Aquarius Platinum Limited (AQP) announced lower than expected full year consolidated earnings of $236 million, up 26% in the prior corresponding period. Higher commodity prices helped the company offset a 6% decline in attributable production, which came in at 500,203 platinum group metals ("PGM") ounces.
Consensus forecasts had pointed to full year profits of $274.4 million.
Revenues from ordinary activities for the year rose 30% to $919 million from $709 million.
"The increased revenue was due to a 36% increase in the average PGM basket price over the year," the company said.
The company said the decline in output was due to interruptions in the second half of the year.
"This year's production was stronger in the first half, as the group's expansion program was interrupted by industrial action and electrical supply issues in the second half, notably at the Everest Mine where the company moved from contractor mining to mine operator," the company said.
Looking ahead the company flagged a 15% increase in production in full year 2009.
The company said mine operations delivered net operating cash flow of $505 million for fiscal 2008, compared to $391 million in the previous year due to higher commodity prices.
Aquarius said the increased cash flows allowed the company to acquire an interest in the Platinum Mile Tailings Project, repay inter-group shareholder loans and fund mine development and rehabilitation at the group's mines.
Aquarius directors declared a final dividend of US10c per share payable, bringing the total dividend payable for the year ended 30 June 2008 to US20c, an increase of 43% over the previous year.
Aquarius shares closed 56c, or 5.5% lower at $9.70.