Glencore’s Glasenberg on bullish form after revival

COMMODITIES giant Glencore today boasted it has “never been so well positioned” after drastic debtslashing efforts and rising metal prices helped deliver an 81% jump in full-year earnings.

Glencore, which hit rock bottom during a commodities rout in 2015, said adjusted earnings before interest and tax were $3.9 billion (£3.1 billion) last year, compared with the previous year’s $2.2 billion.

Chief executive Ivan Glasenberg (pictured) attributed the turnaround to “swift and decisive actions to reposition”. Over the past 18 months the miner-trader’s debt has halved as a result of asset sales, cost cutting and a recovery in metals prices.

“Since our IPO in 2011 and subsequent acquisition and integration of

Xstrata, Glencore has never been so well positioned as it is today,” the billionaire said.

He promised late last year to reinstate dividends, offering a total return of $1 billion in 2017, and today raised the prospect of an additional, one-off payout.

“We could give our long-suffering shareholders a generous gift of a special dividend. To ourselves as shareholders, that would not be a bad thing to do.”

He also suggested extra cash could fund small deals to bolster existing assets. He did not see any opportunity for larger deals. Glasenberg gave an upbeat outlook, highlighting “increasingly favourable fundamentals”.

He expects low costs for copper, zinc and nickel to carry on over the coming months and forecast higher coal margins. @clarehutch