Slide 1: Annual General Meeting 24 May 2017
Annual General Meeting 24 May 2017
Slide 2: Important notice concerning this document including forward looking statements
Important notice concerning this document including forward looking statements This document contains statements that are, or may be deemed to be, “forward looking statements” which are prospective in nature. These forward looking statements may be identified by the use of forward looking terminolog
Slide 3: Ivan Glasenberg, Chief Executive Officer
Lydenburg ferrochrome smelter, South Africa Ivan Glasenberg Chief Executive Officer
Slide 4: 2016 Highlights
2016 Highlights Strong financial performance • Adjusted EBITDA(1,2) of $10.3bn, up 18%; Adjusted EBIT(1,2) of $3.9bn, up 81% • Net income pre-significant items of $2bn, +48% • Funds from operations of $7.8bn, up 17% • Capital expenditure of $3.5bn, down 41% Underpinned by outstanding cost performanc
Slide 5: Safety
Safety • Sadly, two incidents at operations in the DRC and Zambia resulted in ten fatalities. • A further six incidents resulted in six fatalities • Board and senior management committed to improving safety performance • 2016 Performance milestones: • South America: first fatality free year • Agricu
Slide 6: The right commodities for the future
The right commodities for the future
Slide 7: Longer term fundamentals are more compelling
Longer term fundamentals are more compelling: The commodities that fuel maturing economies are changing … • Not all commodities are Illustrative commodity intensity Glencore most exposed to mid equal, differentiation is curves(1) and late cycle commodities(2) increasingly important 100 Mid cycle • K
Slide 8: Supporting a positive long-term demand outlook
… supporting a positive long-term demand outlook • China’s dominance of global commodities Share of global copper demand(1) demand is not without precedent 70% • The UK and USA accounted for levels of demand during their industrialisation phases that were higher than USA China’s share of global dema
Slide 9: The electric vehicle revolution needs our commodities
The electric vehicle revolution needs our commodities • The electric vehicle revolution is happening and its impact is likely to be felt faster than The impact of electrification per vehicle: c.160kg Cu expected Battery (250kg)(7) Car (EV-ICEV)(7) Charging Point(5) • Virtually all automotive players
Slide 10: Investing for the future
Drag line, Tweefontein coal mine, South Africa Investing for the future
Slide 11: Investing for the future
Investing for the future Earnings genuinely Leading low cost portfolio Well positioned for the diversified by activity, of “Tier 1” commodities challenges and opportunities commodity, currency and positioned to feed the that lie ahead geography (1) changing needs of maturing • Highly cash generative
Slide 12: Power generation, Raglan Nickel, Canada
Power generation, Raglan Nickel, Canada 12