Grange Resources (GRR) H2 2024 earnings summary

Executive summary

• Achieved profit after tax of $58.5 million, down from $150.1 million year-over-year, on revenues of $520.8 million (2023: $614.7 million), reflecting lower iron ore prices and sales volumes.

• Maintained strong safety performance with over 600 days Lost Time Injury Free and a TRIFR of 2.0, outperforming industry benchmarks.

• Completed the Definitive Feasibility Study for North Pit Underground, but paused project development in December 2024 due to softening prices and pending long-term funding.

• Continued progress on decarbonisation, achieving an 8% reduction in CO₂ emissions per tonne of pellet and advancing furnace efficiency projects.

• Paid $28.9 million in fully franked dividends during the year.

Financial highlights

• Total iron ore product sales were 2.53 million tonnes, down from 2.64 million tonnes year-over-year.

• Average realised product price (FOB Port Latta) was $182.94 per tonne, compared to $212.83 in the prior year.

• Unit C1 cash operating costs increased to $146.14 per tonne from $136.65 year-over-year.

• Cash and liquid investments at year-end were $298.05 million, up from $282.6 million.

• Net assets increased to $1,061.3 million (2023: $1,031.3 million).

Outlook and guidance

• Anticipates continued iron ore price volatility in 2025 due to global trade tensions and weak Chinese demand.

• Strategic focus on transitioning from open-cut to underground mining, maintaining ore access, and expanding into new markets.

• Committed to decarbonisation targets: 50% CO₂-e reduction by 2030 and net zero Scope 1 & 2 emissions by 2035.