TSX- and JSE-listed Eastern Platinum (Eastplats) has reported losses for the 12 months and fourth quarter ended December 31, 2024.

Revenue for the fourth quarter decreased by 44.3% to $17-million from $30.5-million in the fourth quarter of 2023, while full-year revenue decreased by 41.5% to $62.5-million, from $106.9-million in 2023.

Mine operating income decreased by $15.7-million to a loss of $7.9-million in the fourth quarter of 2024. This resulted in a gross margin of -46.2% in the fourth quarter, compared with 25.5% in the prior comparable quarter.

For the full year, mine operating income fell by $30.8-million to $800 000, resulting in a gross margin of 1.3%, compared with 29.5% in 2023.

The company reported that operating losses stood at $8.6-million in the fourth quarter of 2024, in contrast to an operating income of $2.8-million in the fourth quarter of 2023.

For the full-year, operating income decreased by 168.6%, or $31.2-million, resulting in a loss of $12.7-million, compared with an operating income of $18.5-million in 2023.

The net loss attributable to shareholders was $11.9-million, which represents a loss a share of $0.05 for the fourth quarter of 2024. This compares with net income of $3.3-million, equivalent to $0.02 a share, in the fourth quarter of 2023. The decline in net income was primarily attributed to a significant reduction in third-party chrome concentrate sales during the period.

For the full-year, the net loss attributable to shareholders stood at $12.8-million, amounting to a loss a share of $0.06, compared with net income of $13.8-million, equal to $0.08 a share, in 2023.

The decrease in income was largely owing to lower revenue and gross margins from remining and processing underground and tailings resources at the Crocodile River mine (CRM) to produce chrome concentrate and platinum group metals (PGMs) concentrate.

As of December 31, 2024, Eastplats had a working capital deficit of $38.7-million. This represents an increase from the working capital deficit of $15.5-million a year prior.

The company held short-term cash resources of $3.1-million, which consisted of cash, cash equivalents and short-term investments. This was a decline from the $21.3-million in short-term cash resources at the end of 2023.

Eastplats said the profits earned in 2023 were used to support the ramp-up of operations at the Zandfontein underground section of the CRM.

"We faced challenges as we restarted underground operations at the CRM during 2024. As the retreatment project ended in the first quarter of 2025, it is critical that we focus on improving production results while being mindful of costs and capital expenditures.

“However, we are confident that PGM and chrome prices will rebound in 2025, which will help us achieve profits again," Eastplats president and CEO Wanjin Yang said on March 31.