Business
Half-year report
Half-year report.
About this update from Kenmare Resources Plc
[{"type":"text","content":"\n\n \n \n\n Half-year report\n\nKenmare Resources plc (“Kenmare” or “the Company” or “the Group”) 15 August 2023 Half-Yearly Financial Report for the six months to 30 June 2023 and interim dividend Kenmare Resources plc (LSE:KMR, ISE:KMR), one of the leading global producers of titanium minerals and zircon, which operates the Moma Titanium Minerals Mine (the \"Mine\" or \"Moma\") in northern Mozambique, today publishes its Half-Yearly Financial Report for the six month period ended 30 June 2023 (“H1 2023”) and announces its interim dividend for 2023. Statement from Michael Carvill, Managing Director: “Production in early H2 2023 has been strong, supported by higher grades, better HMC recoveries and increased tonnes mined. Production in H1 2023 was unfortunately lower than our expectations, primarily due to a severe lightning strike in Q1 and its lingering impact. However, good product pricing and strong shipment volumes in H1 drove record revenues. EBITDA was up 6%, while profit after tax increased to $67.8 million. We are increasing our interim dividend by 59% to USc17.5 per share, in line with our policy to maintain dividend payments of approximately $50 million per annum. Separately, this morning we have also announced a share buyback of $30 million via a tender offer, in line with our policy of returning additional capital to shareholders when appropriate.” H1 2023 overview Financials and markets Launch of a Tender Offer, announced separatelyInterim dividend of USc17.5 per share, a 59% increase (H1 2022: USc10.98 per share)Revenue from mineral products of $229.7 million in H1 2023, a 26% increase compared to H1 2022 ($182.1 million), due to a 31% increase in shipment volumes supported by the drawdown of finished product stockpiles offsetting a 4% decrease in average realised pricesEBITDA of $110.4 million, a 6% increase (H1 2022: $104.5 million)Profit after tax of $67.8 million, an 8% increase (H1 2022: $62.5 million)Cash operating cost of $230 per tonne of finished product, a 24% increase compared to H1 2022 ($185 per tonne), due to lower production volumes and cost inflationCash operating cost of $137 per tonne of ilmenite (net of co-products), a 28% increase compared to H1 2022 ($107 per tonne)At the end of H1 2023, net cash increased to $42.3 million (31 December 2022: $2...