Mantengu Limited’s 2026 Results: Resilience Claimed, But Shareholder Value Eroded

By Greg Stewart Business Tech Africa | 10 July 2026

Mantengu Limited (formerly Mantengu Mining) released its annual results for the year ended 28 February 2026, reporting a substantial R315 million loss. While management described aspects of the performance as resilient, the numbers paint a picture of ongoing value destruction, operational challenges, and a widening disconnect between executive rewards and shareholder outcomes.

Key Financial Highlights (from the Annual Report)

• Revenue: Increased 23.8% to R393.2 million (2025: R317.5 million), driven by higher chrome sales volumes.
• Net Loss: R315 million — a sharp deterioration.
• Major Contributors to Losses: R168 million from Sublime Technologies and R26 million from Blue Ridge Platinum. Significant impairments, inventory write-downs, and operational disruptions (including flooding) also weighed heavily.
• Strategic Actions: Mothballing of Sublime operations, initiation of Blue Ridge disposal, and advancement of a potential reverse takeover with Averi Finance.

The company highlighted production continuity, equipment investments (R123 million in mining assets), and long-term positioning in “next generation mining.”

Comparison to Peers

In a challenging mining environment (PGM/base metal price volatility, energy costs, regulatory pressures), many mid-tier chrome and platinum players reported pressure but showed varying degrees of resilience:

• Several peers managed positive EBITDA or smaller losses through stronger cost control and hedging.
• Mantengu’s revenue growth was positive, but the bottom-line loss and qualified audit opinion (auditors disagreed with stock valuations) stand out as weaker than sector averages.
• Share price performance over three years shows a ~68% decline, significantly underperforming broader mining indices and better-governed peers.

Executive Remuneration vs Performance – A Stark Disconnect

A particularly concerning aspect is the sharp rise in senior executive pay despite the poor results:

• Combined remuneration for CEO Magen Naidoo and former executive MJ Miller nearly doubled to over R18 million (from ~R9.8 million the prior year).
• This occurred while the company posted massive losses, commenced retrenchments, sold/mothballed assets, and saw its share price continue to languish.

The Remuneration Report notes performance share plans and market benchmarking, but shareholders are entitled to question the alignment. A near-doubling of pay amid a R315 million loss and significant value erosion hardly reflects “pay for performance.”

Governance and Outlook Concerns

The report also details ongoing tensions with the JSE, legal actions (including a R250 million defamation claim the company is defending), and a qualified audit. While management emphasises strategic repositioning, the outcomes to date have not translated into improved shareholder returns.

Shareholder Perspective: The disparity between executive reward growth and company performance is a complete disconnect with reality. In a tough sector, some operational resilience may exist, but shareholders should be demanding more realistic remuneration structures until sustained profitability and share price recovery justify higher pay. Stronger alignment of incentives with long-term value creation is urgently needed.

Mantengu’s next chapter, including the potential Averi Finance transaction, offers a potential reset. Whether it delivers for long-suffering shareholders however, remains to be seen.