Exxaro first half profit rises 2% on gains in coal business

Johannesburg - Exxaro Resources reported a 2% gain in first-half profit because of an increased contribution from the South African miner’s coal business, as a further improvement is expected in the second half.

Headline earnings, which exclude one-time items, rose to R3.09 a share in the six months to June 30, from R3.03 in the same period a year earlier, the Pretoria-based company said in a statement on Thursday.
 
The group declared a dividend of 90 cents a share, an increase of 38% from last year.

The company expects an improvement in its coal business due to "stable trading conditions in domestic markets" and a gain in thermal-coal prices, while the mines it bought from Total Coal South Africa are included in production, Exxaro said.

Coal sales increased 9% to 22 million metric tonnes, according to the company. Export volumes rose 78% to 4 million tonnes.

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