South African mining giant doubles profits after being kicked to the curb by Anglo American
Valterra Platinum has seen its profit double following its unbundling from Anglo American last year.
Last year, Anglo American unbundled Valterra, then Anglo American Platinum, as part of a restructuring to stave off a takeover bid from BHP.
Anglo American decided to reduce its exposure to South Africa but kept Kumba Iron Ore. Anglo is also currently in advanced merger negotiations with Canada’s Teck Resources over a possible merger.
The demerger caused a massive capital outflow from South Africa. However, platinum group metals (PGMs) saw enormous price increases in 2025 amid supply constraints and questions over the transition to electric vehicles.
PGMs, which South Africa accounts for 80% of the world’s total supply, are primarily used in catalytic converters in cars with engines to minimise emissions.
‘2025 was a defining year for our company, with the successful demerger from Anglo American plc, our launch as Valterra Platinum, and our secondary listing on the London Stock Exchange,” said CEO Craig Miller.
While sales declined by 15% over the period, the group benefited from a 22% increase in rand price per ounce sold to R32,611.
Miller noted that the group’s EBITDA increased 68% to R33.4 billion, supported by a 22% increase in the rand basket price and R5 billion of additional cost reductions.
The group’s basic earnings rose to 117% to R15.4 billion over the period, while headline earnings rose 98% to R16.7 billion.
The group declared a final dividend of R11.5 billion, or R43 per share. This includes a R6.2 billion dividend, or R23 per share, which is 40% of headline earnings.
The group also declared a special dividend of R5.3 billion or R20 per share. The group’s total dividend for the year was R12 billion, or R45 per share, with a payout ratio of 71%.
The large payout to shareholders comes two years after the group announced a restructuring, where it laid off over 3,000 employees.
Key metrics | 2025 | 2024 | % Change |
|---|---|---|---|
| Fatalities | 2 | 3 | (33) |
| Total recordable injury frequency rate (TRIFR) | 1.48 | 1.67 | (11) |
| Metal-in-concentrate (M&C) PGM production (‘000 oz) | 3,201 | 3,553 | (10) |
| Sales PGM volumes (‘000 oz) | 3,454 | 4,078 | (15) |
| Rand basket price per PGM ounce sold | 32,611 | 26,695 | 22 |
| Revenue (R billion) | 116.3 | 109.0 | 7 |
| Basic earnings (R billion) | 15.4 | 7.1 | 117 |
| Basic earnings per share (R/share) | 58.72 | 26.83 | 119 |
| Headline earnings (R billion) | 16.7 | 8.4 | 98 |
| Headline earnings per share (R/share) | 63.48 | 32.05 | 98 |
| Net cash (R billion) | 11.5 | 17.6 | (35) |
| Dividend per share (R/share) | 45.00 | 71.75 | (37) |
| Total dividends (R billion) | 12.0 | 19.1 | (37) |
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