Anglo American final results December 2017

Revenue for the year increased to USD26.2 billion (2016: USD21.4 billion) and operating profit shot up to USD5.5 billion (2016: USD1.7 billion). Profit for the financial year attributable to equity shareholders of the company grew to USD3.2 billion (2016: USD1.6 billion). Furthermore, headline earnings per share rose to USD229 cents per share (2016: USD147 cents per share).

The Company's materially improved balance sheet supported the decision to resume dividend payments at the half year, six months earlier than expected, and a dividend based on 40% of first half underlying earnings was paid in September 2017.

The payout ratio based dividend policy provides shareholders with exposure to improvements in product prices, while retaining cash flow flexibility during periods of weaker pricing. In line with the policy, the board proposes a final dividend of 40% of second half underlying earnings, equal to USD54 cents per share, bringing the total dividends paid and proposed in the year to USD1.02 per share.

Company outlook
Improving global macro-economic conditions remain supportive of consumer demand growth for polished diamonds in 2018. The degree of global economic growth, however, will be dependent upon a number of factors, including the extent of the positive impact on growth in consumer spending from US tax cuts, the strength of the dollar on consumer demand in non-dollar-denominated countries, and how successfully China manages its adjustment to a more domestic consumer-driven economy.

For 2018, forecast diamond production (on a 100% basis except Gahcho Kue on an attributable 51% basis) is expected to be in the range of 34-36 million carats, subject to trading conditions.

2018-02-22 10:40:31