PADENGA Holdings Limited (Padenga) posted a 187% profit surge to US$26,29 million for its half year performance ended June 30, 2025, driven by a 38% revenue jump boosted by stronger gold prices.
Padenga, a miner and crocodile farmer, recorded its profit after tax from a 2024 comparative of US$9,24 million.
Padenga’s mining subsidiary Dallaglio Investments (Private) Limited (Dallaglio) recorded turnover of US$123,37 million during the review period, an increase of 41% from the prior year comparative.
The group’s mining business thus contributed 94,4% to total revenue of US$130,68 million during the period, the balance of which was generated by its agribusiness arm.
“The group delivered another set of strong financial results for the half-year ended 30 June 2025. This positive performance was largely attributable to the mining division, which benefited from the firmer gold spot prices,” Padenga chairman Thembinkosi Sibanda said in a statement attached to the group’s
half year report ended June 30, 2025.
“The division realised an average gold spot price of US$3 106/oz [ounce], compared to same period prior year average spot price of US$2 198/oz. The group recorded revenue of US$130,68 million for the six months under review, a 38% increase over the US$94,88 million recorded in prior period.
“This positive performance was largely attributable to the mining division, which benefited from the firmer gold spot prices and production volumes that surpassed targets and prior year.”
- Padenga halts croc meat exports as EU tightens screws
- Eureka boosts Padenga
- ‘Zim inflation to hit 400% by Q1 2023’
- Padenga returns to profitability
Keep Reading
Dallaglio produced 1 292kgs of gold during the period under review, up 7% from the 1 209kgs in the comparative 2024 period.
“This increase was on the back of stronger grades and higher plant recoveries,” Sibanda explained.
Consequently, cash generation from mining operations of US$38,12 million was realised, representing a 183% growth from the prior year.
This strong cash generation supported continued investment in strategic growth and debt reduction.
“Phase 3 of the underground project at Pickstone mine is progressing according to schedule. Access to Level 10 was established during the period and development at the Level has commenced, targeting commissioning of the loading and hoisting infrastructure at Level 10,5 in December 2025,” Sibanda said.
“In addition, Pickstone mine will embark on the addition of a pre-oxidation facility in the second half of the year.
‘This facility will improve leachability of ore going into the carbon-in-leach (CIL) stage and enhance overall plant recovery. Procurement for the project will commence in Q3 and commissioning is targeted for Q1 2026.”
He said preliminary work on the 4,9 megawatt (MW) solar project at Pickstone mine was completed in the second quarter which provide alternative power amid nationwide cuts.
“Procurement is in progress and the plant will be commissioned by November 30, 2025. At Eureka mine, procurement of long-lead items has begun for the upgrade of the gravity circuit. Work on the project will begin in Q3 with expected completion in February 2026,” Sibanda added.
“This project will result in an improvement of overall plant recovery at Eureka. Progress on the Eureka Mine 5MW solar project is underway and first power is expected to be delivered in Q1 2026.”
The better mining performance led the group’s board of Padenga Agribusiness (Privated) Limited (PAB) to go ahead with discontinuing Ume Crocodile Farm (UCF) operations, a major crocodile skins business.
The group blamed this on reduced demand for skins.
Hence, UCF operations were classified as assets held for sale as of June, valued at US$16,12 million, which will provide significant cash capital to Padenga.
Resultantly, Padenga’s balance sheet remained firm, with total assets of US$234,1 million being recorded, up from US$233,84 million as of the end of 2024.
Padenga ended the period in a liquid position, having US$2,04 for every dollar of short-term debt, leaving it able to continue with its capital projects.
“Dallaglio forecasts 2025 full-year production that is in line with the prior year. Production growth is expected in 2026 when the projects highlighted above come online. The right-sizing exercise for the agribusiness division has progressed as planned, with Ume Crocodile farm operations having been discontinued by June 30, 2025,” Sibanda said.
“The group remains on a strong profitability growth trajectory, underpinned by a resilient business model and disciplined execution. Borrowings have significantly reduced, and focus remains on efficient cost optimisation.”
