Ferrexpo’s Core Profit Down 40 Percent

Reuters reported Ferrexpo (LSE:FXPO) said core profit fell 40 percent in the first half, hurt by a rise in the cost of extracting the metal and lower global iron ore prices.

As quoted in the market news:

Miners have had a torrid earnings period, reporting their first profit falls since 2009, as margins become squeezed by stubbornly high costs and weaker prices for key commodities.

Ferrexpo said on Tuesday higher energy costs and domestic inflation in Ukraine pushed up the cost of extracting each tonne by 25 percent in the first half of this year compared to the same period in 2011.

Click here to read the full Reuters report.