RB Plats reports 71.6% increase in headline earnings

Royal Bafokeng Platinum (RB Plats) recently reported a remarkable 71.6% increase in headline earnings, leading to an 86% raise in dividend pay-out for this fiscal year. The PGM miner also experienced a 22% surge in revenue, attributed to improved production and record prices for rhodium and palladium. Steve Phiri, the CEO at Royal Bafokeng Platinum, joined CNBC Africa to delve into these impressive results and shed light on the company's future prospects. Phiri shared that while the current economic landscape is fraught with uncertainty and volatility, RB Plats remains committed to replicating and sustaining their stellar financial performance. He highlighted the challenges posed by the global risks intertwined with operating risks within their country, especially considering the lingering impact of COVID-19. However, Phiri expressed confidence in RB Plats' ability to navigate through these challenges, drawing from their past experiences in overcoming adversities. Despite acknowledging that production numbers fell short of expectations in 2021, Phiri indicated that RB Plats aims to enhance its production figures moving forward unless faced with more severe external disruptions. Phiri emphasized the importance of maintaining a strong focus on safety measures and addressing supply chain disruptions, factors that could potentially impede future performance. He underscored the significance of vaccinating employees against COVID-19 to mitigate risks and enhance operational continuity. Additionally, Phiri outlined the company's production outlook, revealing plans to ramp up production volumes through strategic initiatives and mining operations. Phiri also touched upon the shareholder dynamics at RB Plats, noting the presence of two significant shareholders vying for control. While Phiri acknowledged the complexities of managing multiple large shareholders, he emphasized the need to foster collaboration and unity among stakeholders to ensure the company's long-term stability and growth. Despite the challenges posed by having competing shareholders, Phiri expressed optimism in the potential for constructive engagement to align interests and achieve common goals. Looking ahead, Phiri outlined RB Plats' strategic growth priorities for the upcoming fiscal period, highlighting key projects such as the completion of the MF2 plant at the Maseve mine, refurbishment of the Bafokeng Rasimone Platinum Mine plant, and the optimization of the Leaching and Reduction Furnace (LRF) operations. By focusing on these critical initiatives, RB Plats aims to enhance operational efficiency and drive sustainable growth in the challenging PGM market.