Northam Platinum's earnings fell sharply in the year to 30 June in the face of a sour platinum group metals (PGMs) market, which is expected to remain depressed for some time. But in a maverick move, Northam has paid a dividend for the first time in over a decade, and its shareholders won't have to wait 10 years for the next.

Northam announced on Friday that it would institute a dividend policy to pay out a minimum of 25% of headline earnings in the future -- a move its investors have long been waiting for. They also got R3.4-billion back in cash from the company's 2023 full-year earnings, R2.4-billion in dividends at R6 per share and R1-billion in a share buyback.

But the backdrop for the resumption of returning cash to shareholders and the unveiling of a dividend policy is unusual.

Northam's earnings, like those of its peers, tanked. While sales revenue rose by 16.1%, earnings per share sank by 75% to 654.5 cents. This was in the face of depressed prices which in the space of two years have toppled from record peaks as global economic growth has slowed and China's recovery has fallen short of expectations.

There are also market jitters that Russia is selling palladium to China at a heavy discount as it is cut off from the London Metal Exchange.

"The global economic outlook remains uncertain, resulting in volatile metal markets and exchange rates. Prevailing PGM market conditions and the material decline in the ZAR 4E basket price [the rand price for the four key PGMs] may...