Fortescue has delivered record half-year shipments which contributed to net profit after tax of $US2.8 billion ($3.92 billion) – its third highest ever. Its NPAT was down 32 per cent on the prior corresponding period.
The company reported underlying EBITDA of $US4.8 billion for the six months ending 31 December, with an underlying EBITDA margin of 59 per cent. Revenue was down 13 per cent to $US8.12 billion.
Fortescue reported capital expenditure of $US1.5 billion, inclusive of a $US589 million investment in the Iron Bridge growth project and the Pilbara Energy Connect decarbonisation project.
The company said its strong balance sheet was maintained with net debt of $US1.7 billion at 31 December 2021, inclusive of cash on hand of $US2.9 billion.
Fortescue declared a fully franked interim dividend of 86¢ a share, 41 per cent lower than the 147¢ a share dividend paid last year.
“We have had a strong start to the second half which positions us well to deliver on our guidance for the full year,” said chief executive Elizabeth Gaines.
Fortescue’s FY22 guidance included iron ore shipments of 180 million to 185 million tonnes, C1 costs of $US15 to $US15.50 per wet metric tonne, and capital expenditure (excluding FFI) of $US3 billion to $US3.4 billion.