Browsing: Mark Cutifani

The Anglo American's Corporate Office in Johannesburg in this April 9, 2015 photo by Waldo Swiegers. www.theexchange.africa

The company in 2021 generated profits or EBITDA in the region of US$ 20.6 billion from its specified businesses according to its website. For perspective, this EBITDA figure is about the size of the GDP of Zimbabwe. Shareholders of the company received US$ 6.2 billion in 2021. The strong financial showing according to the company was due to increased production which was up 5% year on year, stronger prices for its products and consequently much higher margins.

Cutifani stressed that the solid numbers produced by his company were not just good for shareholders but were good for all stakeholders and the communities where Anglo operates. The company paid US$ 7.1 billion in taxes in 2021. This number was 89% higher than the figure paid in 2020.

The EBITDA margin achieved in 2021 was 56% which was significantly higher than the 35% achieved the previous year. The high margins had a favourable impact on profitability resulting in earnings per share (EPS) of US$ 7.22. The higher margins achieved in this year were also responsible for the increased return on capital employed (ROCE) of 43% in 2021 against a standard of 15%.

Notwithstanding the high metric for ROCE, the company projects that this metric will grow even more still to anywhere between 45% and 50% from 2023 going forward. This is expected to come on the back of improved costs and prices.

The company made significant headway in terms of deleveraging its balance sheet in 2021. It ended 2020 with US$ 5.5 billion and ended 2021 with US$ 3.8 billion.