Income from Exxaro’s equity-accounted investments at Sishen Iron Ore Company and Mafube Coal were negatively impacted by lower prices
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Diversified resources company Exxaro Resources has warned of a 23% to 37% year-on-year decrease in earnings for the six months ended June 30 on the back of lower coal sales, prices and volumes and compounded by the impact of ongoing logistical challenges.
“Income from our equity-accounted investments at Sishen Iron Ore Company and Mafube Coal were also negatively impacted by lower prices,” states the company, which will publish its interim results on August 17.
Earnings before interest, taxes, depreciation and amortisation (Ebitda) are likely to be 22% to 36% lower year-on-year at between R6.79-billion and R8.27-billion. This compares with Ebitda of R10.6-billion reported for the six months to June 30, 2022.
Headline earnings a share are expected to be between R21.58 and R26.38 for the six months under review – a 23% to 37% decrease on the R34.26 reported for the prior comparable period.
Adjusted earnings a share are expected to be between R21.48 and R26.25 a share for the six months under review – a 23% to 37% decrease on the R34.09 reported for the prior comparable period.