Key features
Purpose-led, values driven:
- More than nine (9) years fatality-free production at Sishen
- 9% reduction in energy consumption to 3.513 million gigajoules
- Women represent 30% of all employees
- Shared value of R25.9 billion created
Resilient financial performance:
- Average realised FOB export price of US$91/ per wet metric tonne (wmt), 8% above benchmark
- Cost savings of R661 million
- Earnings before interest, tax, depreciation and amortisation (EBITDA) margin of 46%
- Closing net cash of R16.1 billion
Disciplined capital allocation:
- Attributable free cash flow of R7.9 billion
- Return on capital employed (ROCE) of 48%
- Interim cash dividend per share of R16.60 per share
Mpumi Zikalala, Chief Executive of Kumba, said: “In an environment characterised by global economic uncertainty, and market volatility, Kumba is positioned to continue delivering stakeholder value. We have made progress on our strategy of safely and sustainably unlocking value from our core assets, demonstrated by our consistent production, cost and capital discipline. This combined with higher sales volumes and the ability to earn additional premium from our high- quality iron ore products contributed to EBITDA of R16.0 billion and an EBITDA margin of 46%. Attributable free cash flow of R7.9 billion supported our Board’s decision to declare an interim cash dividend of R5.3 billion. Kumba created R25.9 billion of enduing shared value of which our empowerment partners will receive R1.9 billion as we continue to reimagine mining to improve people’s lives.”
