Substantial HEPS increase expected

HARMONY Gold Mining said yesterday it expected an increase of up to 255 percent in headline earnings per share (HEPS) for the six months to the end of December. The miner, with operations in South Africa and Papua New Guinea, pointed to an increase in the average gold spot price, the recognition of a gain on the Hidden Valley acquisition, as well as gains on gold and currency hedges. It said HEPS was expected to come in at between 139 cents and 160c per share, which is 235 to 255 percent higher than the headline loss of 103c per share reported for the previous comparable period. In US dollar terms, HEPS is expected to be between US10c and US11c per share, which is 230 to 255 percent higher than the headline loss of US8c per share reported a year before. “We achieved all we set out to in the six months from July 1, 2016, to December 31, 2016. We improved our safety performance and increased production. Safe mines are profitable mines, and profitable mines strengthen our margins,” said Harmony chief executive Peter Steenkamp. The full results for the half-year are expected on Thursday. – ANA