Sibanye-Stillwater (NYSE:SBSW) -9.3% pre-market Thursday after reporting Q1 adjusted EBITDA plunged from a year earlier and its South African gold production declined due to the labor dispute at its operations.
In its latest operations update, the miner said Q1 EBITDA of 13.66B South African rand ($886M) fell 31% from record EBITDA of 19.83B rand ($1.32B) reported for the year-ago quarter.
Sibanye (SBSW) said Q1 capital spending rose 62% Y/Y to 974M rand, primarily due to the 204M rand investment at the Marikana K4 project.
The company said South African gold production fell 45% Y/Y to 137.1K oz; U.S. palladium and platinum output slid 20% to 122.4K oz.
On wage negotiations, Sibanye (SBSW) said it will "continue to engage with organized labor in order to secure a fair and sustainable agreement, but will not be coerced into above inflation wage demands which may impact on the sustainability of our operations and negatively impact other stakeholders."
The company suspended its annual gold production guidance due to the lockout.
Sibanye-Stillwater's (SBSW) price return shows a 12% YTD gain but a 23% decline during the past year.