Zimplats H1 Revenue Hits US$641.8M, Profit Before Tax Jumps Over 20-Fold

Robust Financial Growth Amid Rising Metal Prices

Zimplats Holdings Limited has delivered a striking financial turnaround for the half year ended 31 December 2025, with revenue soaring 83% to US$641.8 million. This surge was primarily driven by a 66% increase in average metal prices and a 10% rise in sales volumes, reflecting a favourable market environment for platinum group metals and associated minerals.

Profit before income tax skyrocketed by over 2,100% to US$203.4 million, a dramatic leap from just US$8.9 million in the prior comparable period. This leap underscores the company’s ability to capitalise on improved commodity prices while managing cost pressures effectively.

Operational Enhancements Boost Production

Operationally, Zimplats benefited from enhanced trackless mobile machinery availability and productivity initiatives, alongside the resuscitation of its open pit mine. These efforts lifted mined volumes by 8% to 4.2 million tonnes and milling volumes by 5% to 4.0 million tonnes. Although the mill head grade slightly declined, total production of the six key metals increased by 13% to 316,765 ounces, signalling improved concentrator output and operational efficiency.

Metal prices across the board improved significantly, with platinum prices up 58% and rhodium prices surging 55%, further underpinning the company’s revenue growth. However, prices for iridium and nickel saw slight declines, reflecting market volatility in those segments.

Capital Projects and Sustainability Initiatives Progressing

Zimplats continues to invest heavily in sustaining and expanding its operations. The Mupani Mine development remains on schedule, targeting full production capacity by FY2029 with US$360 million spent to date. The smelter expansion and sulphur dioxide abatement plant are technically complete, poised to increase smelting capacity nearly threefold, with US$466 million invested so far.

Renewable energy projects are also advancing, with the Phase 1A 35MW solar plant commissioned in August 2024 and Phase 2A 45MW solar plant underway, expected to be completed by mid-2027. These initiatives align with the company’s commitment to environmental stewardship and operational resilience.

Financial Position and Dividend Policy

Despite the strong cash inflows from operations, which rose to US$171.8 million, the board elected not to declare a dividend for the half year. The company closed the period with a healthy cash balance of US$145.7 million, up from US$99.3 million at the previous year-end, positioning it well to fund ongoing capital expenditure and navigate Zimbabwe’s complex economic landscape.

Zimplats also maintained robust safety and environmental standards, reporting only two lost-time injuries and advancing water recycling efforts to 68% of total consumption, exceeding its FY2026 target ahead of schedule.

Outlook

Looking ahead, Zimplats’ management emphasises safety as a priority while leveraging improved metal prices to drive operational excellence and sustainable growth. The company’s strategic investments in innovation and renewable energy are expected to enhance long-term value creation amid evolving market and regulatory conditions.