Chapter 3: Segmental reporting

The performance of the operating segments is assessed based on EBITDA, which is considered to be an appropriate performance measure of profitability for the group’s business and is the measure applied by management to monitor performance at a consolidated level as management believes that this measure is relevant to an understanding of the group’s financial performance. EBITDA is not a defined performance measure in IFRS Accounting Standards. The group’s definition of EBITDA may not be comparable with similarly titled performance measures and disclosures by other entities. Refer to the table below for further details.

In line with the changes to the executive leadership team and organisational structures, and in anticipation of the completion of the select manganese assets acquisition (refer note 18.3), the segmental information was re-presented, notably, to incorporate a metals reportable segment comprising manganese, iron ore and base metals. The revised operating segments are aligned to the leadership structure and operating model as well as the internal evaluation of operating segment performance. In addition, FerroAlloys has been included in the other reportable segment.

The adjustments to the segmental information include:

• FerroAlloys financial results up to the date of disposal (31 October 2025) have been included in the other segment as the group no longer reports a ferrous reportable segment
• A metals reportable segment comprising manganese, iron ore and base metals as operating segments (aligned with the responsibilities of the executive head: metals) was introduced

The segments, as described below, offer different goods and services, and are managed separately based on commodity, location and support function grouping. The group executive committee review internal management reports on these operating segments at least quarterly.

In line with reporting trends, emphasis is placed on controllable costs. Indirect corporate costs are reported on a gross level in the other reportable segment.

Coal

The coal operations produce thermal coal, metallurgical coal and SSCC and are made up of the following reportable segments:

Commercial Waterberg: Comprising mainly of the Grootegeluk operation.

Commercial Mpumalanga: Comprising of the Belfast and Leeuwpan operations, as well as the 50% (2024: 50%) joint venture in Mafube with Thungela.

Tied: Comprising of the Matla mine supplying its entire coal supply to Eskom.

Other: Comprising of the other coal affiliated operations, including mines in closure and a 10.26% (2024: 10.26%) equity interest in RBCT.

Revenue and related cost items are allocated between the coal reportable segments and disclosed based on the origin of the initial coal production.

Energy

The energy operations generate electricity from renewable energy technology. The energy reportable segment comprises mainly of the Amakhala SPV and Tsitsikamma SPV windfarm operations as well as LSP and Karreebosch which are in the construction phase.

Metals

The metals operations are made up of the following reportable segments:

Manganese: Comprising the holding company of the future select manganese assets (refer note 18.3).

Iron ore: Comprising of the 20.62% (2024: 20.62%) equity interest in SIOC.

Base metals: Comprising of the 26% (2024: 26%) equity interest in Black Mountain.

Other

The other operations of the group comprise mainly of the corporate office (rendering corporate management services) and the Ferroland agricultural operation. The disposal of the FerroAlloys business and the results up to the date of the sale are included as well.

The following tables present a summary of the group’s segmental information:

1 Net operating loss of the manganese operating segment mainly relates to the transaction costs incurred in relation to the acquisition of the select
manganese assets (refer note 18.3).

2 Calculated per legal entity.

3 Offset per legal entity and tax authority.

1 Calculated per legal entity.

2 Offset per legal entity and tax authority.