Sibanye-Stillwater Posts Strong Earnings Growth Amid Operational Challenges

Sibanye-Stillwater reported a significant increase in headline earnings per share for H1 2025, driven by profitability from South African gold operations and operational restructuring. However, the company also reported a basic loss per share due to impairment losses related to US PGM operations and the Keliber lithium project. Production updates revealed consistent output across most operations, though challenges in South African gold operations led to a 13% decline in production year-on-year. The company anticipates improved performance in H2 2025 driven by higher PGM prices and resolved operational issues.

Sibanye-Stillwater, a multinational mining and metals processing group, announced its financial results for the first half of 2025, revealing a significant increase in headline earnings per share (HEPS) driven by profitability from South African gold operations and operational restructuring. The company reported that HEPS for H1 2025 is expected to be more than 100% higher than the same period in 2024 [1].

However, the company also reported a basic loss per share due to impairment losses related to its US PGM operations and the Keliber lithium project. These impairments were influenced by changes in US legislation and lower forecast lithium prices. Despite these challenges, Sibanye-Stillwater's production updates revealed consistent output across most operations, with a 13% decline in production year-on-year in South African gold operations [1].

The company anticipates improved performance in the latter half of 2025, driven by higher PGM prices and resolved operational issues. The most recent analyst rating on Sibanye-Stillwater stock is a Hold with a $4.50 price target [1].

Key Points:

- Headline Earnings: Sibanye-Stillwater expects HEPS for H1 2025 to be more than 100% higher than the same period in 2024.
- Basic Earnings: The company reported a basic loss per share due to impairment losses at US PGM operations and the Keliber lithium project.
- Production: Consistent output across most operations, with a 13% decline in South African gold production year-on-year.
- Outlook: Anticipates improved performance in H2 2025 due to higher PGM prices and resolved operational issues.

References:

[1] https://www.tipranks.com/news/company-announcements/sibanye-stillwater-reports-strong-earnings-growth-amid-operational-challenges
[2] https://finance.yahoo.com/news/tokmanni-group-corp-fra-tk9-070052675.html
[3] https://www.biznews.com/miningweb/miningweb-sibanye-stillwater-profits-impairments
[4] https://www.miningmx.com/top-story/62111-sibanye-stillwater-takes-knock-as-us-prepares-to-phase-out-subsidy/