Fortescue’s 2023–24 financial year half yearly (H1 FY24) report has been announced, highlighting boosted profits and a commitment to growth.
Net profit after tax jumped 41 per cent on the prior corresponding period to $US3.3 billion ($5 billion), with revenue rising 21 per cent to $US9.5 billion ($14.49 billion). This came as iron ore prices increased across the half-year.
Earnings per share reached $US1.08 ($1.65). Following the announcement this morning the Fortescue share price jumped 1.58 per cent.
The company’s iron ore shipments totalled 94.6 million tonnes in H1 FY24 – the second highest first half shipments in Fortescue’s history.
With an underlying earnings before interest, taxes, depreciation, and amortisation (EBITDA) of $US5.9 billion ($9 billion), 36 per cent higher than H1 FY23, the company’s overall underlying EBITDA margin grew to 62 per cent.
“Fortescue’s performance in the first half of FY24 has been excellent, with the team achieving our second highest first half shipments while maintaining our strong focus on safety and keeping our costs low,” Fortescue Metals chief executive officer Dino Otranto said.
“Whether it’s through our first green energy projects, our diversification into the high-grade segment of the iron ore market through Iron Bridge, or expansion of our global footprint with the Belinga iron ore project in Gabon, we remain committed to creating value for all our stakeholders.”
With a commitment to safety at the forefront of its operations, Fortescue achieved a total recordable injury frequency rate of 1.8 for the 12 months to December 31 last year.
Fortescue continued to advance its green energy agenda during the half year, with major decarbonisation projects either underway or reaching completion.
“The delivery of our decarbonisation plan continues to gain momentum with the deployment of our 240-tonne battery electric haul truck, Roadrunner, and commissioning of Australia’s first operational electric excavator,” Fortescue Energy chief executive officer Mark Hutchinson said.
“Over the half we also continued to make important progress across the four verticals now established within our energy business – green energy production, battery technology development, hydrogen systems and capital.
“We have a strong pipeline of projects to come, and we will continue to show the same financial discipline that Fortescue has shown for 20 years.”
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