South African miner Harmony Gold reports full-year profit up 35%

JOHANNESBURG    – South African miner Harmony Gold reported a 35 percent rise in full-year profit on Thursday, helped by steady year-on-year production and gains from rand gold hedges that lifted revenue.

Headline earnings per share (HEPS), the main profit measure in South Africa that strips out certain one-off items, rose to 2.98 rand ($0.23) for the year to June 30, from 2.21 rand a year earlier.

The figure was in line with figures the firm previously flagged to the market.

Harmony said revenue rose 5 percent to 19.3 billion rand ($1.47 billion) after year-on-year production remained stable and helped by the inclusion of realised gains of 728 million rand from rand gold hedges.

But headline earnings were hurt by a provision of 917 million rand before tax for a possible settlement with miners who contracted lung diseases at work and impairments from Kusasalethu, Target 1 and Tshepong operations.

Gold Fields and Anglo American have also said they would set aside more than $130 million between them for a possible settlement.

Harmony declared a final dividend of 35 cents per share for the year ended June 30, up 70 percent from a year earlier.

($1 = 13.1331 rand)(Reuters)