Anglo American has reported a net loss of $672m in the first half (H1) of 2024 that ended 30 June 2024 from a net profit of $1.26bn in the same period of the previous year.
The British mining company stated that the loss was impacted by a $1.6bn impairment related to its Woodsmith polyhalite fertiliser mine in the UK. This was due to the miner’s decision to slow down the development of the fertiliser project.
Anglo American’s revenue in H1 2024 is $14.46bn, an 8% decline, compared to $15.67bn revenue in H1 2023.
Its underlying earnings before interest, taxes, depreciation, and amortisation (EBITDA) for the first half of 2024 was reported at $4.98bn, down from $5.1bn in the same six month-period in the prior year, representing a decrease of 3%.
Anglo American reported loss per share of $0.55 in H1 2024, compared to basic earnings per share of $1.04 in H1 2023.
For the reported six months, the company’s production volume of copper increased 2% year-over-year (YoY) to 394,000 tonnes from 387,000 tonnes in H1 2023.
Anglo American’s attributable free cash flow for the first six months of 2024 is $506m.
As of 30 June 2024, the British company’s net debt stood at $11.1bn.
Anglo American said that it is on track to reduce annual costs by approximately $1.7bn and lower capex by about $1.6bn over 2024-26 period.
Anglo American chief executive Duncan Wanblad said: “We are moving at pace to create a much more agile and structurally profitable mining company focused on our exceptional quality Copper and Premium Iron Ore businesses, which both continue to perform very strongly, while maintaining our growth optionality in crop nutrients.
“We are committed to completing the key elements of this transformation by the end of 2025, creating a simpler, highly valued mining company with extensive growth options and considerable strategic flexibility.”
