- Turnover remained flat at R122.4 billion with a 3% sales volume increase.
- Secunda Operations' production volumes rose by 10%.
- Capital expenditure decreased by 43% to R8.5 billion.
- Net debt excluding leases is R63.3 billion, with a net debt to Adjusted EBITDA ratio of 1.6 times.
Financial Performance
Sasol's turnover remained flat at R122.4 billion, supported by a 3% increase in sales volumes despite a challenging macro environment. Adjusted EBITDA was R21.0 billion, 12% lower than the prior period, primarily due to a decline in the average Rand per barrel Brent crude oil price and lower US dollar per ton chemicals basket price. Earnings before interest and tax (EBIT) fell by 52% to R4.6 billion, impacted by non-cash remeasurement items and impairments.
Production and Costs
Secunda Operations' production volumes increased by 10%, aided by higher gasifier availability and no phase shutdown. Capital expenditure was reduced by 43% to R8.5 billion, mainly due to no Secunda shutdown and lower project expenditure in Mozambique. Free cash flow improved to R0.8 billion, supported by lower capital expenditure.
Debt and Liquidity
Net debt, excluding leases, stood at R63.3 billion, with a net debt to Adjusted EBITDA ratio of 1.6 times. Total debt decreased to R93.5 billion, and liquidity remains robust at above US$4 billion. Sasol issued a floating rate bond of R5.3 billion, receiving US$300 million, to diversify funding and reduce US dollar debt exposure.
Strategic Initiatives
Sasol's FY26 hedging programme is complete, with the FY27 programme underway. The company secured an additional 300 MW of renewable energy, increasing total capacity in South Africa to over 1,200 MW. This supports emission reductions and cost savings.
