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- Grange Resources (GRR) has enjoyed a 163 per cent increase in profits over its 2020 financial year, buoyed by the rising price of iron ore
- The iron ore pellet producer tabled a net profit after tax of $203.2 million, up from $77.3 million at the end of 2019
- The company’s pellet production also hit 2.35 million tons at the end of 2020, an increase on the 2.06 million tons produced across the prior year
- It sold even more, with total iron ore product sales hitting 2.49 million tonnes for the year compared to 2.19 million tonnes for FY19
- The average realised product price for the iron ore pellets was $196.77 per tonne, a big increase on 2019’s average price of $158.33 per tonne
- The rise in prices not only contributed to a jump in Grange’s full-year profits, but also helped the producer end FY20 with a bigger bank balance
- GRR shareholders will also enjoy the success, with a 2 cents final, fully franked dividend issued
- Grange Resources’ share price is up 7.95 per cent, at 47.5 cents per share
Grange Resources (GRR) has enjoyed a 163 per cent increase in profits in 2020, spurred on by the rising price of iron ore.
The Australian iron ore pellet producer has just tabled its full-year financial results, revealing a net profit after tax of $203.2 million, up from $77.3 million at the end of 2019.
Its revenue also shot up over the 2020 financial year, rising 43 per cent to $526 million at the end of December.
In terms of production, the company produced 2.35 million tons of pellets at the end of 2020, an increase on the 2.06 million tons produced across the prior year.
Grange’s sales total were even higher, with total iron ore sales hitting 2.49 million tons for the year compared to 2.19 million tons for the whole of FY19.
The average realised product price for the iron ore pellets was $196.77 per tonne, a decent increase compared to 2019’s average price of $158.33 per tonne.
The rise in iron ore prices not only contributed to a jump in Grange’s full-year profits, but also helped the producer end FY20 with a bigger bank balance.
GRR ended 2020 with $183.4 million worth of cash and cash equivalents, up from $142.1 million at the end of the prior year.
Following the strong results, Grange has decaled a final, fully-franked dividend of 2 cents per share for its shareholders.
Grange Resources’ share price is up 7.95 per cent, trading at 47.5 cents per share at 11:55 am AEDT.
