PERTH (miningweekly.com) – Despite declining revenues, miner New Hope has posted a 25% improvement in its net profit after tax, before nonregular items.

Net profit after tax for the full 2015 reached A$51.7-million, compared with the A$41.5-million reported in 2014, despite revenues declining from A$549-million to A$505.8-million in the same period.

However, after reporting impairments on its oil producing assets, as well as its coal-to-liquids facility and its shares in IGas and Planet Gas, New Hope reported a net loss after tax of A$21.8-million, compared with a net profit after tax of A$58.4-million in 2014.

New Hope MD Shane Stephan said that, during the year under review, the company had continued to successfully meet the challenges in the current downturn in global coal prices through sustainable cost reductions and prudent financial management.

“We have reduced costs significantly during 2015, while continuing to improve safety performance across all operations. This is testament to the operational strength of New Hope’s team.”

Stephan said the benefits of New Hope’s ongoing focus on efficient production could also be seen in the company’s strong operating cash flow generation, which increased by A$24.1-million to A$88.5-million during the period.

The company produced 5.7-million tonnes of coal for the full year, a 2% increase on the 2014 production, while sales were down 3% year-on-year to 5.8-million tonnes.

Further, 158 883 barrels of oil were produced through Bridgeport Energy, a 36% increase on the 2014 figures; however, owing to significantly lower oil prices, sales revenues from oil decreased by 19% compared with the 2014 figures.

Stephan remained positive on the outlook for coal, but noted that a recovery in global coal prices was likely to be gradual and still some time away.

“However, the longer-term outlook for coal, particularly high-quality Australian coal, remains positive. In this environment, New Hope’s operational strength and capacity to fund acquisitions position the company well for the future.”