MINERALS company Fortescue Metals Group has announced its results for the first half of the 2020 financial year, with iron ore shipments of 88.6m tonnes proving a highlight.

This figure was 7% higher than the first half of 2019.

Half year highlights were

• Shipments of 88.6mt, 7% higher than 1H19

• Record half year revenue of US$6.5bn

• Underlying EBITDA of US$4.2bn with an EBITDA margin of 65%

• Net profit after tax of US$2.5bn

• Completion of towage infrastructure and commencement of towage operations at Port Hedland

Fortescue chief executive, Elizabeth Gaines, said “Fortescue’s excellent results for the first half of FY20 include record production and shipments across the operations,” Ms Gaines said.

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“We are continuing to generate strong margins, driven by our industry leading cost position and product strategy, resulting in a 281% increase in net profit after tax to US$2.5bn, delivering outstanding shareholder returns.”

Ms Gaines said Fortescue was investing US$700m in energy transmission infrastructure and solar-gas hybrid generation.

“Consistent with our commitment to reduce emissions, it is estimated that 25 – 30% of stationary energy will be powered by solar on completion of these developments,” she said. “Our continued focus on disciplined capital management together with a flexible balance sheet positions Fortescue strongly for the next phase of growth and the delivery of enhanced returns to shareholders.”

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