LONDON (Alliance News) - Aquarius Platinum Ltd said Thursday its pretax loss narrowed significantly in its recent full financial year due to higher production, lower costs and a significant reduction in impairment losses during the period.
The platinum producer, which operates out of South Africa and Zimbabwe, said its pretax loss narrowed to USD12.6 million for the twelve months ended June 30 from a loss of USD341.0 million the previous year.
The company said its revenue fell slightly to USD233.1 million from USD237.1 million as higher production levels were more than offset by lower platinum group metals prices during the period.
Aquarius Platinum attributable production increased to 331,642 ounces from 325,103 ounces previously as the company withstood strikes at its platinum mine in South Africa.
The company said its cost of sales fell 7.1% to USD231.2 million due to the inclusion of its Kroondal development shaft, K6, for the first time in the year.
However, the majority of the company's narrowed loss came from a reduction in impairment charges. This year it posted USD3.1 million in impairments but in the previous year it posted USD214.1 million.
Aquarius reached a wage agreement in July with South Africa'sNational Union of Mineworkers and with trade union Solidarity for their members employed at the Kroondal mine. The company said at the time that the agreement was effective immediately and will be applied to all employees within the respective bargaining units at Kroondal.
Aquarius Platinum shares were trading flat at 23.75 pence on Thursday.