Sylvania Platinum’s FY2025: record output, stronger prices, bigger profits
Sylvania Platinum has delivered a punchy set of finals for the year to 30 June 2025. Output hit a new high, pricing improved into year end, and profits more than doubled. There is plenty to like on operations and safety, balanced by a deliberate step-up in capex that reduced the cash pile as the Thaba JV moves from build to ramp-up.
Headline numbers investors should know
| Metric | FY2025 | FY2024 | Change |
|---|---|---|---|
| 4E PGM production | 81,002 oz | 72,704 oz | +11% |
| Average 4E gross basket price | $1,507/oz | $1,339/oz | +13% |
| Net revenue | $104.2 million | $81.7 million | +28% |
| Group EBITDA | $29.3 million | $13.5 million | +118% |
| Net profit | $20.2 million | $7.0 million | +146% |
| SDO cash cost per 4E oz | $759/oz | $761/oz | Flat |
| Group AISC (4E) | $938/oz | $967/oz | -3% |
| Cash balance | $60.9 million | $97.8 million | -38% |
| Total FY2025 dividend | 2.75 pence/share | 3.00 pence/share (incl. special) | – |
| Shares bought back | 1.95 million at 42.45 pence | n/a | $1.0 million |
Operations: record SDO output and better feed grades
The Sylvania Dump Operations produced a record 81,002 4E ounces, above original guidance. The driver was quality, not just quantity: PGM plant feed grade rose 18% to 3.49 g/t, while recoveries were steady at 55.5%. Higher grade feed came from Tweefontein, Mooinooi and a new current arisings stream at Lesedi, supplemented by higher grade third-party material at the Eastern Operations.
Lesedi’s stability improved enough to withdraw the Section 189A consultation process. The centralised PGM filtration plant – designed to switch product from slurry to dry cake and potentially improve payability – is on budget and tracking for completion in Q2 FY2026.
Thaba Joint Venture: commissioning done, ramp-up extended
Commissioning at the Thaba JV completed in Q4 FY2025 and ramp-up is underway. The plan has been pushed out to reach steady state in Q3 FY2026 due to instability on an old rural Eskom power line used as an interim solution alongside diesel generators. Additional generators are in place and a new primary Eskom substation is being built for commissioning in Q2 FY2026.
Why this matters: at steady state, management expects the JV to add approximately 6,800 attributable 4E ounces each year and introduce 210,000 tons of chromite concentrate and chrome income, diversifying the revenue mix. The project fundamentals remain intact with an expected internal rate of return above 20% and a cash payback of under three years post-commissioning.
Financials: stronger price, higher ounces, fatter margins
Revenue benefitted from both volume and pricing. The average 4E gross basket price rose to $1,507/oz, reflecting solid gains in rhodium, palladium and platinum in the latter part of the year. Revenue on 4E ounces delivered was $89.1 million, with by-products and base metals contributing $15.0 million. Net revenue was $104.2 million after pipeline adjustments.
Costs were well managed. Group AISC fell 3% to $938/oz thanks to higher production, while all-in cost rose to $1,328/oz due to heavier capital spend, mainly the attributable Thaba JV investment. EBITDA jumped to $29.3 million and net profit to $20.2 million.
Cash and capex: deliberate drawdown to fund growth
Year-end cash was $60.9 million, down 38% from $97.8 million. The decline is largely the plan in action: $32.3 million of capital expenditure, including $18.0 million attributable to Thaba JV, plus $16.6 million of loan advances to the JV. Dividends of $5.8 million and buybacks of $1.0 million also went out the door. There is no debt and no pipeline financing.
Capital returns: dividend lifted above policy minimum and buybacks
The Board declared a final dividend of 2.00 pence per share, taking the full-year dividend to 2.75 pence. That is materially higher than the minimum under the policy to distribute at least 40% of adjusted free cash flow. On top, Sylvania bought back 1,947,542 shares at an average 42.45 pence for $1.0 million.
Safety and ESG: best performance on record
Safety was a standout. The company achieved its best overall safety performance in FY2025, with zero fatalities and the combined Eastern Operations injury-free for a full year. Doornbosch marked 13 years LTI-free. On the social side, ZAR156.6 million was paid to community-based suppliers and 4,893 training interventions were delivered. Water tracking improved and low-cost, sustainable tailings rehabilitation trials are progressing well.
Project pipeline: Volspruit moves through permitting
SRK’s Competent Person Report for the Volspruit Scoping Study, finalised in August 2024, shows a pre-tax NPV of $69.0 million over a 14-year life of mine, up from $27.3 million and 8.7 years in 2022. Work now leans toward permits and authorisations, including the Environmental Impact Assessment amendment and a Water Use Licence.
Outlook for FY2026: guidance and catalysts
- Production target of 83,000 to 86,000 4E PGM ounces and 100,000 to 130,000 tons of chromite concentrate.
- Thaba JV to reach steady state in Q3 FY2026 once permanent power is in place.
- Lesedi ROM plant ramp-up to steady state in Q2 FY2026; improved current arisings already flowing.
- Centralised filtration plant completion expected in Q2 FY2026.
- Ongoing build-out of new tailings storage facilities across the operations.
My take: why this RNS matters
Positives: record production, higher grades, and disciplined cost control combined with better pricing to deliver a big earnings step-up. The business remains debt free, pays a healthy dividend above policy, and continues to buy back shares. Safety performance is sector-leading. Thaba JV adds chrome revenue and extra PGMs, which should smooth earnings over time.
Watch-outs: cash fell as management leaned into growth capex and JV funding; that is a conscious trade-off but reduces flexibility if prices weaken. Thaba’s ramp-up is hostage to power stability until the new substation is live. All-in cost rose with the capex cycle. As ever, basket price volatility remains the key swing factor.
Overall, this is a strong operational and financial year that sets Sylvania up for another solid period if the Thaba timeline holds and the filtration plant lands on schedule. The guidance range looks credible given the momentum at the SDO and the staged ramp-ups ahead.
Board and management changes
CFO Lewanne Carminati will step down on 30 November 2025, with Executive Officer: Finance, Ronel Bosman, to become CFO from 1 December 2025. The transition appears orderly. On operations, Christiaan de Wet took over as Executive Officer: Operations from 1 January 2025.
