Anglo American (LON: AAL) will return $4.1 billion to shareholders as soaring commodity prices and the reopening of economies around the world helped the company hit the best half-year profits in its 104-year history.
The diversified miner reported pre-tax profits of $10.1 billion for the six months to June, up from $1.7 billion in the same period last year.
Revenue rose 114% to $21.7 billion and profit attributable to shareholders climbed to $5.2 billion, compared with $471 million in H1 last year. It means that Anglo American more than double what it made in 2020 as a whole.
In line with its objective of maximizing shareholder returns, the company declared dividends of $3.1 billion, or $3.31 cents a share, including a $1 billion special dividend and $1 billion in share buybacks.
“The first six months of 2021 have seen strong demand and prices for many of our products as economies begin to recoup lost ground, spurred by stimulus measures across the major economies,” chief executive Mark Cutifani said. “The share buyback should tell you that we don’t think this is as good as it gets.”