CEO’s commentary on results

With a challenging operational environment and uncertainty fuelled by year-long trade wars which have affected both the global demand for and pricing of our products, Merafe has produced an underwhelming set of financial results for the 2019 financial year. Industry dynamics led to market supply exceeding demand and resulted in lower realised CIF ferrochrome prices. The loss after tax is a deterioration from a profit in the prior year and arose mainly as a result of low commodity prices, an impairment loss on property, plant and equipment, impairment of inventory and an increase in standing charges. A total cash dividend of R100 million has been declared for the year ended 31 December 2019.

2019 year in review


24% improvement in
TRIFR to 2.56
 (2018: 3.39)


9% decrease in
ferrochrome production to

(2018: 407kt)


Headline loss per share of 1.8 cents (2018: headline earnings per 
share of 27.2 cents)


Basic loss per share of
54.2 cents
(2018: basic earnings per share
of 27.2 cents)