The world's fourth-largest iron ore producer FMG Recently released 2015 First half of the fiscal year ( 2015 Year 7-12 The monthly financial report shows that the company’s iron ore production increased year-on-year. 4% To 8990 Ten thousand tons—the total shipment volume increased year-on-year. 2% To 8400 Ten thousand tons, compliant 2015 Fiscal year full-year shipment target ( 1.65 hundred million tons), and the cash cost of iron ore is... 2014 First half of the fiscal year 30 U.S. dollar / Wet tons significantly reduced 46.7% To 16 U.S. dollar / Wet ton, delivery costs are also by 2014 Fiscal year 43 U.S. dollar / Wet tons down to 25 U.S. dollar / Wet ton.

However, affected by 2015 Since the beginning of the year, the group has been weighed down by the sharp drop in international iron ore prices. 2015 In the first half of the fiscal year, iron ore (based on Platts grade) 62% Iron ore prices 51 U.S. dollar / The average selling price (converted to metric tons) is by 2014 First half of the fiscal year 66 U.S. dollar / Dry tons down to 43 U.S. dollar / Ten thousand tons, leading to a significant year-on-year decline in operating revenue. 31.2% To 33.44 hundred million U.S. dollars; profit before interest, taxes, depreciation, and amortization ( EBITDA ) A slight year-on-year decrease 9.7% To 13.01 hundreds of millions of dollars; pre-tax profit and net profit both declined year-on-year. 2.7% and 3.6% , drop to 4.28 hundreds of millions of dollars and 3.19 hundred million dollars. 2015 First half of the fiscal year FMG Among the operating revenues, there is... 31.89 Hundreds of millions of U.S. dollars came from the Chinese market, accounting for a share of its total revenue of... 95.3% ；2014 First half of the fiscal year FMG Revenue from the Chinese market is 46.45 hundreds of millions of dollars, accounting for 95.6% 。

FMG It was stated that the further depreciation of the Australian dollar against the U.S. dollar and the decline in international crude oil prices, coupled with improvements in mining and ore-processing efficiency, will help the company reduce its production costs. FMG Expected 2015 Cash costs for the fiscal year will continue to decline. As the multi-billion-dollar expansion project—designed to bring annual iron ore production capacity to— 1.55 (100 million tons) completed, 2015 First half of the fiscal year FMG Capital expenditure from 2014 First half of the fiscal year 4.36 The amount in hundreds of millions of dollars has significantly decreased to 8800 Ten thousand U.S. dollars. Due to... 2015 Fiscal year FMG There are no further expansion plans, therefore its... 2015 Total capital expenditures for the fiscal year are expected to decline significantly. FMG Prediction 2016 Iron ore prices will likely remain low throughout the fiscal year; therefore, the company will continue to reduce production costs in order to maintain stable profitability.

Recently, the international rating agency Standard & Poor's ( Standard and Poor ’ s ) The report stated that, FMG By continuously reducing production costs, scaling down capital expenditures, and lowering debt levels, the group has effectively offset the negative impact of falling iron ore prices on its operations and financial performance, thereby maintaining its corporate family rating. BB “with a ‘Negative’ outlook.” The ‘Negative’ outlook is primarily due to S&P’s recent further downward revision of its iron ore price forecast. At the same time, S&P maintained... FMG Senior secured bond rating BB and senior unsecured bond ratings B+ “Following S&P’s release of the report, FMG The stable outlook will not affect the group’s debt capital structure. Source: World Metal Bulletin )