Andrew Twiggy Forrest of the Fortescue Metals Group has a lot to smile about. The company has recorded a jump of 76% in profits in the full year net profit this year. The Fortescue Metals Group reported net profit of $ 1.022 billion on higher iron ore prices. The profits were in line with the expectations of economic analysts.
The Fortescue Metals Group is the third largest iron ore producer in Australia. It declared its maiden final dividend of 4 cents a share in addition to the 3 cents a share first half dividend it announced previously. The shares did tumble down 6% going from $ 5.78 to $ 5.69 as the overall share markets dropped.
Nev Power, the Chief Executive of Fortescue Metals Group said that the combination of strong operating performance and growth overlaid by the start of dividend payments represented a rewarding year for shareholders.
Mr Power added that the 2011 financial results reflects Fortescue’s substantial earnings power over a year that saw the completion of the Christmas Creek facility, the ramp up to 55mtpa production rate and the start of the rapid build out to our 155mtpa target.
Stephen Pearce, the company's chief financial officer said that from first ore on ship in 2008 to revenues in excess of $US5 billion in three short years, is testament to the achievement of the Fortescue team. The company was founded by billionaire Andrew Forrest in 2007 and has growth fast to become Australia’s third biggest iron ore producer.
Source: Fortescue Metals Group