* FY headline EPS down 73 pct * Output ticks up 3 pct, but costs, prices hit profit * Forecasts slightly higher output and costs (Adds details) JOHANNESBURG, 14 Aug (Reuters) - South Africa's Northam Platinum Ltd (NHMJ.J) on Friday posted a 73 percent fall in full year headline earnings per share due to higher costs and weaker platinum prices, which outweighed increased production. Northam Platinum forecast output would be slightly higher in its current financial year, but unit cash costs would rise on the back of inflation, and earnings would be determined largely by the rand/dollar exchange rate. South African metal producers sell their minerals in dollars and pay their costs in rand, which has gained this year on increasing global demand for risk and expected capital inflows. Northam Platinum said the average US dollar price received for its basket of metals fell by 42 percent to $1,001 per ounce for the year to the end of June. The decline was partly offset by the 18 percent decline in the value of the South African rand against the US dollar over the year, resulting in the average rand basket price over the year being 31 percent lower at 280,609 rand ($35,180) per kg. But the effect of lower metal prices led to a 58 percent fall in profit to 630 million rand, with headline EPS -- the key gauge of profit in South Africa -- down 73 percent to 169 cents. Production of metals in concentrate during the year rose by 3 percent to 302,474 ounces, the company said in a statement. The company said it recorded an increase in sales volumes, which partially offset the negative effects of the lower metal prices received, limiting the drop in overall sales revenue. Total operating costs rose 17 percent to 1.906 billion rand. The company said it would produce more in the year to the end of June 2010, barring any unforeseen production hiccups. (Reporting by James Macharia)

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