Production update and trading statement for the year ended 30 June 2022

(Incorporated in the Republic of South Africa)
(Registration number 1957/001979/06)
JSE share code: IMP
ISIN: ZAE000083648
(“Implats” or “the Group”)

30 JUNE 2022

Implats will release its audited results for the year ended 30 June 2022 (“the period” or
“FY2022”) on or about 1 September 2022.


Implats navigated several operational challenges during the period. Extended safety
stoppages, intermittent industrial action and power-supply interruptions at Impala Rustenburg
had a notable impact on production, while ongoing supply-chain constraints hampered
operational continuity at Impala Canada. Marula delivered a record performance in the period,
while Zimplats sustained production levels despite a complex operating environment and
increased project activity.

The Group recorded a 3.6% decline in gross concentrate volumes to 3.17 million 6E ounces
from 3.29 million 6E ounces for the year ended 30 June 2021 (“the comparative period”). This
includes a 4.3% decrease in concentrate production to 2.27 million 6E ounces from managed
operations and a 2.1% decrease in concentrate production to 550 000 6E ounces from joint
ventures. Concentrate receipts from third parties declined by 1.8% to 351 000 6E ounces.

Gross refined volumes (including saleable production from Impala Canada) were impacted by
lower concentrate production and the extended maintenance required on the Number 3
Furnace at Impala Rustenburg. Consequently, gross refined volumes declined by 5.6% to 3.09
million 6E ounces. Refined volumes in the comparative period benefitted from increased
availability of processing capacity due to the timing of annual processing maintenance.

Sales volumes of 3.15 million 6E ounces benefitted from some destocking of refined inventory
to take advantage of firmer PGM pricing in H2 FY2022 and to offset the impact of the extended
furnace maintenance. Revenue per 6E ounce sold is expected to decline by 4.5% to R37 703
per ounce, reflecting the impact of weaker dollar pricing for our primary products.

Group capital expenditure is expected to increase to circa R9.1 billion from R6.4 billion in the
comparative period. This is due to accelerated project spend at Zimplats and Group processing
assets, together with an overall increase in capital spend across the operations. Spend in the
comparative period was constrained by Covid-19-related factors.
Group unit costs per 6E ounce are expected to increase to circa R17 364 on a stock-adjusted
basis. Inflationary pressures were compounded by lower production volumes and the payment
of the previously signalled discretionary employee bonus in recognition of the Group’s strong
financial performance in FY2021.
                                                        Unaudited 12    Unaudited 12
                                                            months          months
                                                          June 2022       June 2021             %

 6E Concentrate production                      000oz          3 172           3 292         -3.6
         Managed operations                                    2 271           2 373         -4.3
           Impala                                              1 174           1 291         -9.1
           Zimplats                                              589             590         -0.1
           Marula                                                259             231         12.1
           Impala Canada                                         249             260         -4.2
         JV operations                                           550             561         -2.1
           Mimosa                                                246             261         -5.6
           Two Rivers                                            303             300          1.0
         Third-party purchased                                   351             358         -1.8

 6E Refined production#                         000oz          3 087           3 271          -5.6
 6E Sales volumes                               000oz          3 147           3 274          -3.9
 Revenue per 6E ounce sold                      R/oz          37 703          39 478          -4.5
 Group unit cost per 6E ounce stock adjusted    R/oz          17 364          14 840         -17.0
# Includes saleable ounces from Impala Canada

The information noted under this heading “Production Update” has not been reviewed nor
reported on by the Group’s external auditors.


With reference to the Listings Requirements of the JSE Limited, issuers must publish a trading
statement on SENS as soon as they become reasonably certain that the financial results for
the period to be reported on will differ by at least 20% from those of the previous corresponding
reporting period.

In the comparative period, basic earnings of R47.0 billion and earnings per share (“EPS”) of
5 996 cents, benefited from the reversal of impairment losses on property, plant and equipment
and the prepayment of royalties of R10.6 billion, or 1 352 cents per share (post tax). As a result
of this once-off credit to basic earnings, Implats’ basic earnings for the period are expected to
decrease by between 29% and 35% to be between R30.5 billion and R33.5 billion and EPS
for the period is expected to decrease by between 33% and 39% to be between 3 669 cents
and 4 030 cents per share.

The impairment reversals in the comparative period were excluded from headline earnings and
headline earnings per share (“HEPS”). As a result, headline earnings are expected to decrease
by between 8% and 16% to be between R30.5 billion and R33.5 billion and HEPS is expected
to decrease by between 13% and 21% to be between 3 669 cents and 4 030 cents. Headline
earnings and HEPS for the comparative period were R36.4 billion and 4 635 cents

Earnings in the period were adversely impacted by the combination of lower sales revenue
and inflationary pressures on operating costs.

The weighted average number of shares in issue for the period increased to 831.25 million
from 784.43 million in the comparative period. The number of shares in issue have increased
from 817.26 million at 30 June 2021 to 850.22 million at 30 June 2022, following the issue of
32.95 million Implats shares as part of the consideration for the 37.83% stake acquired in Royal
Bafokeng Platinum Limited.

Shareholders are advised that, in accordance with Regulations 111 (9) and (10) of the
Companies Regulations, 2011, read with Section 3.4 (b) (viii) (1) of the JSE Listings
Requirements, the financial information under this heading “Trading Statement” has been
reviewed and reported on by Deloitte & Touche, the Group’s external auditors. Their review
was performed in accordance with ISRE 2410 – Review of Interim Financial Information
Performed by the Independent Auditor of the Entity. A copy of the unmodified report is available
for inspection by shareholders at the registered address of Implats. Shareholders are advised
that Deloitte & Touche will issue a separate audit report, in accordance with International
Standards on Auditing, on the financial statements for the year ended 30 June 2022, which
are expected to be released on or about 1 September 2022.



Johan Theron
T: +27 (0) 11 731 9013/43
M: +27 (0) 82 809 0166

Emma Townshend
T : +27 (0) 21 794 8345
M : +27 (0) 82 415 3770

Alice Lourens
T: +27 (0) 11 731 9033/43
M: +27 (0) 82 498 3608

5 August 2022

Sponsor to Implats
Nedbank Corporate and Investment Banking, a division of Nedbank Limited


Date: 05-08-2022 08:00:00
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