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Zimplats falls to H1 loss on weak platinum prices

Published 24/02/2016, 10:31 pm
© Reuters.  Zimplats falls to H1 loss on weak platinum prices
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HARARE, Feb 24 (Reuters) - Low metal prices will continue to exert serious pressure on Zimplats' ZIM.AX cash flow, the company said on Wednesday, after slipping into a loss for the half year to December 31 on weak platinum prices.

Zimplats, a unit of Impala Platinum IMPJ.J , reported a $600,000 loss compared to a profit of $3.9 million a year earlier.

Revenue fell 12 percent to $204 million.

Platinum sales by volume rose 27 percent to 130,342 ounces as Zimplats tried to make up for lower prices, which averaged $948 an ounce, down 29 percent from a year earlier.

"Metal prices continue to decline to unprecedented levels, with no clear indication of when they will bottom out," Chief Executive Alex Mbembere said in a statement.

Platinum XPT= was trading down 0.8 percent at $931.70, edging toward a two-week low of $913.50 hit earlier this week.

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