Zimbabwe Platinum Mines (Private) Limited (Zimplats) increased profit after tax by 34% to US$122.7 million in the year ended June 30, 2025, despite a 2% decline in revenue to US$877.4 million, Mining Zimbabwe can report.
By Rudairo Mapuranga
Revenue fell from US$893.2 million in the prior financial year, but the platinum producer improved its gross profit margin from 33% to 37%, while EBITDA increased to US$342.8 million.
The improved profitability came against a sharp increase in the cost of sales, which rose 25% to US$589.2 million, reflecting higher mining and processing volumes as well as inflationary pressures.
Cash operating costs also increased, with the cost per ounce rising to US$88 from US$75.
Operationally, Zimplats increased mined volumes by 3% to 7.7 million tonnes during the year, while 6E production remained broadly unchanged at 601,000 ounces.
The performance comes as the company advances major investments aimed at maintaining production as existing mining areas approach depletion and expanding its processing and energy capacity.
The Mupani Mine development is progressing as Zimplats prepares to replace the depleting Ngwarati and Rukodzi mines.
Mupani is expected to support an increase in mined production to 3.6 million tonnes per annum by financial year 2027.
At the same time, Zimplats is commissioning its Third Concentrator Plant, adding further processing capacity to support the company’s future production profile.
Capital expenditure during the year declined by 4% to US$112.2 million, while US$185.4 million was used to service loan principal and interest as the company continued to reduce its debt obligations.
Energy has also become a major component of Zimplats’ expansion and cost-management strategy.
The company commissioned the first phase of its solar project at the Selous Metallurgical Complex, comprising 35MW of generation capacity, and has approved a further 45MW phase, with construction expected to begin in FY2027.
The projects form part of Zimplats’ broader renewable-energy and decarbonisation programme, with the company targeting 185MW of renewable-energy capacity.
Zimplats reported a 2% reduction in greenhouse-gas emissions during the year, while recycled or reused water accounted for 68% of total water consumed, compared with 65% in the previous reporting period.
The company also maintained ISO 14001 environmental management and ISO 45001 occupational health and safety certifications.
Safety performance improved during the year, with no fatalities recorded and 4.75 million fatality-free shifts achieved. The Lost Time Injury Frequency Rate improved to 0.04 from 0.07.
Beyond production and infrastructure, Zimplats spent US$1.9 million on community development programmes during the year, including US$1.85 million on income-generating projects focused largely on agriculture and education.
Local procurement remained significant, with US$681 million spent on local suppliers during the financial year.
Zimplats chairman Professor Winston Mbianga said the company had delivered a strong production performance despite operating pressures.
“The company delivered an excellent production performance during the year,” Mbianga said, while reaffirming the company’s focus on long-term sustainability and shared value.
Chief executive officer Alex Mhembere said safety, operational efficiency and the transition towards renewable energy would remain key priorities.
“I am pleased to report on another sterling performance,” Mhembere said, adding that the company’s safety performance continued to improve.
For FY2026, Zimplats expects production growth to be supported by the continued development of Mupani Mine and commissioning of the Third Concentrator Plant, while the company continues to manage operating costs and advance its renewable-energy projects.
The developments come as Zimbabwe’s platinum sector seeks to sustain production and increase the value generated from its mineral resources through continued investment in mining, processing infrastructure and energy security.
