Anglo resumes dividend payments early
The miner has hit its debt target earlier than expected, and is moving into a growth phase as it returns to profit and posts strong cash flow
Anglo American shares shot up on Thursday as the diversified miner resumed dividend payments six months early, returning $0.48c a share, or $600m in total, to shareholders, as CEO Mark Cutifani said it would made a decision on its South African mines in 2018. Anglo will make a decision next year about its iron, coal and manganese mines in SA, with the outcome of the ANC’s leadership decision at the end of 2017 and mining policies playing a role in that decision, he said. Anglo’s shares closed more than 3% higher after it reported interim results, showing it had brought its net debt down to $6.2bn, well below the full-year target of $7bn as it reported strong free cash flows on improved production and commodity prices. One analyst said the free cash-flow metric was “staggering” considering Anglo’s market capitalisation of R276bn. Attributable profit for the six months to end-June was $1.4bn compared with a $800m loss in the same period a year earlier. Attributable free cash flow more...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.