Motsepe's ARM Exceeds R5.1 Billion Mark In 1st Half Of 2023
Patrice Motsepe’s African Rainbow Minerals (ARM) has exceeded the R5.1 billion ($280 million) mark in earnings for the first half of its 2023 fiscal year.
ARM holds strategic positions in iron, coal, copper, gold, platinum, and other precious metal mining projects.
It was founded by Motsepe in 1997 as South Africa’s first Black-owned mining company.
According to its half-year financial statements, its headline earnings increased from R3.69 billion ($203.1 million) in the first half of its fiscal year in 2022 to R5.17 billion ($284 million) at the end of the first six months of its fiscal year in 2023.
The rise in revenue, from R7.7 billion ($423.8 million) to R9.37 billion ($515.7 million), can be attributable to increased coal prices.
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The top miner, in whom Motsepe owns a 40% stake, said that its coal sector had a strong boost in headline earnings of 30%, Billionaires Africa reported.
Higher thermal coal prices, which lessened the effect of subpar rail performance on export quantities, caused the increase.
While this was happening, ARM’s iron ore division saw a 12% reduction in headline earnings as a result of weaker pricing and a 15% decline in export sales, which the company blamed on problems with rail logistics.
The group has declared a gross dividend of R14 ($0.77) per share for the six months ending December 31, 2022. The dividend will be payable on Monday, April 3, 2023, to shareholders recorded in the company’s books at the close of business on Friday, March 31, 2023.