Aim-listed Sylvania Platinum has reported a strong performance for the third quarter ended March 31, especially at the Sylvania Dump Operations (SDO), with production of 22 853 oz of platinum, palladium, rhodium and gold (4E) platinum group metals (PGM).

CEO Jaco Prinsloo points out that, owing to the usual Christmas break which extends into January, this was a slight decrease from the record production in the previous two quarters of the company’s 2026 financial year; however, it was in line with expectations for the period.

Sylvania therefore expects to achieve or exceed the upper end of the previously increased PGM production guidance for the full year of 90 000 oz to 93 000 oz of 4E PGM, announced in the previous quarter.

Meanwhile, after transitioning into production, the Thaba joint venture (JV) continued its ramp-up during the quarter under review, with an 80% increase in chrome production to 19 030 t, compared with the 10 531 t produced in the second quarter.

While this performance was in line with the anticipated production profile as previously communicated, challenges post period-end have negatively impacted on the full-year outlook.

Prinsloo informs that post period-end, lower run-of-mine (RoM) feed tonnage and feed grade negatively impacted on overall plant performance, while abnormally high rainfall during April has further impacted on mining production volumes and plant throughput owing to flooding and material handling challenges with the wet ore.

As a result, chrome concentrate production guidance for the year has been revised downward to between 50 000 t and 55 000 t, while various optimisation initiatives are under way to improve RoM tonnages.

The average 4E gross basket price increased by 28% in dollar terms and 23% in rand terms for the March quarter, and this, together with the increased contribution from attributable chrome sales of $4-million, resulted in an improved net revenue performance of $78.7-million, compared with $54.8-million in the previous quarter.  

Adjusted group earnings before interest, taxes, depreciation and amortisation for the quarter increased by 61% to $47.8-million from $29.8-million in the previous quarter.

A share buyback programme, on market, of $2-million was launched during the quarter.

The group cash balance was $63.3-million at quarter-end, a 17% increase from $54-million in the previous quarter.

An interim dividend for the full year of 2p a share was declared in February and paid in April.