Exxaro almost doubles interim dividend as higher coal prices boost bottom line
Exxaro has almost doubled its interim dividend, declaring a dividend of R5.30 per share, as profits grew on the back of higher coal prices in the first half of the year.In its interim results for the six months to June 30, released on Thursday morning, the coal and heavy minerals mining company recorded revenue growth of 14% from a year earlier, to R12.3bn. Net operating profit was up 7% to R3.1bn.Profits were driven by a good performance from the coal operations, thanks to improved coal sales prices as well as higher Eskom commercial volumes at Grootegeluk, based on demand from the Medupi power station as it ramped up.The average price per ton achieved on exports was $79, compared with $65 in the comparable period, but this was offset by a stronger average rand exchange rate of R12.30 to the dollar, compared with R13.20 in the first half of 2017.Headline earnings per share rose 39% to R12.22. The interim dividend of R5.30 was R2.30 more than last year’s, and would amount to R1.3bn ...
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