Kumba continues to deliver value for all stakeholders

Despite weather and logistical challenges, Kumba Iron Ore’s production increased by 9% to 40.9Mt. Strong prices combined with its high-quality products and operational resilience, resulted in a record EBITDA of R64.6 billion, while its disciplined capital allocation and robust balance sheet have enabled it to declare a final dividend of R30.50 per share.

Extracts from the provisional audited results of Kumba Iron Ore for the year ended 31 December 2021 and cash dividend declaration:

KEY FEATURES

Disciplined capital allocation

• Attributable free cash flow of R30.5 billion up by 47%
  • ROCE of 147% up from 109%
  • Final cash dividend of R30.50 per share, total cash dividend of R103.20 per share

Value-focused growth

• Average realised FOB export price of US$161/tonne, 18% above benchmark
  • Cost savings of R0.9 billion, R4.1 billion saved since 2018
  • Strong EBITDA margin of 63% up from 57%
  • Closing net cash of R17.5 billion

Strong sustainability performance

• Five years and seven months of fatality-free production
  • Zero new cases of occupational diseases
  • Over six years without any level 3 – 5 environmental incidents
  • R88.9 billion of shared value created
  • R36 million of Covid-19 community support