Glencore posts rise in profits
GLENCORE has posted a rise in earnings for the half-year, but remained tight-lipped on an ongoing money-laundering probe by the US Department of Justice.
The mining giant – headed by CEO Ivan Glasenberg, pictured – said its adjusted earnings before interest, tax, depreciation and amortisation rose 23pc to $8.3bn in the first half (€7.16), up from $6.7bn during the same period last year. However this was lower than the $8.5bn analysts were expecting.
Glencore, which is involved in an anti-money laundering probe by the US Department of Justice (DOJ), said market conditions would “remain volatile”.
Liberum analyst Ben Davis said this was due to the timing of copper shipments, which delayed sales to the second half.
“There was no increase in the announced $1bn buyback programme, which we thought to be possible given the continued weakness in the shares, or any update on the DOJ investigation, “said Mr Davis. “Production is weighted to the second half, but we expect continued weakness in earnings momentum as China demand slows with the real estate sector.” (PA)