New Hope Corporation Limited (NHC) Q2 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good morning everyone. Thank you for joining us today at our FY25 half year results presentation. I'm joined by Rebecca Minardi on my left, our CFO, and Dominic O'Brien on my right, our Executive General Manager and Company Secretary. Today I'll be stepping you through our key highlights for the first half of the year and then we'll move straight into Q&A session. It's been a strong first half for the 2025 financial year for New Hope. Pleasingly, we've seen an improvement in safety with our 12 month moving average TRIFA decreasing by 18% over the past six months from 4.99 to 4.08. We know we have more work to do, but it's positive to see the performance against those safety metrics improve. Operationally, the group has reported an increase in coal volumes. Rom coal production was 8.3 million tonnes, a 56% increase on the first half of 2024. Saleable coal production was 5.4 million tonnes, up 33%, and coal sales were 5.4 million tonnes, up 44%. This result reflects the continued execution of our organic growth plans, where we are targeting significant production increases. In terms of our financial highlights, we delivered an underlying EBITDA of $517 million, a 22% increase, and a statutory net profit after tax of $340 million, an increase of 35% compared to the first half of 2024. In addition, our business generated $370 million of cash flow from operating activities, which funded investments in our organic growth pipeline and has enabled us to deliver returns to shareholders. On that matter, I'm pleased to announce the board has declared a fully franked interim dividend of 19 cents per ordinary share. In addition, we have also announced the start of an on-market buyback of ordinary shares for up to $100 million, providing further shareholder returns. Turning to saf...