Sylvania Platinum swings to profit despite disruption

23rd Aug 2013 15:28

Sylvania Platinum swung to a full year profit thanks to the sale of its iron ore assets last year.But the AIM-listed platinum group's production fell to 44,255 ounces from 45,735 ounces after its operations, all of which are in South Africa, were disrupted by labour disputes and safety stoppages on host mines as well as power outages.It said the immediate outlook for the platinum industry appeared "if anything, less certain than a year ago".Nonetheless, it expects group production for the coming year to rise to 51,000 ounces.Sylvania said: "The final few months in FY2013 saw production from operations recover and it is encouraging that despite the issues that occurred during the year, the ounces from the Sylvania plants alone grew by 507 ounces year-on-year and operations remained profitable."The company made a pre-tax profit of $5.4m in the year to June 30th compared with a loss of $2.5m in the previous year after it recognised a $9.9m profit on the sale of its iron ore asset Ironveld last year. There will not be a dividend payment.Shares in Sylvania were down 1.4% at 8.75p at 15:50 on Friday.TB