UPDATE 1-IFM swings to annual loss, outlook positive

* Loss per share 66 South African cents vs EPS 114.05 cents

* Confident resumption in demand, prices are sustainable

* Scraps dividend

(Adds details)

LONDON, Sept 14 (Reuters) - South Africa's International Ferro Metals Ltd (IFL) (IFL.L) swung to a full-year loss on lower ferrochrome output and prices, but said it was confident a recent recovery in the stainless steel ingredient is sustainable.

It moved to a loss per share of 66 South African cents in the year to end June from earnings per share of 114.05 cents the previous year.

"The year under review was very challenging for IFL as demand and prices plummeted from the previous year," said Chief Executive David Kovarsky.

"We are confident that the recent resumption in demand and stronger ferrochrome prices are sustainable and IFL is back on track to take advantage of this with an improved cost base."

(Reporting by Julie Crust; editing by Paul Sandle)