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HARMONY GOLD MINING COMPANY LIMITED - Provisional results for the year ended 30 June 2020

Release Date: 15/09/2020 07:05:00      Code(s): HAR       PDF(s):    
Provisional results for the year ended 30 June 2020

Harmony Gold Mining Company Limited
Registration number 1950/038232/06
Incorporated in the Republic of South Africa
ISIN: ZAE000015228
JSE share code: HAR
(“Harmony” and/or “the Company”)


Johannesburg. Tuesday, 15 September 2020. Harmony Gold Mining Company Limited
(“Harmony” or “the Company”) is pleased to announce its financial and operating
results for the year ended 30 June 2020 (“FY20”).

FY20 key features

-   9% increase in production profit to R7.197 billion (FY19: R6.588 billion)
-   3% decrease in average underground recovered grade at 5.45g/t (FY19: 5.59)
-   9% increase in revenue to R29.2 billion (FY19: R26.9 billion)
-   The company achieved a better than expected production performance in Q4 of FY20
    despite Covid-19 challenges
-   25% increase in average gold price received at R735 569/kg(FY19: R586 653/kg)
-   67% improvement in loss per share to 164 SA cents (71% improvement to 10 US
    cents)(FY19: loss of 498 SA cents (35 US cents))
-   175% decrease in headline loss per share to 154 SA cents(171% decrease to 10 US
    cents)(FY19: earnings of 204 SA cents (14 US cents))
-   No ordinary cash dividend declared for the year ended 30 June 2020 (nil for the
    year ended 30 June 2019)

Key operating results

                                           Year ended   Year ended       %
                                            June 2020    June 2019    Change
Gold produced                  kg              37 863       44 734      (15)
                               oz           1 217 323    1 438 231      (15)
Underground grade              g/t               5.45         5.59       (3)
Gold price received            R/kg           735 569      586 653       25
                               US$/oz           1 461        1 287       14
Cash operating costs           R/kg           553 513      439 722      (26)
                               US$/oz           1 099          965      (14)
Total costs and capital        R/kg           647 364      544 487      (19)
                               US$/oz           1 286        1 194       (8)
All-in sustaining costs        R/kg           651 356      550 005      (18)
                               US$/oz           1 293        1 207       (7)
Production profit              R million        7 197        6 588         9
                               US$ million        459          465       (1)
Exchange rate                  R/US$            15.66        14.18       10

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Key financial results
                                           Year ended Year ended         %
                                            June 2020  June 2019      Change
Basic loss per share           SA cents          (164)    (498)            67
                               US cents           (10)     (35)            71
Headline earnings/(loss)       R million         (828)    1 067         (178)
                               US$ million        (53)       75         (171)
Headline earnings per share/   SA cents          (154)      204         (175)
(loss)                         US cents           (10)       14         (171)

 “Harmony continues to make good progress in executing its strategy of producing
safe, profitable ounces and increasing margins. Our drive for safe ounces was never
more applicable than in the last quarter of the financial year as we faced the
challenge of managing and mitigating the risks presented by the COVID-19 pandemic.
Despite the impact of the South African lockdown and phased re-start of mining in
the country, we are pleased to report higher than anticipated production and
substantial delivery against our strategy in the last quarter of the year” Peter
Steenkamp, chief executive officer of Harmony said.

He added that “Harmony is well-positioned to benefit from the anticipated continuing
strength of the gold price. The newly acquired assets will help grow production and,
as conditions improve, Harmony has other Tier 1 projects such as Wafi-Golpu and a
pipeline of organic projects in South Africa to incorporate into its portfolio.”

FY21 group production and cost guidance

In the next financial year, we plan to produce between 1.25Moz and 1.3Moz at an all-
in sustaining unit cost of between R690 000/kg and R710 000/kg. Underground recovered
grade is planned to be between 5.53g/t and 5.58g/t. Guidance will be updated once
Mponeng and Mine Waste Solutions have been integrated into Harmony’s asset portfolio.

Short form announcement:

This short-form announcement is the responsibility of the board of directors of the
Company (“Board”).

Shareholders are advised that this short-form announcement represents a summary of
the information contained in the full announcement (results booklet) and does not
contain full or complete details published on the Stock Exchange News Service
(“SENS”), via the JSE link and on Harmony’s website (www.harmony.co.za) on 15
September 2020.

The financial results as contained in the condensed consolidated financial statements
for the year ended 30 June 2020 have been reviewed by PricewaterhouseCoopers Inc.,
who expressed an unmodified review conclusion thereon.

Any investment decisions by investors and/or shareholders should be based on a
consideration of the full announcement as a whole and shareholders are encouraged
to review the full announcement (results booklet), which is available for viewing
on the Company’s website referred to above and via the JSE link.

                                                                                  Page | 2
The full announcement (results booklet) is also available for inspection at the
registered office of the Company, Randfontein Office Park, Randfontein, 1760, Corner
Main Reef Road/Ward Avenue, Randfontein and at the offices of the sponsors, JP
Morgan. Inspection of the full announcement is available to investors and/or
shareholders at no charge, during normal business hours from today, 15 September
2020, until 22 September 2020.

Copies of the full announcement (results booklet) may be requested from

The JSE link is as follows:


For more details contact:

Max Manoeli
Senior Investor Relations Coordinator
+27(0)82 759 1775 (mobile)

Marian van der Walt
Senior Group Executive: Enterprise Risk and Investor Relations
+27(0)82 888 1242 (mobile)

Johannesburg, South Africa
15 September 2020

J.P. Morgan Equities South Africa Proprietary Limited

                                                                                      Page | 3

Date: 15-09-2020 07:05:00
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