Fortescue (ASX:FMG) posts record profit, raises dividend

Company News

by Anna Napoli

Fortescue Metals (ASX:FMG) net profit has lifted by 49 per cent for the 2020 financial year. Strong iron ore prices and strong production drove the miners profit to US $4.7 billion.

Underlying earnings (EBITDA) of US$8.4 billion were 38 per cent higher than FY19 and the EBITDA margin increased to 65 per cent or US$52 per dry metric tonne (dmt) of ore shipped.

The company declared a fully franked final dividend of A$1.00 per share, lifting total dividends declared in FY20 to A$1.76 per share equating to US$3.7 billion and a 77 per cent payout of full year NPAT.

Fortescue CEO Elizabeth Gaines said For FY20 we delivered record revenue, underlying EBITDA and NPAT, demonstrating the continued ability of our operations to generate strong cash flows through the successful execution of our integrated operations and marketing strategy.

Shares in Fortescue Metals (ASX:FMG) are trading 1.83 per cent higher at $18.32