Impala Platinum Holdings Limited · JSE:IMP
Impala Platinum — H1 FY2022 Earnings Presentation
16 slides from Impala Platinum's earnings presentation, Mar 1, 2022
Slide 1: Interim Results FY2022 – Webcast / Conference Call
INTERIM RESULTS FY2022 – WEBCAST / CONFERENCE CALL 1 March 2022
Slide 2: Forward-Looking and Cautionary Statement
FORWARD-LOOKING AND CAUTIONARY STATEMENT Certain statements contained in this presentation, other than the statements of historical fact, contain forward-looking statements regarding Implats’ operations, economic performance or financial condition, including, without limitation, those concerning the
Slide 3: Agenda
AGENDA 01 MACRO ENVIRONMENT 02 OPERATIONS 03 FINANCIAL 04 GROWTH & INVESTMENT 05 RBPLAT ACQUISITION 06 PROSPECTS IMPLATS 3 INTERIM RESULTS FY2022
Slide 4: Macro Environment: Global Economy and PGM Market
MACRO ENVIRONMENT NEW IMPLATS COVID CASES GLOBAL ECONOMY ▪ Covid normalisation 600 500 ▪ Supply chains disrupted 400 300 ▪ Rising global inflation 200 100 ▪ Geopolitical risk (Ukraine) 0 01 July 2019 01 July 2020 01 July 2021 PGM BASKET PRICE ▪ Basket price 60 000 4 000 3 500 PGM MARKET 50 000 - H2
Slide 5: Safety Performance
SAFETY PERFORMANCE Description H1 FY2022 H1 FY2021 FY2021 14 7 FATALITIES AND LOST-TIME INJURY FREQUENCY RATE** Fatalities No. 5 0 3 6.01 LTIFR*** 12 6 FIFR pmmhw 0.080 0.000 0.026 5.30 LTIFR pmmhw 3.88 5.13 4.92 10 4.54 4.92 5 TIFR pmmhw 10.45 9.34 9.84 FATALITIES 8 7 4 3.88 FATALITY FREE SHIFTS* 6
Slide 6: Operational Performance
OPERATIONAL PERFORMANCE - 4% - 5% + 17% + 34% 6E IN CONCENTRATE REFINED 6E PRODUCTION UNIT COST PER 6E OUNCE CAPITAL EXPENDITURE 1.62Moz 1.62Moz R16 756/oz R3.57bn 6E in concentrate 6E refined 6E refined (stock-adjusted) Platinum 760koz - 3% Inflation R1 038/6E oz + 7% Impala + 58% R1.55bn Managed o
Slide 7: Movement in Concentrate Production
CONCENTRATE PRODUCTION MOVEMENT IN CONCENTRATE PRODUCTION – H1 FY2022 vs H1 FY2021 608 124 188 291 123 147 135 koz 6E in concentrate 1 700 % variance from H1FY2021 - 8% - 6% - 4% - 2% - 3% - 3% 11% 1 680 6E koz in concentrate 1 660 52 1 640 8 Safety stoppages, power and 1 620 1 684 8 Lower plant rec
Slide 8: Operational Performance
OPERATIONAL PERFORMANCE - 4% - 5% + 17% + 34% 6E IN CONCENTRATE REFINED 6E PRODUCTION UNIT COST PER 6E OUNCE CAPITAL EXPENDITURE 1.62Moz 1.62Moz R16 756/oz R3.57bn 6E in concentrate 6E refined 6E refined (stock-adjusted) Platinum 760koz - 3% Inflation R1 038/6E oz + 7% Impala + 58% R1.55bn Managed o
Slide 9: Financial Performance
FINANCIAL PERFORMANCE - 5% + 2% - 4% REFINED 6E SOLD RAND REVENUE BASKET GROSS REVENUE 1.55Moz 6E R36 230 / 6E oz sold R55.6bn Platinum 741koz + 7% Platinum US$1 022/oz + 12% US$ metal prices + R8.2bn + 14% Palladium 530koz - 9% Palladium US$2 200/oz - 3% Sales volumes - R5.6bn - 10% Rhodium 84koz -
Slide 10: Profitability & Free Cash Flow Generation
PROFITABILITY & FREE CASH FLOW GENERATION 40 000 PORTFOLIO PROFITABILITY FREE CASH FLOW CONTRIBUTION 15 149 35 000 391 214 197 13 1 435 30 000 2 658 59% 59% 52% 47% 44% 33% 43% 25 000 R/6E oz 3 113 20 000 Rm 7 128 15 000 10 000 5 000 - Zimplats Marula Two Rivers Mimosa Canada Impala Group matte conc
Slide 11: Capital Allocation
CAPITAL ALLOCATION CASH FROM OPERATIONS OF R21.5bn BALANCE SHEET STRENGTH OTHER NET INCOME R1.0bn inflow • Rehabilitation obligations (R0.3 billion) R0.8bn • Cash retained (R0.5 billion) INTEREST PAID R0.1bn outflow 5% 40% TAXES PAID R3.8bn outflow 31% RETURNS TO SHAREHOLDERS CAPEX R3.5bn outflow Ca
Slide 12: Growth Projects
GROWTH PROJECTS ZIMPLATS ZIMPLATS TWO RIVERS MINE REPLACEMENT & GROWTH THIRD CONCENTRATOR MERENSKY US$204m (Approved Feb 2021) US$94m (Approved Feb 2021) R5.7bn (Approved Sep 2021) Expansion of Bimha and Mupani mines Increase concentrator capacity Expand mine production (+ 80koz 6E per annum) (+ 80k
Slide 13: New Projects
NEW PROJECTS GROWTH - PROCESSING LOM EXTENSION ESG ZIMPLATS SMELTER EXPANSION MARULA DECLINE EXTENSION RENEWABLE POWER US$521m (Approved Nov 2021) R5.1bn (Approved Nov 2021) US$37m (Approved Feb 2022) Smelter expansion with SO2 abatement Expand capacity and extend life-of-mine Phase 1 solar plant at
Slide 14: RBPlat Acquisition
RBPLAT ACQUISITION Mandatory offer to all RBPlat shareholders comprised of R90 cash and 0.3 Implats scrip Closing date, Offer initiated Competition Mandatory Offer circular Shareholder subject to with 24.9% Commission offer triggered posted support Competition stake secured process (9 December) (17
Slide 15: Group Outlook
GROUP OUTLOOK ACTUAL PREVIOUS GUIDANCE NEW GUIDANCE BUSINESS AREA UNIT FY2021 FY2022 FY2022 REFINED PRODUCTION: 3 271 3 300 - 3 560 3 100 - 3 200 Group 6E oz refined CONCENTRATE PRODUCTION: Impala 6E oz (in conc) 1 291 1 250 – 1 350 1 140 – 1 200 Zimplats 6E oz (in conc) 590 580 – 600 580 – 600 Two
Slide 16: Interim Results FY2022 – Webcast / Conference Call
INTERIM RESULTS FY2022 – WEBCAST / CONFERENCE CALL 1 March 2022
Impala Platinum Holdings — H1 FY2022 Earnings Presentation on 6ix