Mount Gibson Iron Releases Financial Year Results

- August 15th, 2018

According to the company it achieved total iron ore sales of 3.6 million wet metric tonnes over the last year.

Mount Gibson Iron (ASX:MGX) has released its financial results for the 17/18 year, detailing a net profit results of AU$99.1 million.

As highlighted in the press release:

  • Total iron ore sales of 3.6 million wet metric tonnes (2016/17: 3.2 Mwmt).
  • Sales revenue of AU$254.1 million on a Cost and Freight (CFR) basis (2016/17: AU$182.7m), equivalent to AU$196.5 million (2016/17: AU$162.0m) on a Free on Board (FOB) basis after shipping freight.
  • Gross profit from continuing operations of AU$48.7 million before tax (2016/17: AU$36.5m).
  • Net profit after tax of AU$99.1 million (2016/17: AU$26.3m) including Koolan Island business interruption insurance proceeds of AU$64.3 million.
  • Cash, term deposits and liquid investments of AU$457.5 million at 30 June 2018, an increase of AU$10.8 million over the year, after Koolan Island Restart Project expenditure of AU$81.7 million and receipt of business interruption insurance settlement proceeds.
  • All-in group cash costs reduced by 13 percent to AU$45/wmt FOB (2016/17: $52/wmt).
  • High grade Koolan Island Restart Project on track for first ore sales in the March 2019 quarter, with the seepage barrier completed and dewatering underway.
  • Koolan Ore Reserves increased by over 50% to 21Mt @ 65.5% Fe, extending mine life to 2023.
  • Iron Hill mining on track for scheduled completion in late 2018, ore sales to conclude in early 2019.
  • Right earned to a future income stream based on third party rail volumes, commencing on completion of current rail contract and capped at approximately AU$35 million.
  • Fully franked final dividend of 3 cents per share, payable either in cash or in shares to eligible shareholders as part of the Company’s Dividend Reinvestment Plan.
  • Sales guidance for 2018-19 of 2.7-3.3 Mwmt at all-in group cash cost of AU$52-57/wmt FOB.

Click here to read the full Mount Gibson Iron (ASX:MGX) press release.

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