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Audited Financial Results For The Year Ended 30 June 2024
Sasol Limited
(Incorporated in the Republic of South Africa)
(Registration number 1979/003231/06)
Sasol Ordinary Share codes: JSE: SOL NYSE: SSL
Sasol Ordinary ISIN codes: ZAE000006896 US8038663006
Sasol BEE Ordinary Share code: JSE: SOLBE1
Sasol BEE Ordinary ISIN code: ZAE000151817
(Sasol, the Company or the Equity issuer)
Sasol Financing Limited
(Incorporated in the Republic of South Africa)
(Registration number: 1998/019838/06)
Company code: SFIE
LEI: 378900A5BC68CC18C276
(Sasol Financing or the Debt issuer)
AUDITED FINANCIAL RESULTS FOR THE YEAR ENDED 30 JUNE 2024
Earnings performance
Sasol's financial results for the year ended 30 June 2024 were negatively impacted by challenging
market conditions, with continued pressure from constrained margins and depressed chemicals
prices resulting in turnover of R275,1 billion being 5% lower than the prior year. However, these
factors were partially offset by the stronger rand oil price, improved refining margins, reduced total
costs and higher sales volumes. Additionally, Sasol's stronger operational performance in the
fourth quarter contributed to an overall stronger performance in the second half of the year.
A loss before interest and tax (LBIT) of R27,3 billion was incurred compared to earnings before
interest and tax (EBIT) of R21,5 billion in the prior year. This decline was mainly due to increased
asset impairments, lower earnings before interest, tax, depreciation and amortisation, translation
losses and reduced derivative gains.
An impairment loss of R56,7 billion net of tax (R74,9 billion gross) was recorded, mainly relating to
the following impairments:
• Chemicals America Ethane value chain (Alcohols, Alumina, Ethylene Oxide, Ethylene Glycol
and associated shared assets) cash generating unit (CGU) of R45,5 billion net of tax (R58,9
billion gross). The impairments are primarily driven by external conditions, including
prolonged softer market pricing and outlook;
• A total of R3,9 billion net of tax (R5,3 billion gross) relating to the Chemicals Africa
Polyethylene, Chlor-Alkali & Polyvinyl Chloride, and South African Wax value chain CGUs, of
which R0,9 billion net of tax (R1,2 billion gross) was impaired at 31 December 2023. The
further impairment at 30 June 2024 relates to the Polyethylene CGU as a result of
oversupply and reduced demand in the global market. The South African Wax value chain
CGU remains fully impaired; and
• Secunda liquid fuels refinery CGU of R5,7 billion net of tax (R7,8 billion gross), which
remains fully impaired at 30 June 2024.
The prior year included impairments of R33,7 billion (gross) mainly due to the Secunda liquid fuels
refinery CGU (R35,3 billion), South African Wax value chain CGU (R0,9 billion), China Essential
Care Chemicals CGU (R0,9 billion), offset by a reversal of the US Tetramerisation CGU
impairment (R3,6 billion).
Key metrics 2024 2023 Change %
(LBIT)/EBIT (R million) (27 305) 21 520 > (100)%
Headline earnings (R million) 11 513 33 777 (66)%
Basic (loss)/earnings per share (Rand) (69,94) 14,00 > (100)%
Headline earnings per share (Rand) 18,19 53,75 (66)%
Interim dividend (Rand per share) 2,00 7,00 (71)%
Final dividend (Rand per share) - 10,00 > (100)%
Net asset value 2024 2023 Change %
Total assets (R million) 364 980 433 838 (16)%
Total liabilities (R million) 217 553 232 314 6%
Total equity (R million) 147 427 201 524 (27)%
Turnover EBIT/(LBIT)1
2024 2023 2024 2023
R million R million R million R million
Energy business
28 876 27 666 Mining 3 210 2 580
12 158 11 988 Gas 6 703 6 432
118 864 118 708 Fuels 18 947 (7 128)
Chemicals business
66 883 70 586 Africa 6 290 17 669
41 805 44 942 America (61 209) (543)
42 201 48 194 Eurasia (2 388) (1 188)
- - Corporate Centre 1 142 3 698
310 787 322 084 Group performance (27 305) 21 520
(35 676) (32 388) Intersegmental turnover
275 111 289 696 External turnover
1 Loss before interest and tax
Dividend
The Company's dividend policy was based on 2,5x to 2,8x Core headline earnings per share
(CHEPS). The disconnect between headline earnings and cashflow generation, as well as
elevated leverage levels, has necessitated a revision to the company's dividend policy.
The Sasol Limited board of directors (the Board) approved a change in the Company's dividend
policy. The revised policy is based on 30% of free cash flow generated provided that net debt
(excluding leases) is below USD4 billion on a sustained basis. Free cash flow is defined as before
discretionary capital spend and dividends paid.
The actual net debt for 2024 of USD4,1 billion exceeds the net debt trigger in the new dividend
policy and results in no final dividend being declared for 2024, resulting in a full year dividend of
R2 per share.
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 2024 (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. This
announcement does not include the information required pursuant to paragraph 16A(j) of IAS 34
'Interim Financial Reporting'. 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 20 August 2024, 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/2024/JSE/ISSE/SOL/FY24Result.pdf
Important information
Sasol will present its 2024 financial results on Tuesday, 20 August 2024 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, Hanré Rossouw, to address questions.
Please connect to the call via the webcast link: https://www.corpcam.com/Sasol20082024
or via teleconference call link:
https://services.choruscall.za.com/DiamondPassRegistration/register?con…
525&linkSecurityString=8ab1fbf22
A recording of the presentation will be available on the website thereafter at
https://www.sasol.com/investor-centre/financial-results.
20 August 2024
Equity sponsor: Merrill Lynch South Africa (Pty) Limited t/a BofA Securities
Debt sponsor: Rand Merchant Bank (a division of FirstRand Bank Limited)
Disclaimer - Forward-looking statements
Sasol may, in this document, make certain statements that are not historical facts and relate to
analyses and other information which are based on forecasts of future results and estimates of
amounts not yet determinable. These statements may also relate to our future prospects,
expectations, developments, and business strategies. Examples of such forward-looking
statements include, but are not limited to, the capital cost of our projects and the timing of project
milestones; our ability to obtain financing to meet the funding requirements of our capital
investment programme, as well as to fund our ongoing business activities and to pay dividends;
statements regarding our future results of operations and financial condition, and regarding future
economic performance including cost containment, cash conservation programmes and business
optimisation initiatives; recent and proposed accounting pronouncements and their impact on our
future results of operations and financial condition; our business strategy, performance outlook,
plans, objectives or goals; statements regarding future competition, volume growth and changes in
market share in the industries and markets for our products; our existing or anticipated
investments, acquisitions of new businesses or the disposal of existing businesses, including
estimates or projection of internal rates of return and future profitability; our estimated oil, gas and
coal reserves; the probable future outcome of litigation, legislative, regulatory and fiscal
developments, including statements regarding our ability to comply with future laws and
regulations; future fluctuations in refining margins and crude oil, natural gas and petroleum and
chemical product prices; the demand, pricing and cyclicality of oil, gas and petrochemical product
prices; changes in the fuel and gas pricing mechanisms in South Africa and their effects on prices,
our operating results and profitability; statements regarding future fluctuations in exchange and
interest rates and changes in credit ratings; total shareholder return; our current or future products
and anticipated customer demand for these products; assumptions relating to macroeconomics;
climate change impacts and our climate change strategies, our development of sustainability
within our businesses, our energy efficiency improvement, carbon and greenhouse gas emission
reduction targets, our net zero carbon emissions ambition and future low-carbon initiatives,
including relating to green hydrogen and sustainable aviation fuel; our estimated carbon tax
liability; cyber security; and statements of assumptions underlying such statements. Words such
as "believe", "anticipate", "expect", "intend", "seek", "will", "plan", "could", "may", "endeavour",
"target", "forecast" and "project" and similar expressions are intended to identify forward-looking
statements but are not the exclusive means of identifying such statements. By their very nature,
forward-looking statements involve inherent risks and uncertainties, both general and specific, and
there are risks that the predictions, forecasts, projections, and other forward-looking statements
will not be achieved. If one or more of these risks materialise, or should underlying assumptions
prove incorrect, our actual results may differ materially from those anticipated. You should
understand that a number of important factors could cause actual results to differ materially from
the plans, objectives, expectations, estimates and intentions expressed in such forward-looking
statements. These factors and others are discussed more fully in our most recent annual report on
Form 20-F filed on 1 September 2023 and in other filings with the United States Securities and
Exchange Commission. The list of factors discussed therein is not exhaustive; when relying on
forward-looking statements to make investment decisions, you should carefully consider foregoing
factors and other uncertainties and events, and you should not place undue reliance on forward-
looking statements. Forward-looking statements apply only as of the date on which they are made,
and we do not undertake any obligation to update or revise any of them, whether as a result of
new information, future events or otherwise.
Please note: One billion is defined as one thousand million, bbl – barrel, bscf – billion standard
cubic feet, mmscf – million standard cubic feet, oil references Brent crude, mmboe – million
barrels oil equivalent. All references to years refer to the financial year ending 30 June. Any
reference to a calendar year is prefaced by the word "calendar".
Date: 20-08-2024 07:10:00
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