Sasol appoints new CFO

Sasol has named Walt Bruns its new Chief Financial Officer (CFO).

Bruns will assume the role from 1 September 2024. Hanre Rossouw will step down as CFO and executive director of Sasol Limited on 31 August 2024.

Bruns is currently the CFO of Sasol Southern Africa, which includes Energy and Chemicals.

He has been with the group for 15 years and has held several senior management positions, including over three years as CFO of Sasol’s global chemical business.

Prior to joining Sasol, he worked for Deloitte in South Africa and the United States of America.

“Bruns is well positioned to succeed Rossouw, owing to his in-depth knowledge of the Sasol business and his extensive global experience in both the chemicals and energy sectors. Mr Bruns will focus on driving sustainable value and supporting Sasol’s strategic transformation for the future,” said Sasol.

Bruns is a certified chartered accountant in South Africa and holds a Bachelor of Commerce degree
from the University of Stellenbosch and postgraduate diplomas from the University of Cape Town.

“On behalf of the Board, I would like to thank Hanré for his significant contribution and leadership over the past two years, during particularly challenging times,” said Trix Kennealy, Chairman of the Sasol Audit Committee.

“The Board welcomes Walt and is looking forward to working with him. His background and experience are well aligned with Sasol’s near—and long-term objectives, and he will play a key role in reshaping our financial success.”

Tough period

Bruns and new CEO Simon Baloyi will not have an easy start to their working relationship, with the group expecting to make a massive loss.

In a trading statement for the year ended 30 June 2024 (FY24), Sasol said that it was negatively impacted by challenging market conditions, with pressure from depressed chemicals prices and constrained margins.

The group expects an over 100% drop in its basic earnings (loss) per share due to the following:

• “Net loss of R55.8 billion after tax (R75.4 billion gross) on remeasurement items mainly due to the following impairments*:
  • Chemicals America Ethane value chain (Alcohols, Alumina, Ethylene Oxide, Ethylene Glycols and associated shared assets) cash-generating unit (CGU) of R45.5 billion net of tax (R58.9 billion gross).
  • Additionally, Chemicals Africa’s Polyethylene, Chlor-Alkali & Polyvinyl Chloride and Wax value chain CGUs of R3.9 billion net of tax (R5.3 billion gross). The impairments are primarily driven by external conditions, including prolonged softer market pricing and outlook.
  • Secunda liquid fuels refinery CGU of R5.7 billion net of tax (R7.8 billion gross), which remains fully impaired as of 30 June 2024.

• Derecognition of deferred tax asset to the value of R15.3 billion, mainly relating to assessed loss carry forward on our Chemicals America operations, which are not anticipated to be utilised; and
• Unrealised gains of R4.7 billion (before tax) on the translation of monetary assets and liabilities, and valuation of financial instruments and derivative contracts.”

The group said that it expects to make a basic loss per share between R68.82 and R71.48 for the financial year due to R55 billion in impairments – an over 100% drop from the basic earnings per share of R14.00 in FY23.

The group’s expected financial results for the year ended FY24 can be found below:

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