The Fresnillo Plc Board of Directors has declared an interim dividend of 6.40 US cents per Ordinary Share totalling US$47.2 million, which will be paid on 17 September 2024 to shareholders on the register on 9 August 2024. The dividend will be paid in UK pounds sterling unless shareholders elect to be paid in US dollars. This interim dividend is higher than the previous period due to the increase in profit in 1H24, and remains in line with the Group's dividend policy. This decision was made after a comprehensive review of the Group's financial situation, assuring that the Group is well placed to meet its current and future financial requirements, including its development and exploration projects.
Other financial highlights include:
Adjusted Revenues of US$1,560.2m, up 9.0%; mainly due to higher gold and silver prices, and increased volumes of silver, zinc and lead sold, partly offset by a decreased volume of gold sold.
Revenues of US$1,488.3m, up 10.8%.
Adjusted production costs of US$844.2m, up 9.1% over 1H23 primarily due to longer haulage distances and deeper mines which increased maintenance costs, contractors and diesel consumption - mainly at Herradura and Fresnillo; the revaluation of the Mexican peso vs. the US dollar; cost inflation; and the higher volumes of ore processed at some of our mines.
Cost of sales of US$1,095.9m, up 3.3% mainly as a result of the higher adjusted production costs and increased depreciation, partly mitigated by the positive effect of the variation in change in inventories.
Gross profit and EBITDA of US$392.4m and US$544.2m, up 38.8% and 55.1%, respectively.
Exploration expenses of US$77.2m, down 20.3% as exploration spend was front-loaded in 1H23.
Profit from continuing operations before net finance costs and income tax and profit before income tax of US$235.2m and US$277.8m, up 189.7% and 480.4%, respectively.
Profit for the period of US$117.7m, up 31.2% from US$89.7m.
Basic and diluted EPS from continuing operations of US$10.7 cents per share, up 21.6%.
Adjusted EPS of US$4.4 cents per share, down 57.7% vs. 1H23.
Cash generated from operations, before changes in working capital, of US$547.9m, up 69.7%.
Free cash flow of US$187.4m in 1H24 (US$18.7m in 1H23).
