Goldplat reports sharp rise in Q3 profit

20th May 2026 13:05

(Sharecast News) - Goldplat reported a sharp rise in third-quarter profit from its gold recovery operations and declared a £300,000 interim dividend on Wednesday, as higher gold prices and stronger volumes supported performance in South Africa and Ghana.

The AIM-traded mining services group said its two recovery operations generated combined operating profit of £3.86m for the quarter ended 31 March, compared with £694,000 a year earlier, excluding listing and head office costs, finance costs and foreign exchange movements.

Profit before tax, excluding listing and head office costs, rose to £3.43m from £769,000.

Goldplat's Ghanaian operation delivered a profit before tax of £806,000, compared with £784,000 a year earlier, supported by operational delivery and a higher, though fluctuating, gold price.

The company said it was investing £700,000 to improve recoveries and environmental management, of which £374,000 had already been incurred.

The South African operation reported profit before tax of £2.62m, compared with a £15,000 loss a year earlier.

Goldplat said performance was supported by stronger by-product volumes, once-off batches, solid recoveries from low-grade circuits and the higher gold price.

The company said visibility of supply for low-grade soils used in its milling circuits remained strong, with more than 12 months of material on site and more under contract.

Goldplat also said it was seeking to take greater control of the process for realising value from its South African tailings storage facility.

The facility has a 2016 JORC resource estimate of 81,959 ounces in 1.43m tonnes, but no feasibility or economic assessment has yet been completed.

The company said it planned to take ownership of the pipeline application, involve consultants on technical requirements and integration with DRD Gold's infrastructure, and update the JORC resource.

It said it expected to update the market with a revised resource by the end of October 2026.

In Brazil, Goldplat received its environmental permit in April and installed and commissioned spiral equipment that arrived in January.

The company said sourcing in South America remained ongoing, with material continuing to be sent to Ghana and South Africa for processing, while it evaluates how much can be handled locally in Brazil.

Goldplat declared an interim dividend of £300,000, to be paid on 12 June to shareholders on the register on 29 May. The shares will go ex-dividend on 28 May.

The board said it intended to continue assessing and distributing value to shareholders on a quarterly basis.

Group cash stood at £5.08m at the end of the quarter and had since increased to £9.16m.

Goldplat said the cash would mainly be used for working capital, capital requirements and future shareholder distributions.

Chief executive Werner Klingenberg said the operations continued to deliver excellent results, supported by increased volumes and a rising gold price.

"The focus continues to be on strengthening our control over the outcome on the TSF, maintaining and increasing market share, improving recoveries and margins in Ghana, unlocking potential in other precious metals in South Africa and maximising value from the current high gold price," he said.

At 1248 BST, shares in Goldplat were up 4.03% at 15.5p.

Reporting by Josh White for Sharecast.com.

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