South Africa’s largest gold miner, backed by Patrice Motsepe, posts $2 billion in half-year revenue

Key Points

• Harmony Gold’s revenue jumped 19.3% to $2 billion, while net profit soared 33% to $445 million, driven by higher gold prices.
• Operating free cash flow rose 46% to $577 million, enabling a 54% increase in the interim dividend to $78.57 million.
• Harmony is advancing its copper strategy, leveraging global assets like Papua New Guinea’s Hidden Valley mine to drive future growth.

Harmony Gold, South Africa’s largest gold miner backed by Patrice Motsepe, Africa’s first Black billionaire, reported impressive results for the six months ended Dec. 31, 2024 (H1 2025). Revenue hit $2 billion, boosted by rising gold prices and strict cost management.

Revenue and profit climb amid favorable market conditions

The Johannesburg-based mining giant saw revenue jump 19.3 percent to R35.45 billion ($2 billion), up from R29.71 billion ($1.59 billion) a year earlier.

The increase was driven by a 23 percent rise in the average gold price to R1.41 million/kg ($2,437/oz). Net profit surged 33 percent to R7.93 billion ($445 million), while headline earnings per share (HEPS) also rose 33 percent to R12.70 ($0.69).

Operating free cash flow increased by 46 percent to R10.4 billion ($577 million), and the company ended the period with a record net cash position of R7.3 billion ($398 million). While all-in sustaining costs (AISC) rose 15 percent to R972,261/kg ($1,686/oz), expenses remained within guidance, reflecting disciplined financial management.

Gold production slipped 4 percent to 24,816 kg (797,854 oz) due to operational constraints, but underground recovered grades improved by 2 percent to 6.40g/t—highlighting the company’s focus on higher-quality ounces. 

Harmony’s strategy shifts beyond just gold

Looking ahead, Harmony is advancing its copper strategy to diversify beyond gold, with international operations—including Papua New Guinea’s Hidden Valley mine—playing an increasing role in its growth.

“Our strong financial position, record cash flow, and disciplined capital allocation put us in a great position to deliver sustainable returns,” said CEO Beyers Nel. Capitalizing on its robust cash flow, the board declared a record interim dividend of R2.27 ($0.124) per share, totaling R1.44 billion ($78.57 million)—a 54 percent increase from the previous year.

Growing assets and strengthening financial position

Founded in 1950, Harmony Gold operates across South Africa, Papua New Guinea, and Australia. The company’s total assets grew 15.2 percent to R68.9 billion ($3.76 billion) as of December 31, 2024, up from R59.79 billion ($3.26 billion) a year earlier—highlighting continued investment and expansion.

Retained earnings saw a sharp turnaround, climbing from R500 million ($27.27 million) in H1 2024 to R9.5 billion ($517.91 million) in H1 2025. This marks a significant recovery from the $282.95 million loss recorded in fiscal 2023.

Patrice Motsepe, who played a key role in Harmony Gold’s 2003 merger with Avmin, remains a major shareholder through African Rainbow Minerals (ARM), where he serves as executive chairman. He holds an 11.8 percent stake in the company.

Harmony has reaffirmed its full-year production target of 1.4 million to 1.5 million ounces and expects to maintain its cost and grade targets. The company’s solid financial position, bolstered by a net cash balance of R7.28 billion ($397.15 million), gives it the flexibility to pursue growth while ensuring strong shareholder returns.