22nd Aug 2019 11:21
(Alliance News) - Anglo Pacific Group PLC on Thursday proposed at least a 13% increase in the 2019 payout following an improved performance in the first half.
The natural resources company said pretax profit in the six months to the end of June more than doubled to GBP41.2 million from GBP18.6 million reported a year earlier, as royalty related revenue surged 64% to GBP31.3 million.
The portfolio continued to perform well during the first half of 2019, Anglo Pacific said. Record production was achieved at Kestrel in Australia, while Narrabri, also Australia, saw its strongest six-months since the second half of 2017.
The only drawback was in relation to the vanadium price, the company noted, which impacted income from Maracas Menchen in Brazil, despite production volumes being in line with expectations. Meanwhile, EVBC benefitted from a strengthening of the gold price.
Looking forward, Anglo Pacific said performance in the first half suggests the portfolio is on track to deliver the growth anticipated at the beginning of the year.
On Thursday last week, Anglo Pacific paid the first interim payout of 1.625 pence a share for 2019. The company declared a second interim payout of 1.625p per share, which will be paid in mid-November.
"Given the strength of our results in the first half of the year, we would expect to increase the full-year dividend from 8p per share to a minimum of 9p per share, depending on market conditions and outlook in the second half of 2019," said Chief Executive Julian Treger.
Anglo Pacific shares were trading 4.4% higher in London on Thursday at 188.00p each.
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