Thungela Resources expects to report a loss for the year to end-December 2025, citing weaker coal markets and currency movements as the main factors affecting its earnings.
In a statement on Monday, the miner said it forecasts a headline loss per share of R5.50 to R7.50, down from headline earnings of R25.59 per share in 2024, amounting to a headline loss attributable to shareholders of R700m to R1bn.
The company said the results were mainly driven by R8.8bn in noncash impairments on property, plant and equipment, prompted by weaker seaborne thermal coal prices and the strength of the rand and Australian dollar relative to the dollar.
Deferred tax assets of R1.1bn, which represent potential future tax benefits the company cannot recognise this year, were also not accounted for, further lowering reported earnings.
Seaborne coal prices fell in 2025, with the Richards Bay benchmark down 15% and the Newcastle benchmark down 22% year on year. The fall was driven by weaker import demand from key markets, including Asia and Europe, coupled with continued global oversupply. Increased production from major coal exporters, combined with some countries turning to domestic coal or alternative energy sources, limited the uptake of seaborne coal.
The company will release its final results on March 23.
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