Kumba Iron Ore delivers record earnings

Kumba Iron Ore Co. reports that it has capitalised on its product quality, a higher average realised price of US$115/tonne and costs savings of R1.3 billion to deliver a record EBITDA of R45.8 billion and R20.7 billion of free cash flow.

Themba Mkhwanazi, Chief Executive of Kumba, said: “Kumba delivered EBITDA growth of 37% while keeping our commitment on health and safety and supporting our communities as we navigated exceptional conditions. 

“Since 2018, Kumba’s EBITDA margin has improved from 45% to 57% and we have converted 30% of additional reserves. Sishen has life extension potential to 2039 with the approval of the R3.6 billion UHDMS project in February 2021.

“Kumba’s consistent and focused delivery of its Tswelelopele strategy, strong balance sheet and capital discipline enables us to continue creating enduring value for all of our stakeholders.”


  • Strong earnings growth of 40%
  • Attributable free cash flow of R20.7 billion up by 21%
  • ROCE of 109% up from 83%
  • Final cash dividend of R41.30 per share, total cash dividend of R60.90 per share

Creating enduring value

  • Four years and seven months of fatality-free production
  • No occupational diseases
  • Over five years without any level 3-5 environmental incidents
  • R60 billion of shared value, including R93 million of Covid-19 community support

Resilient and sustainable business                       

  • Average realised FOB export price of US$115/tonne
  • Cost savings of R1.3 billion, keeping C1 costs at US$31/t
  • Protected EBITDA margin of 57%, up from 52%
  • Sishen life extension potential to 2039 with R3.6 billion UHDMS project approved in February 2021

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