Preliminary Results for the year ended December 31, 2013 - Anglo Pacific Group

Anglo Pacific Group PLC (‘Anglo Pacific’, the ‘Company’ or the ‘Group’) (LSE: APF) (TSX: APY) is pleased to announce preliminary results for the twelve months ended December 31, 2013. These are available on both the Group’s website at www.anglopacificgroup.com and on SEDAR at www.SEDAR.com.
– Recommended final dividend of 5.75p per share, maintaining total dividend for 2013 of 10.2p (2012: 10.2p)
– Gross royalty income of £14.7m (2012: £15.2m (restated))
– Operating profit of £11.3m (2012: £11.2m (restated))
– Loss after tax of £42.5m (2012: profit £11.6m (restated))
– Earnings per share of (39.01)p (2012: 10.67p (restated))
– Adjusted profit after tax of £9.1m (2012: £9.4m (restated)), resulting in adjusted earnings per share of 8.39p (2012: 8.69p (restated))
– Appointment of Julian Treger and Mark Potter as Chief Executive Officer (“CEO”) and Chief Investment Officer (“CIO”) respectively on October 21, 2013, bringing a strong track record of successful investment in the mining sector
– New management team are focused on acquiring near-term, cash producing royalties
– Cash and cash equivalents of £15.7m (2012: £24.0m)
– US$15.0m twelve-month unsecured revolving credit facility signed in February 2014, which is currently undrawn and provides additional funding flexibility
– Net assets of £216.9m (2012: £301.0m (restated))
– Non-cash impairment charge of £34.6m (2012: £11.4m (restated)), predominantly relating to strategic equity investments
– Completion of Rio Tinto Limited (“Rio Tinto”) US$2bn capex program coupled with production commencement at Kestrel South underlining Rio Tinto’s commitment to Kestrel
– Signing of co-investment agreement with FlowStream Commodities Ltd (“FlowStream”), providing an opportunity to increase exposure to oil and gas royalties
Julian Treger, Chief Executive Officer, commented:
“Despite the current challenges facing the global mining industry, the Company continued its underlying profitability during the period. We have maintained our total dividend for the year, as we view the potential outlook for the business as being one where we expect to see future growth. We see good opportunities to add quality assets to our portfolio and, under a new management team, we believe we are well positioned to leverage our strong relationships with major metals and mining operators to access new royalty transactions. Our current focus is on diversifying our existing asset portfolio and securing near-term, cash producing royalties. The strategic focus on base metals and bulk materials royalties provides the Company with a clear differentiated strategy from its North American listed precious metals peer group. We look forward to 2014 with cautious optimism and are confident of the opportunity to provide our shareholders with growth and income from our dividend, through the existing assets in our portfolio and the acquisition of new royalties.”
Analyst presentation
There will be an analyst presentation via webcast at 09:30 (GMT) on 20 February at www.anglopacificgroup.com. The presentation will be hosted by Julian Treger (CEO) and Kevin Flynn (CFO), a replay will be available afterwards.
For a full copy of this release please click here.