Integrated_Annual_Report_2026 - Flipbook - Page 72
DRIVING SUSTAINABLE
VALUE CREATION
SASOL AT A
GLANCE
INTRODUCTION
EXECUTING
STRATEGY
DELIVERING
BUSINESS VALUE
SUMMARISED FINANCIAL
PERFORMANCE
CORPORATE
GOVERNANCE
SUSTAINABILITY
REPORT
REMUNERATION
REPORT
ASSURANCE /
ADMINISTRATION
PERFORMANCE OVERVIEW CONTINUED
At 30 June
2026
Rm
Non-current assets
R218 billion
Assets
Current assets
Property, plant and equipment
2025
Rm
146 710
158 041
Right of use assets
11 375
11 834
Goodwill and other intangible assets
2 503
2 350
Equity accounted investments
10 715
12 959
Total assets
Other long-term investments
3 406
3 008
R364 billion
Post-retirement benefit assets
1 313
1 083
Long-term receivables and prepaid expenses
3 025
3 543
Long-term financial assets
2 873
780
R146 billion
Return on invested capital (ROIC)
%
25
21
20 18
15
10
5
0
-5
-10
-15
-20
22
5
9
6
(13)
(15)
23
24
Year
25
26
Inventories
50 321
41 793
26
1,2
25
1,6
1,1
22
0.5
1.0
time
1.5
2.0
The Net debt: EBITDA ratio decreased to 1,2 times
from 1,6 times at 30 June 2025, driven by higher
adjusted EBITDA and lower net debt. Net debt
decreased reflecting continued cash generation and
disciplined capital allocation. Adjusted EBITDA
increased due to an improved gross margin,
supported by higher sales volumes and favourable
pricing conditions following the Middle East conflict.
Inventory increased with cash movements related to higher pricing in
quarter 4 of 2026, the impact of utilising Prax SA’s shareholding at Natref,
as well as higher inventory volumes at year-end (largely Southern Africa
Fuels and Chemicals) which will support planned shutdowns early in
2027. Non-cash movements included the impact of inventory valuation
adjustments and translation of foreign operations
1 557
40 086
Short-term financial assets
6 211
5 615
Cash and cash equivalents
43 304
41 050
The year-on-year increase in trade and other receivables is mainly due
to higher pricing in quarter 4 of 2026, and a related increase in the Slate
receivable due to the increase in the Basic Fuel Price (BFP).
Current assets
145 983
130 101
Long -term and short-term debt
43
53
363 818
359 555
163 056
152 427
6 978
5 184
170 034
157 611
88 554
Shareholders’ equity
Non-controlling interests
Total equity
Long-term debt
67 874
Lease liabilities
15 690
15 177
Long-term provisions
13 961
12 949
Post-retirement benefit obligations
11 622
12 121
Deferred tax liabilities
1,3
23
Inventories
45 862
Long-term deferred income
1,3 1,5
24
Additions to property, plant and equipment of R20,8 billion was 18%
lower than the prior year mainly due to the Environmental Compliance
Programme nearing completion, the PSA project in Mozambique reaching
beneficial operation and project completion, the absence of the Secunda
Operations phase shutdown in the current year, and optimised maintain
spending across our business. Asset impairments in 2026 amounted
to R16,8 billion which is 19% lower than 2025. Refer to Remeasurement
items under the Income statement for detail of the impairments
Trade and other receivables
Equity and liabilities
Net debt to EBITDA
Property, plant and equipment
285
Total assets
Excluding AUC
The increase in ROIC in 2026 was driven by higher
earnings for the year and lower asset impairments
compared to 2025.
Year
35 803
229 401
Assets in disposal groups held for sale
Including AUC
0.0
35 872
217 792
Tax receivable
9
6
5
Deferred tax assets
Non-current assets
Commentary
199
229
2 765
3 478
Non-current liabilities
112 111
132 508
Short-term debt
27 402
16 940
Short-term provisions
2 804
3 757
Tax payable
1 051
636
48 802
47 411
Short-term deferred income
947
625
Short-term financial liabilities
549
66
Trade and other payables
Bank overdraft
Current liabilities
Total equity and liabilities
118
1
81 673
69 436
363 818
359 555
SASOL INTEGRATED REPORT 2026
71
Trade and other receivables
Net debt (excluding leases) reduced by 11% to US$3,3 billion compared
to US$3,7 billion in the prior year, and below our guidance of less than
US$3,7 billion, reflecting continued cash generation and disciplined capital
allocation. Total debt also decreased from US$5,8 billion (R103,3 billion)
to US$5,7 billion (R93,9 billion), while liquidity remained strong at US$5
billion, providing sufficient financial resilience.
During the year, we further optimised our debt maturity profile through
the successful issuance of both a 5-year R5,3 billion floating rate bond
in exchange for US$300 million and a US$750 million bond maturing in
2033, together with the partial repayment of our 2028 and 2029 bond
maturities (i.e. debt neutral). This materially extended our debt maturity
profile, further reduced near-term refinancing risk and improved the
regional mix of our debt to better match the underlying cash generation of
our assets.
At 30 June 2026, gearing was 43,5% (30 June 2025: 54,0%) and Net
debt: EBITDA was 1,2 times (30 June 2025: 1,6 times).
Trade and other payables
Trade and other payables increased compared to the prior year mainly
due to impact of utilising Prax SA’s shareholding at Natref and higher
employee-related payables arising from an increase in the short-term
incentive bonus accrual.
Short-term financial liabilities
Short-term financial liabilities increased primarily due to an unrealised loss
on the embedded conversion option of the convertible bond, driven mainly
by changes in valuation inputs such as the share price, volatility, credit
spread and bond maturity.
