JOHANNESBURG, Aug. 25, 2025 /PRNewswire/ -- Simon Baloyi, President and Chief Executive Officer, said: "This year's results reflect the decisive actions we are taking to reshape Sasol for the future. We contained cash fixed cost increases below inflation, optimised capital spend, generated higher free cash flow and strengthened our balance sheet. We are advancing our strategic initiatives to restore the Southern Africa value chain, reset International Chemicals, and deliver our growth and transform ambitions. However, the global environment remains complex and volatile."
Sasol is making encouraging progress on our key priorities communicated at Capital Markets Day 2025 despite a challenging macro and operating environment with free cash flow after tax, interest and capital expenditure increasing by 75% to R12,6 billion. Earnings (pre-tax) were supported by non-recurring items, including the Transnet net cash settlement of R4,3 billion and the reduction in the environmental rehabilitation provision of R2,9 billion, offset by lower unrealised gains of R2 billion from the translation of monetary assets and liabilities and revaluation of derivatives (compared to R4,7 billion the prior year). This improvement was further supported by management actions in line with our goal to deliver sustainable long-term value to our stakeholders.
A 15% decline in the Rand oil price, significant reductions in refining margins and fuel price differentials, along with 3% lower sales volumes resulted in a 9% decrease in Turnover to R249 billion. Adjusted earnings before interest, tax, depreciation and amortisation (adjusted EBITDA) was R51,8 billion, a decline of 14%.
Through disciplined cost and capital management, cash fixed cost increases were kept below inflation, while capital expenditure of R25,4 billion was 16% lower than the prior year.
Total impairments of R20,7 billion were significantly lower than the R74,9 billion in the prior year, with R13 billion related to the Secunda and Sasolburg liquid fuel refinery cash generating units (CGU), which remain fully impaired. The recoverable amount improved through management actions but was negatively impacted by lower forecast macroeconomic price assumptions. Additional management initiatives need to be progressed before their benefits can be incorporated in the impairment calculations.
Additional impairments were recorded on Mozambique and Italy Care Chemicals CGUs, offset by the reversal of impairment for the China Care Chemicals CGU.
Basic earnings per share (EPS) increased by more than 100% to R10,60 per share compared to a loss per share of R69,94 in the prior year. Headline earnings per share $(HEPS)$ improved by 93% to R35,13 per share.
The balance sheet was strengthened due to strong free cash flow generation supported by the impact of non-recurring items such as the Transnet settlement. Our net debt (excluding leases) declined 13% to R65,0 billion (US$3,7 billion) while total long-term debt reduced by 12% to R103,3 billion (US$5,8 billion).
Liquidity was further enhanced through the successful closure of a R5,3 billion ZAR floating rate bond in July 2025. This issuance supports our strategy to better align the currencies of our regional liabilities and cash flow and at a lower cost relative to other capital market options. Proactive hedging further helps to manage risk in a volatile macroeconomic environment.
Key metrics 2025 2024 Change %
Turnover 249 096 275 111 (9)
Adjusted EBITDA (R million) 51 764 60 012 (14)
EBIT/(LBIT) (R million) 18 819 (27 305) > 100
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Basic earnings/(loss) per share (Rand) 10,60 (69,94) > 100
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Headline earnings per share (Rand) 35,13 18,19 93
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Capital expenditure (R million) 25 413 30 159 16
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Free cash flow([1]) (R million) 12 558 7 173 75
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Net debt (excluding leases) (R million) 64 964 74 501 13
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Interim dividend (Rand per share) - 2,00 (100)
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Final dividend (Rand per share) - - -
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(1.) Free cash flow is defined as cash available from operating activities
less first order capital and related capital accruals.
Net asset value 2025 2024 Change %
Total assets (R million) 359 555 364 980 (1)
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Total liabilities (R million) 201 944 217 553 7
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Total equity (R million) 157 611 147 427 7
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Turnover EBIT/(LBIT)([) (1])
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2025 2024 2025 2024
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R million R million R million R million
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Southern Africa Energy and
Chemicals
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30 373 28 876 Mining 3 954 3 210
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13 133 12 158 Gas 3 048 6 703
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98 419 118 864 Fuels 5 222 18 947
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63 528 66 883 Chemicals Africa 5 009 6 290
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International Chemicals
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38 703 41 805 America 1 666 (61 209)
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42 571 42 201 Eurasia (1 211) (2 388)
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- - Business Support 1 131 1 142
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286 727 310 787 Group performance 18 819 (27 305)
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(37 631) (35 676) Intersegmental turnover
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249 096 275 111 External turnover
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(1.) Loss before interest and tax.
Dividend
The Company's dividend policy is based on 30% of free cash flow generated provided that net debt (excluding leases) is sustainably below US$3 billion. Net debt at 30 June 2025 was US$3,7 billion. In keeping with the policy, no dividend was declared by the Sasol Limited board of directors (the Board).
Changes to Board Committee membership
In compliance with the JSE Limited Listings Requirements and the JSE Debt Listings Requirements, shareholders and noteholders are advised that Ms Xikongomelo Maluleke, an independent non-executive director, has been appointed as member of the Audit Committee and the Safety, Social and Ethics Committee with effect from 22 August 2025. Mr Manuel Cuambe will step down as member of the Safety, Social and Ethics Committee with effect from 22 August 2025.
Short-form statement
This announcement is the responsibility of the Board and is only a summary of the information in Sasol Limited's Annual Financial Statements for the year ended 30 June 2025 (the Annual Financial Statements). The Annual Financial Statements have been audited by Sasol's external auditors, KPMG, who expressed an unmodified opinion thereon. Financial figures in this announcement have been correctly extracted from the audited Annual Financial Statements. The information in this announcement has not been audited and reported on by Sasol Limited's external auditors.
Any investment decision should also take into consideration the information contained in the Annual Financial Statements, published on SENS on 25 August 2025, via the JSE link. The Annual Financial Statements, including KPMG's unmodified opinion, are available through a secure electronic manner at the election of the person requesting inspection, and have been published and can be found on the company's website, https://www.sasol.com/investor-centre/financial results, and can also be viewed on the JSE link, https://senspdf.jse.co.za/documents/2025/JSE/ISSE/SOL/FY25Result.pdf.
Important information
Sasol will present its 2025 financial results on Monday, 25 August 2025 at 09h00 (SA time). This will be followed by a market call, hosted by President and Chief Executive Officer, Simon Baloyi, and Chief Financial Officer, Walt Bruns, to address questions.
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