How lower commodity prices hit OM Holdings’s (ASX:OMH) revenues in 2020

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How lower commodity prices hit OM Holdings’s (ASX:OMH) revenues in 2020

 How lower commodity prices hit OM Holdings’s (ASX:OMH) revenues in 2020

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Summary

  • OM Holdings Ltd (ASX:OMH) announced a fall in profit for the year ended 31 December 2020 due to a decline in commodity prices.
  • The Group’s smelting operations recorded revenue of A$548.7 million, while mining operations clocked revenue of A$85.9 million for FY2020. 
  • The company’s board didn’t declare a final dividend.

OM Holdings Ltd (ASX:OMH) on Friday announced a fall in profit for the year ended 31 December 2020 due to a decline in commodity prices amid the ongoing coronavirus pandemic. While the revenue plunged 24 per cent to A$784.6 million, the net profit dipped to A$5.4 million, against A$56.6 million in the year-ago period. EBITDA stood positive at A$81.4 million. The company’s board didn’t declare the final dividend.

Image Source: © Olivier26 | Megapixl.com

The net asset value per ordinary share decreased to 63.56 cents compared to 68.94 cents as on 31 December 2019. The net cash generated from operating activities stood at A$76.6 million despite challenging market conditions due to the coronavirus pandemic.

The Group’s smelting operations recorded revenue of A$548.7 million, while mining operations clocked revenue of A$85.9 million for FY2020. Both operations recorded negative contributions to the Group.