technologies to meet changing operating circumstances and customer requirements; and
  • focusing on reducing costs at the operations and head office.
  • The Company may also consider acquisitions outside of ferrochrome on an opportunistic basis.

  • extracting chrome ore from the Venture's mines and beneficiating it in our smelters in a safe and cost-efficient manner;
  • investing in projects such as the Bokamoso and Tswelopele pelletising and sintering plants and the Lion ferrochrome plant phases I and II that improve the energy and cost efficiency of the Venture's ferrochrome operations;
  • employing the Venture's proprietary Premus technology to ensure that it is the lowest cost producer of ferrochrome in South Africa and, despite rising energy costs in South Africa, remains in the lowest quartile of the global ferrochrome production cost curve;
  • using the flexibility provided by the Venture's variety of technologies to meet changing operating circumstances and customer requirements; and
  • focusing on reducing costs at the operations and head office. The Company may also consider acquisitions outside of ferrochrome on an opportunistic basis.