Anglo Predicts 20% Fall In Earnings

VENTURES AFRICA – The world’s top platinum producer, Anglo Platinum has forecasted about 20 percent fall in its first-half earnings due to lower sales and falling prices. This was announced in a statement issued by the company on Monday.

In the statement, the company blamed the volatility in exchange rates and low metal prices which had made it record an unprecedented decrease in expected earnings above 20 percent.

This is coming on the heels of weak demand, soaring costs and a recent South African government-enforced safety measure which had resulted in a cut in production for safety violation.

At the Johannesburg Stock Exchange, Angloplat shares fell more than 2.5 percent on the news of weaker profits, while other platinum producers including Impala Platinum Holdings were also negatively impacted.

BUSINESSDAY