Anglo American Swings to Net Loss on $1.6 Billion Impairment

By Christian Moess Laursen

Anglo American swung to a net loss in the first half of the year after booking an impairment of $1.6 billion related to its crop-nutrients project in the U.K.

The diversified mining group said Thursday that it booked a net loss of $672 million in the half-year from a profit of $1.26 billion a year ago, while underlying earnings before interest, taxes, depreciation and amortization--its preferred metric--fell 3% to $5.0 billion.

The miner, which ranks among the world's largest by revenue, said results were hampered by lower iron ore prices and sales, as well as a $1.6 billion impairment related to the polyhalite project Woodsmith following Anglo's decision to slow down development of the asset.

Revenue fell 8% to $14.46 billion.

Analysts had forecast $1.12 billion in net profit on revenue of $14.27 billion, according to a Visible Alpha-compiled consensus.

Anglo declared an interim dividend payout of 42 cents a share, equal to $500 million, consistent with its payout policy.

Write to Christian Moess Laursen at [e-mail]

(END) Dow Jones Newswires

07-25-24 0233ET