South32 Cuts Dividend as 1st Half Profit Falls by 92%
By Rhiannon Hoyle
South32 slashed its midyear payout as it reported a 92% plunge in first-half profit, but said it has approved the $2.16 billion development of the Taylor deposit at its Hermosa project in southern Arizona.
The Australia-based miner said it made a net profit of $53 million for the six months through December, compared to a profit of $685 million a year earlier. It said lower commodity prices and weaker production of metallurgical coal had driven the profit decline.
Underlying earnings were down by 93%, to $40 million.
The company said it would pay an interim dividend of 0.4 cents a share. Last year, the company paid investors 4.9 cents a share.
"Looking forward, we remain focused on driving operating performance and cost efficiencies across our business," said Chief Executive Graham Kerr. "This focus, combined with our expected 7% production uplift in the second half, places us in a strong position to capture higher margins as market conditions improve."
Write to Rhiannon Hoyle at rhiannon.hoyle@wsj.com
(END) Dow Jones Newswires
February 14, 2024 17:55 ET (22:55 GMT)
Copyright (c) 2024 Dow Jones & Company, Inc.-
After Earnings, Is Alphabet Stock a Buy, a Sell, or Fairly Valued?
-
When Will the Fed Start Cutting Interest Rates?
-
What’s the Difference Between the CPI and PCE Indexes?
-
Powell Unfazed By Sticky Inflation, but Rate Cuts Are Far Off
-
After Earnings, Is Microsoft Stock a Buy, a Sell, or Fairly Valued?
-
Best- and Worst-Performing Stocks of April 2024
-
Magnificent 7 Stocks Earnings Updates: AI Remains the Focus
-
Small-Cap and Value Stocks Are Undervalued
-
4 Utility Stocks to Play the AI Data Center Boom
-
Albemarle Earnings: We Expect Improved Results In the Rest of Year Following Cyclically Low Profits
-
Novo Nordisk Earnings: Raised Fair Value Estimate Still a Contrast to Market Overenthusiasm
-
After Earnings, Is Verizon Stock a Buy, a Sell, or Fairly Valued?
-
Look Inside Berkshire Hathaway’s Portfolio Before Its Annual Meeting
-
How to Invest Like Warren Buffett
-
Cognizant Earnings: Improved Profitability Buttresses Results as Customer Spending Remains Muted
-
10 Top-Performing Dividend Stocks of the Month