South Africa’s Anglo-American Platinum reported on Monday that its restructuring program is on track, while reporting a sharp drop in half-year profit.

The Johannesburg-based company, which is set to be spun off from its parent, the London-listed miner Anglo-American – announced a series of cost-cutting measures in February, including the elimination of 3,700 jobs.

According to Amplats, about 2,800 employees have left the company since then, with the remaining 25% leaving in the second half of the year.

The company also said it remains on track to deliver annual cost savings of R10 billion (£420 million) by the end of the year, with R4.7 billion achieved to date.

The update came after Amplats reported earnings before interest, tax, depreciation and amortisation fell 8% to R12.3 billion in the six months to 30 June.

Overall profit figures were down 18% to R6.5 billion.

Amplats attributed the decline to inflation, one-off restructuring costs and a 24% decline in the realized dollar price of platinum group metals (PGM), to $1,442.

Refined PGM production increased 5% to 1.78 million ounces, while metal in concentrate production decreased 5% to 1.76 million ounces.

Sales volumes increased by 9%, mainly due to inventory reduction.

Craig Miller, CEO, said: “We remain focused on our strategic priority of moving beyond resilience to thrive in times of change as we navigate an ever-changing operating landscape.

“The company responded decisively to an uncertain macroeconomic and low PGM price cycle by restructuring in pursuit of operational excellence (and) higher productivity.”

Anglo American’s majority stake in Amplats is expected to be transferred to shareholders by the end of 2025.