AUS
NZ
UK
CA
USA
IND
_08_05_2022_01_47_49_011858_08_29_2022_01_31_10_268643.jpg){kind=logo}
Highlights
- Fortescue shared its full year financial results for the period ending on 30 June 2022.
- The company had an underlying EBITDA of US$10.6 billion.
- Meanwhile, Fortescue's shares were trading 2.16% lower at AU$19.44 each on ASX today at 10.56 AM AEST.
Fortescue Metals Group Ltd (ASX:FMG) has shared its full year financial results for the period ending on 30 June 2022.
According to an ASX filing, the materials company exceeded expectations with record shipments of 189 million tonnes. It is the second highest earnings and operating cash flow in Fortescue's history.
Fortescue had an underlying EBITDA of US$10.6 billion, a margin of 61%, a net profit after tax (NPAT) of US$6.2 billion, and earnings per share of US$2.01 (AU$2.77) in FY22.
However, NPAT decreased by 40%, against US$10.3 billion in FY21.
Total revenue fell 22% to US$17.4 billion due to a drop in the iron ore benchmark price and average price realisation.
Meanwhile, Fortescue's shares were trading 2.16% lower at AU$19.44 each on ASX today at 10.56 AM AEST. This is in line with ASX 200 Materials index which was 2.21% down at 16,466.90 points today at 10.57 AM AEST.
Image Source: © 2022 Kalkine Media ®
Data Source- Company announcement dated 29 August 2022
Fortescue announced an AU$1.21 per share fully franked final dividend, bringing total dividends declared in FY22 to AU$2.07 per share.
Other achievements during FY22
Fortescue marked several other notable milestones in FY22, including AU$4 billion in contracts and subcontracts awarded to Aboriginal enterprises since the program's inception in 2011.
It also made strides toward decarbonisation with the commissioning of the 60MW Chichester Solar Gas Hybrid Project. This provides stationary energy for its Christmas Creek and Cloudbreak locations and displaced 78 million litres of diesel consumption in FY22.
Fortescue's acquisition of Williams Advanced Engineering and strategic cooperation with Tier 1 global heavy equipment manufacturer Liebherr for the development and supply of zero-emission green mining haul trucks bolstered the implementation of its decarbonisation strategy.
During FY22, Fortescue withdrew US$400 million from the term loan facility. The other activity during the period included the completion of a US$1.5 billion issuance of Senior Notes, which had Fortescue's first green bond issue of US$800 million.
On 30 June 2022, the cash balance stood at US$5.2 billion, but gross debt had climbed to US$6.1 billion, resulting in net debt of US$0.9 billion. The cash balance includes funds set aside for the final dividend payment (US$2.6 billion) and FFI's unutilised capital commitment (US$1.1 billion).
Future Outlook
According to CEO Elizabeth Gaines, Fortescue had a solid start to FY23 and would continue to deliver advantages to all its stakeholders through operational excellence, a continuous focus on productivity, and a disciplined approach to capital allocation.
