JOHANNESBURG (miningweekly.com) – Australian gold miner Northern Star has increased its net profit by 65% to a record A$151.37-million in the 2016 financial year.
The record profit, which was underpinned by strong operational performance, boosted the company’s cash by A$326-million by the end of June, which enabled the miner to increase its final dividend by 33%.
Northern Star MD Bill Beament said on Tuesday that 2016 had been a “stellar year” for the company, noting that it had met or exceeded its key objectives.
“We achieved significant growth in profit, cash holdings and the dividend while generating a 39% return on equity and a return on invested capital of 28%.
“This is one of the highest rates of return of any ASX-listed company and is the key barometer of a company’s performance,” he commented in a statement.
The company, which owns mines in Western Australia and the Northern Territory, grew revenue by 5% year-on-year to A$887.42-million in the 12-month period.
Production was 611 288 oz, compared with 621 691 oz in 2015, and gold sales fell to 561 153 oz, from 580 784 oz in 2015, but were still considered to be “strong”.
All-in sustaining costs reduced from A$1 065/oz to A$1 041/oz.