VANCOUVER, BC, May 3, 2024 /CNW/ - Eastern Platinum Limited (TSX:ELR) (JSE: EPS) ("Eastplats" or the "Company") is pleased to report that it has filed its Audited Consolidated Financial Statements for the fiscal year ended December 31, 2023 and the corresponding Management's Discussion and Analysis and Annual Information Form. Below is a summary of the Company's financial results for the fourth quarter of 2023 ("Q4 2023") and for the fiscal year ended December 31, 2023 ("FY2023") (all amounts in USD unless specified) in comparison to the restated periods in 2022 ("Restated Q4 2022" and "Restated FY2022", respectively): Revenue for Q4 2023 increased to $30.5 million (Restated Q4 2022 - $12.4 million), representing a 146.0% increase. Revenue for FY2023 increased to $106.9 million, a record full year high (Restated FY2022 - $53.9 million), representing a 98.3% increase. Mine operating income increased by $9.6 million to $7.8 million in Q4 2023 (Restated Q4 2022 mine operating loss - -$1.8 million), resulting in a gross margin of 25.5% in Q4 2023 as compared to -14.5% in Restated Q4 2022. Mine operating income in FY2023 increased by $24.0 million to $31.6 million (Restated FY2022 - $7.6 million), resulting in a gross margin of 29.5% in FY2023 as compared to 14.2% in Restated FY2022. Operating income was $2.8 million in Q4 2023 compared to an operating loss of -$4.8 million in Restated Q4 2022. Operating income increased by $23.2 million to $18.5 million in FY2023 from an operating loss of -$4.7 million in Restated FY2022, a 493.6% increase in operating income. Net income attributable to shareholders was $3.3 million ($0.02 earnings per share) in Q4 2023 versus $1.4 million ($0.01 earnings per share) in Restated Q4 2022. The increase in net income was largely attributable to the significant increase in third-party chrome concentrate sales in the period offset by pre-production costs of $2.1 million as the Company initiated the restart of the Zandfontein underground section at the Crocodile River Mine ("CRM"). The Restated Q4 2022 net income was attributable to a restated operating loss offset by other income of $6.6 million, which was mainly related to the change in value of the Company's loans payable. Net income attributable to shareholders increased to $13.8 million ($0.08 earnings per share) in FY2023 compared to a net loss attributable to shareholders of -$0.9 million ($0.01 loss per share) in Restated FY2022. The increase in income during FY2023 is mainly attributable to the increased revenue and gross margins generated by remining and processing the Company's tailings resources at the CRM to produce chrome concentrate and platinum group metals ("PGM") concentrate, respectively, offset by pre-production costs incurred in Q4 2023 as described in the previous point. The Restated FY2022 net loss was attributable to an operating loss offset by other income of $7.9 million, which mainly related to the change in value of the Company's loans payable. The Company had a working capital deficit (current assets less current liabilities) of $15.5 million as at December 31, 2023 (Restated December 31, 2022 – working capital deficit of $37.8 million) and short-term cash resources of $21.3 million (consisting of cash, cash equivalents, and short-term investments)(Restated December 31, 2022 - $2.4 million). Wanjin Yang, Chief Executive Officer and President of Eastplats commented, "We are proud of the results that our chrome and PGM businesses have achieved. The team continues to work hard as the Retreatment Project comes to an end, turning its focus to ramping up underground tonnages in the Zandfontein underground section at the Crocodile River Mine. Eastplats remains committed to continuing its operational and cost efficiency initiatives while being mindful of PGM market price movements." Prior Year Error - Restatement of Comparatives Certain 2022 comparative numbers in the FY2023 Audited Consolidated Financial Statements and corresponding Management's Discussion and Analysis have been restated to correct an error in the Fiscal 2022 consolidated financial statements that was identified subsequent to the 2022 year-end and is discussed below. In connection with the preparation of the Company's consolidated financial statements for the year ended December 31, 2023, an error was identified in the recognition of revenue related to a chrome concentrate sales transaction in the fourth quarter of 2022, which impacts the Company's previously filed audited consolidated financial statements for the year ended December 31, 2022 and its unaudited interim consolidated financial statements for the three months ended March 31, 2023 ("Restated Q1 2023"). Chrome concentrate revenue is recognized when control is transferred to the buyer and payment is considered probable. A sales transaction that was included in deferred revenue at the end of 2022 and recognized as revenue in the first quarter of 2023 should have been recognized in the fourth quarter of 2022 based on the fact that the Company had met all of its required performance obligations at the time, as supported by the underlying contract and bill of lading. Previously reported revenue from 2022 was thus understated by $4.0 million, with associated errors in production costs, inventories and deferred revenue. The following table presents the effects of the restatement on the individual line items within the Company's Consolidated Statement of Income (Loss), Statement of Comprehensive Income (Loss) and Statement of Financial Position, expressed in thousands of U.S. dollars, except ...