Harmony delivers exceptional performance across its operations

Johannesburg – Harmony Gold Mining has delivered an exceptional combined performance across its operations in FY24. This achievement was a result of clear strategic intent and successful execution, enabling it to deliver above plan and capitalise on higher gold prices.

Said Peter Steenkamp, chief executive officer of Harmony: “We continue to allocate most of our project capital to our higher-grade, higher-quality, and lower-risk assets. This aligns with our strategy of producing safe, profitable ounces and improving margins through operational excellence and value-accretive acquisitions.

By investing in our higher-grade gold mines, expanding our surface retreatment business, and growing our international gold and copper assets, we will continue to transform and de-risk Harmony as we go from strength to strength,”

Key highlights of FY24 are:

• Proactive safety strategy with group lost time injury frequency rate of 5.53 from 5.49 per million hours worked, below 6 for third consecutive financial year
• 132% increase in headline earnings per share to 1 852 SA cents (99 US cents) per share from 800 SA cents (45 US cents) per share
• 78% increase in EPS to earnings of 1 386 SA cents (74 US cents) per share from 780 SA cents (44 US cents) per share
• Record operating free cash flow, up 111% to R12 743 million (US$681 million) driven by higher recovered grades and a higher average gold price received
• 6% increase in underground recovered grades to 6.11g/t from 5.78g/t                                                                                
• 6% increase in total gold production to 48 578kg (1 561 815oz) from 45 651kg (1 467 715oz)
• Increase in production of 17% at Mponeng, 34% at Mine Waste Solutions and 17% at Hidden Valley due to improved recovered grades
• 1% increase in group all-in sustaining costs (AISC) to R901 550/kg (US$1 500/oz) from R889 766/kg (US$1 558/oz)
• 16% increase in average gold price received to R1 201 653/kg (US$1 999/oz) from R1 032 646/kg (US$1 808/oz)
• 25% increase in group revenue to R61 379 million (US$3 282 million) from R49 275 million (US$2 774 million)
• Operating free cash flow of R2 188 million (US$117 million) generated by Hidden Valley due to excellent recovered grades, compared to R615 million (US$35 million)
• Strong, flexible balance sheet now in a net cash position of R2 899 million (US$159 million)
• Liquidity of R12 649 million (US$695 million) in cash and undrawn facilities
• Copper represents 21% of total declared Mineral Resources of 136.5 million ounces (Moz); declared Mineral Reserves increases by 2% to 40.3Moz
• Expanded renewable programme to over 500MW from 363MW to support life of mine extensions
• A final dividend declared of 94 SA cents (approximately 5.2 US cents) per ordinary share declared (June 2023: 75 SA cents (4.03 US cents))

FY25 group production and cost guidance

Year-on-year production guidance for the group is between 1 400 000 ounces and 1 500 000 ounces at an AISC of between R1 020 000/kg and R1 100 000/kg. Underground recovered grade for FY25 is guided at above 5.8g/t.