Diversified metal recovery business Jubilee Metals’ earnings before interest, taxes, depreciation, and amortisation (EBITDA), which is an indicator of the overall profitability of a business, dropped to $29.8 million in the fiscal year (FY) 2023 compared to $48.9 million a year earlier (FY2022).
Revenue from the company’s operations in South Africa and Zambia decreased by 8% to $171 million in FY 2023 from the previous year’s $186 million with growth in US dollar chrome revenue predominately offsetting the decrease in platinum group metal (PGM) revenue.
“From a commodity price perspective, we have witnessed a challenging PGMs price environment with the basket price now trading at $1359, which is 46% below the FY2022 average and 21% below the FY2023 average,” said company chairperson Ollie Oliveira.
It also registered an 8% decrease in chrome margins mainly due to power constraints during the first half of FY2023 and a 19% drop in copper revenue per tonne to $7 451 from FY2022’s $9 210.
Meanwhile, Jubilee said it registered record production figures across its PGM, chrome and copper operations with 42 433 PGM oz up 2%, 1,29 million chrome concentrate tonnes up 7% and 2 923 copper tonnes up 29%.
Mathew Nyaungwa, Editor in Chief of the African Bureau, Rough&Polished
