Johannesburg – Sasol has reported a stronger financial performance for the year ended 30 June 2026, with improved operations, cost controls and disciplined capital allocation helping the energy and chemicals group strengthen its balance sheet.
Adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) increased 17% to R61 billion, while headline earnings per share rose 9% to R38.31. Cash generated from operating activities increased 22% to R56.7 billion.
Sasol said the improved performance was supported by a 7% increase in the average Brent crude-oil price, higher sales volumes and a more than 100% increase in refining margins.
“2026 was a decisive year of delivery against the commitments we set out at our Capital Markets Day. We met or exceeded our commitments across our production and sales metrics, strengthened the foundation business and created a stronger platform for future growth and transformation,” said Sasol president and CEO Simon Baloyi.
Supportive macroeconomic environment
The company reduced net debt, excluding leases, by 11% to US$3.3 billion, down from US$3.7 billion in the previous year, beating its target of keeping debt below US$3.7 billion.
“Management actions and the more supportive macroeconomic environment during the final quarter translated into robust cash generation and further balance sheet strengthening. We delivered on our 2026 net-debt target of below US$3.7 billion, reducing net debt by 11% to US$3.3 billion,” Baloyi said.
Sasol also cut capital expenditure by 18% to R21 billion, while liquidity remained strong at US$5 billion.
The group said its Secunda operations achieved their highest annual production in five years, helped by improved coal quality and equipment availability. Meanwhile, International Chemicals’ adjusted EBITDA in US dollar terms increased by 47% as stronger markets in the final quarter helped offset difficult conditions earlier in the year.
Renewable-energy capacity
Sasol continued to expand its renewable-energy capacity as part of its Grow and Transform strategy, bringing an additional 330MW online during the year and taking operational renewable capacity to more than 500MW.
Despite the improved financial position, Sasol said it remains focused on reducing net debt below US$3 billion on a sustainable basis before resuming dividend payments.
“The progress achieved during 2026 demonstrates that, while there is still more work to do, consistent execution against our Capital Markets Day commitments is building a stronger, more competitive and resilient Sasol, better positioned to deliver sustainable shareholder returns,” Baloyi said.
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Compiled by Betha Madhomu
