Sasol Reports Fiscal 2026 Results with Debt at Ten-Year Low
On September 1, Sasol Limited (NYSE:SSL) reported fiscal 2026 results showing significant improvement in its financial and operational performance. Net debt fell to a ten-year low of $3.3 billion, while adjusted EBITDA increased by 17% year-over-year to ZAR 61 billion. The company also achieved record production levels at the Secunda plant due to improved coal quality and gas availability. Despite these gains, Sasol faces ongoing challenges in global chemical markets that remain oversupplied with weak demand. Management warned of continued pressure on prices until a gradual recovery occurs. Additionally, currency fluctuations—particularly a stronger rand—are affecting earnings as much of the company’s revenue is linked to U.S. dollars. The firm also reported impairments related to its Secunda liquid fuels refinery and South African polyethylene unit due to these headwinds. Looking ahead, Sasol plans to reduce external coal purchases while increasing own production toward 34 million tonnes by 2028. Capital spending for fiscal 2027 is expected to rise slightly, but dividends remain off the table until net debt remains sustainably below $3 billion.
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