By Adam Clark
Impala Platinum Holdings Ltd. (IMP.JO) said Thursday that it narrowed its loss in the first half of financial 2018 as it continues to restructure in the face of lower platinum prices.
The Africa-focused platinum producer posted a net loss of 163 million South African rand ($13.8 million) for the six months to Dec. 31, compared with a ZAR371 million loss the year before. Impala said the loss was partly driven by a tax provision taken by its Zimplats subsidiary in Zimbabwe.
Impala reported a pretax profit for the half of ZAR193 million, compared with a ZAR238 million loss in the same period in 2016. Revenue declined to ZAR17.28 billion from ZAR18.48 billion.
Impala said its overall mining performance improved in the period, with its gross platinum-in-concentrate production rising 13%. However, gross refined platinum production fell 6.7%, due to extended maintenance at Impala's Rustenburg smelting complex.
Market fundamentals for platinum remain "muted" and Impala continues to look to refocus or close unprofitable areas and cut costs in response, said the company. Impala said it has cut 1,400 jobs, saving ZAR350 million annually, and a strategic review is still underway.
Write to Adam Clark at [email protected]; @AdamDowJones