1 minute read
5 Nov 2014
11:40 am

Harmony reports revenue increase

Mining company Harmony Gold reported an 18 percent revenue increase to R4.4 billion in results released on Wednesday.

PHOTO: AFP

The company experienced a six percent increase in gold production to 9435kg, and an eight percent increase in production profit at R913 million for the quarter ended September 30 this year.

There was a four percent improvement in underground recovered grade at 4.84 grams per tonne, on the back of a five percent improvement in recovered grade for the year ended June 30 this year.

Quarter-on-quarter net debt was reduced from R1.03bn to R771m, while net loss was reduced by 78 percent to R266m.

The net loss was due to a foreign exchange translation loss of R190m on foreign debt, as well as an increase in depreciation of R124m.

CEO Graham Briggs said the company’s efforts to improve efficiencies were aimed not only at mining and processing, but in every aspect of the business.

“We remain the most efficient South African gold miner, focused on improving our margins and funding our capital,” Briggs said.

“Harmony owns 50 percent of the spectacular Golpu ore body in Papua New Guinea, which has the potential to develop into a world-class copper gold mine and will allow us to sustain our business well into the future.”

He said Harmony remained undervalued and its successes were not currently factored into its share price.

Sapa