Chapter 4: Financial statements

4.1Group financial statements

4.1.1 Statement of comprehensive income

For the year ended 31 December	Note	2025 Rm	2024 Rm

Revenue	6.1.2	41 771	40 725
Operating expenses	6.1.3	(34 656)	(33 118)
Operating profit		7 115	7 607
Gain on disposal of subsidiary	8.3	32
Net operating profit		7 147	7 607
Finance income	12.1.2	1 739	1 786
Finance costs	12.1.2	(1 124)	(1 216)
Share of income of equity-accounted investments	9.3	4 488	4 270
Profit before tax		12 250	12 447
Income tax expense	7.3	(2 390)	(2 377)
Profit for the year		9 860	10 070
Other comprehensive loss, net of tax		(547)	(99)
Items that will not be reclassified to profit or loss		(40)	14
– Remeasurement of retirement employee obligations			6
– Changes in fair value of equity investments at FVOCI		(39)	6
– Share of OCI of equity-accounted investments		(1)	2
Items that may subsequently be reclassified to profit or loss		(525)	(94)
– Unrealised exchange differences on translation of foreign operations		(81)	11
– Changes in fair value on cash flow hedges		(278)	(20)
– Changes in fair value on costs of hedging		(33)	(5)
– Share of OCI of equity-accounted investments		(133)	(80)
Items that have subsequently been reclassified to profit or loss		18	(19)
– Recycling of changes in fair value on cash flow hedges		18	(19)


Total comprehensive income for the year		9 313	9 971
Profit attributable to
Owners of the parent		7 564	7 724
Non-controlling interests	17.7.1	2 296	2 346
Profit for the year		9 860	10 070
Total comprehensive income attributable to
Owners of the parent		7 182	7 651
Non-controlling interest	17.7.1	2 131	2 320
Total comprehensive income for the year		9 313	9 971

	Note	cents	cents
Attributable earnings per share
Basic	5.2	3 178	3 192
Diluted	5.2	3 178	3 192

The notes to the financial statements are set out in chapters 3 and 5 to 18 respectively.

4.1.2 Statement of financial position

At 31 December	Note	2025 Rm	2024 Rm

Assets
Non-current assets		70 547	66 799
Property, plant and equipment	10.1.3	39 667	37 292
Intangible assets	10.2.3	2 613	2 598
Right-of-use assets	11.3	626	281
Equity-accounted investments	9.4	21 592	20 596
Financial assets	10.3.2	5 015	5 266
Deferred tax	7.5	388	197
Other assets	10.4.1	646	569
Current assets		32 663	27 917
Inventories	6.2.2	2 790	2 427
Financial assets	10.3.2	1 259	159
Trade and other receivables	6.2.3	4 283	4 230
Cash and cash equivalents	6.2.5	23 690	20 630
Current tax receivables		86	15
Other assets	10.4.1	555	456

Total assets		103 210	94 716
Equity and liabilities
Capital and other components of equity
Share capital	12.2.2	952	983
Other components of equity		834	1 119
Retained earnings		54 189	51 885
Equity attributable to owners of the parent		55 975	53 987
Non-controlling interests	17.7.1	15 275	14 563
Total equity		71 250	68 550
Non-current liabilities		25 555	20 351
Interest-bearing borrowings	12.1.3	11 259	7 344
Lease liabilities	11.4	675	334
Other payables	6.2.4	11	40
Provisions	13.3	3 681	3 359
Retirement employee obligations	14.4	191	181
Financial liabilities	12.1.7	398	129
Deferred tax	7.5	9 301	8 926
Other liabilities	12.1.8	39	38
Current liabilities		6 405	5 815
Interest-bearing borrowings	12.1.3	938	876
Lease liabilities	11.4	104	96
Trade and other payables	6.2.4	3 897	3 351
Provisions	13.3	355	282
Financial liabilities	12.1.7	22	22
Current tax payables		77	214
Other liabilities	12.1.8	1 012	974

Total liabilities		31 960	26 166
Total equity and liabilities		103 210	94 716

4.1.3 Statement of changes in equity

			Other components of equity

	Note	Share capital Rm	Foreign currency translation Rm	Cash flow hedges Rm	Cost of hedging Rm	Equity- settled Rm
At 31 December 2023		983	1 358	(27)	(7)	(66)
Total comprehensive income/(loss)			13	(93)	(4)
– Profit for the year
– Other comprehensive income/(loss) for the year	7.7;17.7.1		13	(93)	(4)
Transfer to property, plant and equipment (net of tax)1				9	4
Transactions with owners						(162)
Contributions and distributions						(162)
– Dividends paid	5.6;17.7.1
– Share-based payments movement2						(162)
Changes in ownership interest
– Recognition of NCI3	17.7.1


At 31 December 2024		983	1 371	(111)	(7)	(228)
Total comprehensive (loss)/income			(199)	(132)	(20)
– Profit for the year
– Other comprehensive (loss)/income for the year	7.7;17.7.1		(199)	(132)	(20)
Transfer to property, plant and equipment (net of tax)1				20	23
Transactions with owners		(31)				54
Contributions and distributions		(31)				54
– Dividends paid	5.6;17.7.1
– Share-based payments movement2						54
– Shares repurchased and cancelled4	12.2.3	(31)
– Share repurchase expenses


At 31 December 2025		952	1 172	(223)	(4)	(174)



	Retirement employee obligations Rm	Financial asset FVOCI revaluation Rm	Other Rm	Retained earnings Rm	Attributable to owners of the parent Rm	Non- controlling interests Rm	Total equity Rm
At 31 December 2023	40	39	4	49 923	52 247	14 160	66 407
Total comprehensive income/(loss)	6	5		7 724	7 651	2 320	9 971
– Profit for the year				7 724	7 724	2 346	10 070
– Other comprehensive income/(loss) for the year	6	5			(73)	(26)	(99)
Transfer to property, plant and equipment (net of tax)1					13		13
Transactions with owners				(5 762)	(5 924)	(1 917)	(7 841)
Contributions and distributions				(5 744)	(5 906)	(1 935)	(7 841)
– Dividends paid				(5 744)	(5 744)	(1 935)	(7 679)
– Share-based payments movement2					(162)		(162)
Changes in ownership interest				(18)	(18)	18
– Recognition of NCI3				(18)	(18)	18


At 31 December 2024	46	44	4	51 885	53 987	14 563	68 550
Total comprehensive (loss)/income	(1)	(30)		7 564	7 182	2 131	9 313
– Profit for the year				7 564	7 564	2 296	9 860
– Other comprehensive (loss)/income for the year	(1)	(30)			(382)	(165)	(547)
Transfer to property, plant and equipment (net of tax)1					43		43
Transactions with owners				(5 260)	(5 237)	(1 419)	(6 656)
Contributions and distributions				(5 260)	(5 237)	(1 419)	(6 656)
– Dividends paid				(4 071)	(4 071)	(1 419)	(5 490)
– Share-based payments movement2					54		54
– Shares repurchased and cancelled4				(1 169)	(1 200)		(1 200)
– Share repurchase expenses				(20)	(20)		(20)


At 31 December 2025	45	14	4	54 189	55 975	15 275	71 250

1 Hedging gains and losses and costs of hedging transferred to property, plant and equipment during the year.

2 Relates to the net amount of the share-based payment expense of R184 million (2024: R208 million) as well as the deferred tax movement of R43 million (2024: R49 million) and the value of shares acquired in the market to settle vested share-based payment transactions of R173 million (2024: R321 million).

3 Relates to the recognition of the NCI’s share of Amakhala SPV’s net asset value, amounting to R59 million, upon the exercise of its in-substance share option, amounting to R41 million.

4 Relates to the repurchase and cancellation of 7 391 418 ordinary shares to the value of R1.2 billion in terms of the share repurchase programme.

Foreign currency translation

Arises from the translation of financial statements of foreign operations within the group as well as the share of equity-accounted investments’ foreign currency translation reserves.

Cash flow hedges

Comprises the group’s cash flow hedge reserves relating to interest rate swaps and the spot rate component of FECs as well as the share of equity-accounted investments’ hedging reserves.

Cost of hedging

Comprises the group’s cost of hedging reserves, which reflects gains or losses on the portion excluded from the designated hedging instrument that relates to the forward element of FECs. It is initially recognised in OCI and accounted for similarly to gains or losses in the hedge reserves.

Equity-settled

Represents the fair value, net of tax, of services received from employees and settled by equity instruments granted.

Retirement employee obligations

Comprises remeasurements, net of tax, on the retirement employee obligations as well as the share of equity-accounted investments’ retirement employee obligations reserves.

Financial asset FVOCI revaluation

Comprises the fair value adjustments, net of tax, on the financial assets classified at FVOCI.

4.1.4 Statement of cash flows

For the year ended 31 December	Note	2025 Rm	2024 Rm

Cash flows from operating activities		8 380	8 425
Cash generated by operations	6.3.1	10 040	10 432
Interest received	12.1.6	1 680	1 720
Interest paid	12.1.6	(1 059)	(1 095)
Tax paid	7.6.1	(2 281)	(2 632)
Cash flows from investing activities		(1 867)	1 084
Property, plant and equipment acquired		(5 099)	(2 448)
Intangible assets acquired		(33)	(27)
Proceeds from disposal of property, plant and equipment		1
Cash received from other financial assets at amortised cost		141	111
ESD loans granted		(76)	(130)
ESD loans settled		117	84
Intervention receivable granted		(57)	(33)
Deposit facilities placed		(360)	(360)
Lease receivables settled		16	16
Proceeds from disposal of subsidiary	8.3	116
Dividends received from equity-accounted investments	9.5	3 367	3 871
Cash flows from financing activities		(3 192)	(8 742)
Interest-bearing borrowings raised	12.1.3	7 365	705
Interest-bearing borrowings repaid	12.1.3	(3 375)	(1 397)
Transaction costs paid on interest-bearing borrowings raised	12.1.3	(57)
Lease liabilities paid	11.4	(62)	(50)
Acquisition debt settled1		(180)
Dividends paid to owners of the parent	5.6	(4 071)	(5 744)
Dividends paid to NCI BEE Parties	17.7.1	(1 382)	(1 893)
Dividends paid to NCI of Tsitsikamma SPV and Amakhala SPV	17.7.1	(37)	(42)
Shares acquired in the market to settle share-based payments		(173)	(321)
Shares repurchased including transaction expenses		(1 220)

Net increase in cash and cash equivalents		3 321	767
Cash and cash equivalents at beginning of the year		20 630	19 859
Translation difference on movement in cash and cash equivalents		(261)	4
Cash and cash equivalents at end of the year	6.2.5	23 690	20 630

1 Relates to the settlement of a dividend payable that was an assumed liability of the Karreebosch project asset acquisition.