S.Africa's Sibanye expects sharp profit fall after strike, floods hit output

(Reuters) - Sibanye Stillwater said on Wednesday it expected its half-year profit to fall by as much as 52%, after a strike at its South African gold mines and flooding at its U.S. platinum group metal (PGM) operations hit production.

Sibanye said its headline earnings per share (HEPS) - the main profit measure for South African companies - would be between 4.02 rand ($0.2447) and 4.47 rand in the six months to June 30, compared to 8.43 rand previously.

The company said gold production was 77% lower during the first half following a three-month strike at its South African gold operations between March 9 and June 13.

A seven-week suspension of production at Sibanye's U.S PGM operations following floods had resulted in a 23% decline in output from the Montana operations, the company said in a trading update.

Sibanye said it had also realised lower prices for its basket of commodities, with PGM prices having come off historical highs seen during the first half of 2021 as the global economy emerged from COVID-19 lockdowns.

The company expects to release its half-year financial results on Aug.25.

($1 = 16.4269 rand)

(Reporting by Nelson Banya; Editing by Edmund Blair)