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ANGLO AMERICAN PLC - Summarised interim financial results for the six months ended 30 June 2020 and notice of dividend

Release Date: 30/07/2020 08:00
Code(s): AGL     PDF:  
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Summarised interim financial results for the six months ended 30 June 2020 and notice of dividend


Summarised Interim Financial Results for the six months ended 30 June 2020 and Notice of Dividend

30 July 2020

Anglo American Interim Results 2020

Operational agility underpins underlying EBITDA* of $3.4 billion

Mark Cutifani, Chief Executive of Anglo American, said: "The first half of 2020 has tested society to its limits and
I am encouraged by - and proud of - how our people have pulled together to do what's right for each other, our
business and for society as a whole. Anglo American acted quickly at the onset of the pandemic to protect both the
health of our people and host communities through our global "WeCare" lives and livelihoods programme. At the
same time, we secured the continuity and integrity of our operations.

"The pandemic did materially impact production, with varying degrees of lockdown being the main driver for our 11%
overall reduction in output(1) and 16% decrease in revenue, alongside operational incidents at PGMs and Met Coal.
These reductions were partially offset by strong performances from our Brazilian iron ore and Chilean copper
operations. By the end of June, we were back at c.90% capacity across the portfolio (1) and the significant
transformation of our underlying operational capabilities that has made the business more resilient helped to deliver
$3.4 billion of underlying EBITDA*.

"The safety of our people comes first, no matter what. We have made so much progress, yet we are acutely aware
that serious incidents continue in our business, none more alarming than at our Grosvenor underground mine in
Australia in May. Across the global business, we recorded another all-time low injury frequency rate, representing a
further 3% improvement compared to the record low of 2019 and a 62% improvement since 2013.

"Looking beyond the near term, we continue to invest in high quality growth. We still expect first production at our
world class Quellaveco copper project in Peru in 2022, despite the prolonged slowdown through the national
quarantine, reflecting the excellent progress achieved prior to March. The trajectory of our portfolio is towards later
cycle products, with development of our recently acquired Tier 1 Woodsmith polyhalite fertiliser project continuing to
progress well, while in May we set out our plans to exit our remaining South African thermal coal operations.

"During the second half, I expect our product diversification and Operating Model to continue to serve us well. As the
global economy recovers, PGMs, copper and iron ore are all particularly well positioned, while De Beers, as the
world's leading diamond business, is taking all appropriate steps to address the effects of acute disruption. As a
company, we are continuing to invest and grow, with our products increasingly geared towards a fast growing
population and a cleaner, greener, more sustainable world."

Financial highlights - six months ended 30 June 2020
- Generated underlying EBITDA* of $3.4 billion, a 39% decrease
- Profit attributable to equity shareholders of $0.5 billion (30 June 2019: $1.9 billion)
- Net debt* increased to $7.6 billion (21% gearing), due to investment in growth and temporary working capital build-
  up at De Beers and PGMs
- Interim dividend of $0.28 per share, consistent with our 40% payout policy
- Basic headline earnings per share of $0.49 compared to $1.48 in the comparative period
- Investing in high quality growth in later cycle products, including Quellaveco (copper) and Woodsmith (fertiliser)
- Working towards exit from remaining South African thermal coal operations
- Targeting carbon neutrality across operations by 2040

Six months ended                                                                 30 June 2020   30 June 2019   Change   
US$ million, unless otherwise stated                                                                                     
Revenue                                                                                12,474         14,772    (16)%   
Underlying EBITDA*                                                                      3,350          5,451    (39)%   
Mining EBITDA margin*                                                                     38%            46%            
Attributable free cash flow*                                                          (1,257)          1,342   (194)%   
Profit attributable to equity shareholders of the Company                                 471          1,883    (75)%   
Underlying earnings per share* ($)                                                       0.72           1.58    (54)%   
Earnings per share ($)                                                                   0.38           1.48    (74)%   
Dividend per share ($)                                                                   0.28           0.62    (55)%   
Group attributable ROCE*                                                                  11%            22%            

Terms with this symbol * are defined as Alternative Performance Measures (APMs). For more information on the APMs used by the Group,
including definitions, please refer to page 66 in the full announcement (link below).

                                            Notice of Interim Dividend
                                                  (Dividend No. 37)

Notice is hereby given that an interim dividend on the Company's ordinary share capital in respect of the year to 
31 December 2020 will be paid as follows:

Amount (United States currency) (note 1)                                                  28 cents per ordinary share
Amount (South African currency) (note 2)                                           459.76280 cents per ordinary share
Last day to effect removal of shares between the United Kingdom (UK) and
South African (SA) registers                                                                   Monday, 17 August 2020
Last day to trade on the JSE Limited (JSE) to qualify for dividend                            Tuesday, 18 August 2020
Ex-dividend on the JSE from the commencement of trading (note 3)                            Wednesday, 19 August 2020
Ex-dividend on the London Stock Exchange from the commencement of trading                    Thursday, 20 August 2020
Record date (applicable to both the UK principal register and SA branch register)              Friday, 21 August 2020
Movement of shares between the UK and SA registers permissible from                            Monday, 24 August 2020
Last day for receipt of US$:GBP/EUR currency elections by the UK Registrars (note 1)         Friday, 4 September 2020
Last day for receipt of Dividend Reinvestment Plan (DRIP) mandate forms by the
UK Registrars (notes 4, 5 and 6)                                                             Friday, 4 September 2020
Currency conversion US$:GBP/EUR rates announced on (note 7)                                 Friday, 11 September 2020
Last day for receipt of DRIP mandate forms by Central Securities Depository
Participants (CSDPs) (notes 4, 5 and 6)                                                     Friday, 18 September 2020
Last day for receipt of DRIP mandate forms by the South African Transfer
Secretaries (notes 4, 5 and 6)                                                              Monday, 21 September 2020
Payment date of dividend                                                                    Friday, 25 September 2020

1. Shareholders on the UK register of members with an address in the UK will be paid in Sterling and those with an address in a country in the European
   Union which has adopted the Euro will be paid in Euros. Such shareholders may, however, elect to be paid their dividends in US dollars provided the
   UK Registrars receive such election by Friday, 4 September 2020. Shareholders with an address elsewhere will be paid in US dollars except those
   registered on the South African branch register who will be paid in South African rand.
2. Dividend Tax will be withheld from the amount of the gross dividend of 459.76280 cents per ordinary share paid to South African shareholders at the
   rate of 20% unless a shareholder qualifies for exemption. After the Dividend Tax has been withheld, the net dividend will be 367.81024 cents per ordinary
   share. Anglo American plc had a total of 1,363,118,080 ordinary shares in issue, including 50,488 treasury shares, as at 29 July 2020. In South Africa
   the dividend will be distributed by Anglo American South Africa Proprietary Limited, a South African company with tax registration number 9030010608,
   or one of its South African subsidiaries, in accordance with the Company's dividend access share arrangements. The dividend in South African rand is
   based on an exchange rate of US$1:R16.42010 taken on Wednesday, 29 July 2020, being the currency conversion date.
3. Dematerialisation and rematerialisation of registered share certificates in South Africa will not be effected by CSDPs during the period from the JSE ex-
   dividend date to the record date (both days inclusive).
4. Those shareholders who already participate in the DRIP need not complete a DRIP mandate form for each dividend as such forms provide an ongoing
   authority to participate in the DRIP until cancelled in writing. Shareholders who wish to participate in the DRIP should obtain a mandate form from the
   UK Registrars, the South African Transfer Secretaries or, in the case of those who hold their shares through the STRATE system, their CSDP.
5. In terms of the DRIP, and subject to the purchase of shares in the open market, share certificates/CREST notifications are expected to be mailed and
   CSDP investor accounts credited/updated on or around Monday, 19 October 2020. CREST accounts will be credited on Wednesday, 30 September 2020.
6. Copies of the terms and conditions of the DRIP are available from the UK Registrars or the South African Transfer Secretaries.
7. The US$:GBP/EUR conversion rates will be determined by the actual rates achieved by Anglo American buying forward contracts for those currencies, during
   the two days preceding the announcement of the conversion rates, for delivery on the dividend payment date.

Registered office                                 UK Registrars                          South African Transfer Secretaries
20 Carlton House Terrace                      EQ (formerly Equiniti)          Computershare Investor Services (Pty) Limited
London                                            Aspect House                          Rosebank Towers, 15 Biermann Avenue
SW1Y 5AN                                          Spencer Road                                 Rosebank, 2196, South Africa
United Kingdom                                       Lancing                                              Private Bag X9000
                                                   West Sussex                                              Saxonwold, 2132
                                                     BN99 6DA                                                  South Africa
                                                 United Kingdom

                                                                              Anglo American plc 2020. All rights reserved.

Short form announcement

This short form announcement is the responsibility of the directors of Anglo American plc and is a summary of the
information in the detailed results announcement available on and on the group's website

This announcement does not contain full details and any investment decision in relation to the Company's shares should 
be based on the full announcement. The full announcement is available on the Company's website 
( and the office of the Sponsor during standard 
office hours. Alternatively, copies of the full announcement may be requested from the Company via 
email (

The financial data disclosed above relates to Anglo American and/or its shares.

The Company has a primary listing on the Main Market of the London Stock Exchange and secondary listings on
the Johannesburg Stock Exchange, the Botswana Stock Exchange, the Namibia Stock Exchange and the SIX
Swiss Exchange.

                       JSE share code: AGL                         ISIN: GBOOB1XZS820

                           Rand Merchant Bank (A division of FirstRand Bank Limited)
                             Cnr Fredman Drive and Rivonia Road, Sandton, 2196

                                               30 July 2020

For further information, please contact:

 Media                                                     Investors
 UK                                                        UK
 James Wyatt-Tilby                                         Paul Galloway             
 Tel: +44 (0)20 7968 8759                                  Tel: +44 (0)20 7968 8718

 Marcelo Esquivel                                          Robert Greenberg              
 Tel: +44 (0)20 7968 8891                                  Tel: +44 (0)20 7968 2124

 Katie Ryall                                               Emma Waterworth                   
 Tel: +44 (0)20 7968 8935                                  Tel: +44 (0)20 7968 8574

 South Africa
 Pranill Ramchander
 Tel: +27 (0)11 638 2592

 Sibusiso Tshabalala
 Tel: +27 (0)11 638 2175

Notes to editors:
Anglo American is a leading global mining company and our products are the essential ingredients in almost every
aspect of modern life. Our portfolio of world-class competitive operations, development projects and undeveloped
resources, provides many of the metals and minerals that enable a cleaner, greener, more sustainable world and that
meet the fast growing consumer-driven demands of developed and maturing economies. With our people at the heart
of our business, we use innovative practices and the latest technologies to mine, process, move and market our
products to our customers - and to discover new resources - safely and sustainably.

As a responsible producer of diamonds (through De Beers), copper, platinum group metals, the steelmaking ingredients
of iron ore and metallurgical coal, and nickel - with crop nutrients in development and thermal coal operations planned
for divestment - we are committed to being carbon neutral across our operations by 2040. We work together with our
business partners and diverse stakeholders to unlock sustainable value from precious natural resources for the benefit
of the communities and countries in which we operate, for society as a whole, and for our shareholders. Anglo American
is re-imagining mining to improve people's lives.

Webcast of presentation:
A live webcast of the results presentation, starting at 9.00am UK time on 30 July 2020, can be accessed through the Anglo American website at

Note: Throughout this results announcement, '$' denotes United States dollars and 'cents' refers to United States cents. Tonnes are metric tons, 'Mt' denotes
million tonnes and 'kt' denotes thousand tonnes, unless otherwise stated.

Date: 30-07-2020 08:00:00
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