S32 half year results

[daveh]

Results for South32 can be found here:
www.investegate.co.uk/article.aspx?id=2 ... 0230X&fe=1
and the dividend info here:
www.investegate.co.uk/article.aspx?id=2 ... 0242X&fe=1

South32 delivers strong financial results and announces first interim dividend

"The disciplined application of our strategy and stronger commodity prices underpinned a significant improvement in financial performance. We generated free cash flow of US$626M for a net cash position of US$859M as we further optimised our operations and benefitted from our operating leverage.

"We continue to unlock value through the accelerated development of La Esmeralda, the progression of the Klipspruit Life Extension project towards a final investment decision, the completion of the West Marradong mining access agreement and the commencement of exploration in the Southern Areas at GEMCO.

"The proposed US$200M acquisition of the Metropolitan Colliery is expected to create additional value and realise unique synergies with Illawarra Metallurgical Coal.

"Our strong balance sheet and simple capital management framework is designed to reward shareholders as financial performance improves. We have declared our first interim dividend of US$192M and will continue to manage our financial position to ensure we retain the right balance of flexibility and efficiency."

The dividend:
South32 announces that the Board has resolved to pay an interim dividend of US 3.6 cents per share (unfranked) for the half year ended 31 December 2016 (record date 10 March 2017; payment date 6 April 2017).

[tjh290633]

Thanks for spotting that, Dave. No indication what the full year dividend might be, but the same again would make 3.5% and twice the interim would be over 5%. Somewhere in between, perhaps.

Anyway, for those who kept them after the demerger it is good news.

TJH

[kempiejon]

tjh, yes handy for holders and if I remember you topped up to a more economical amount and saw a positive capital change too. I sold off after the demerger, to be honest the rump holding was such a piddling amount the dividends would barely keep me in eggs for one breakfast.

[StepOne]

Thanks for spotting that, Dave. No indication what the full year dividend might be, but the same again would make 3.5% and twice the interim would be over 5%. Somewhere in between, perhaps.

Anyway, for those who kept them after the demerger it is good news.

Yes, up 50% in capital terms and looks like they could be yielding more than BLT this year. I kept them because of the London listing - if they'd moved to Australia I would have sold. Worked out okay this time.

StepOne

[funduffer]

Yes, up 50% in capital terms and looks like they could be yielding more than BLT this year.

StepOne

It will be interesting to see what BLT declare as their dividend later this month. Will they bounce back like RIO and match spin-off company S32?

FD (holds S32 & BLT, but sadly not RIO)