Gold price major benefit for Pan African
Pan African Resources has announced that its headline earnings per share (HEPS) and earnings per share (EPS), in respect of its operations for the current Reporting Period, are expected to be as follows:
- HEPS of between US 2.23 cents per share and US 2.35 cents per share compared to US 1.19 cents per share for the previous corresponding period, being an increase of between 87% and 97% respectively for the Reporting Period.
- EPS of between US 2.20 cents per share and US 2.40 cents per share compared to US 1.97 cents per share for the previous corresponding period, being an increase of between 12% and 22% respectively for the Reporting Period.
The considerable improvement in EPS and HEPS are primarily due to the following:
- Gold revenue increased by 25.9% to US$273.7 million (2019: US$217.4 million) predominantly due to an increase in gold sold of 1.3% to 173,864oz (2019: 171,706oz) and the average US$ gold price received increasing by 24.3% to US$1,574/oz (2019: US$1,266/oz)
- An impairment charge reversal of US$0.1 million (net of tax) for the year ended 30 June 2020 (2019: US$15.1 million) was excluded from the calculation of HEPS. Impairment charges and any subsequent reversal thereof, are included in the calculation of EPS.
