VALTERRA Platinum is to pay shareholders a special dividend of R5.3bn – R20 per share – taking its final dividend for the 2025 financial year to R11.5bn, equal to R43/share and representing 71% of headline earnings for the year.
A base cash dividend of R6.2bn, equal to R23/share, was declared in terms of Valterra’s payout policy of 40% of headline earnings. This takes the total dividend for the group’s maiden financial year since demerging from Anglo American to R45/share.
The payout is an extraordinary recovery in fortunes for Valterra, largely driven by an 89% improvement in platinum group metal prices in the second half of 2025 to finish the year at $2,562/oz. Valterra produced about 10% less PGMs in concentrate which it partially offset after selling down metal inventory.
Given that the average realised price for the year increased 26% and 22%, year-on-year, to $1,852 and R32,611 per PGM ounce, headline earnings came in 98% stronger at R63.48/share. As of June 30, the group reported net debt of R4.9bn but by December 30 it was net cash R11.5bn.
“We expect the strong fundamental drivers to continue underpinning PGM prices over the medium to long term,” said Craig Miller, CEO of Valterra Platinum. “We move into 2026 with momentum, clarity and an unwavering focus on value creation,” he said.
Miller told media in a call this morning the company expected a 240% year-on-year increase in free cash flow assuming the realised PGM rand basket price so far this year of about R42,000 to R43,000/oz was sustained.
Asked if the prospects were good for another outperformance on the payout, Miller said that “in line with our commitment to consecutive dividend declarations, you can expect us to maintain that through the remainder of the year”.
“We have realised R18bn in capital and cost efficiencies over 24 months, and the business is in really good shape. So, together with higher prices, we are going to be disciplined in how we return cash to shareholders,” he added.
