Grange Resources Ltd
(ASX:GRR) has posted a 50.4 per cent drop in full year profit to $42.2 million and says it has been a challenging year.
In its first full annual report since its merger with Australian Bulk Minerals last year, the magnetite producer says it increased pellet sales to 2.4 million tonnes, compared to 2.2 million tonnes the year before.
Revenue fell 35.7 per cent to $42.2 million, Grange attributing the reduced profit to lower realised pellet prices in the year as a result of depressed economic conditions during the GFC.
Grange advises since April this year pellet prices have seen a gradual increase and the company believes it is well positioned to leverage off the higher iron ore prices currently being experienced.
Grange Resources reported a profit of $86.04 million for the 2009 fiscal year.
