Central Asia Metals, a mining company focused on Kazakhstan and North Macedonia, announced a decline in pretax profit and revenue during the first half of the year. This downturn can be attributed to lower metal prices. However, the company reaffirmed its full-year production guidance.
For the half-year period, Central Asia Metals reported a pretax profit of $32.9 million, down from $66.9 million in the previous year. The decrease in profit was primarily due to lower revenue, inflationary cost pressures, and a foreign exchange loss. Net revenue also dropped from $113.8 million to $99.6 million compared to the same period last year. The decline in revenue was mainly driven by significant price reductions in zinc, copper, and lead.
Furthermore, earnings before interest, taxes, depreciation, and amortization decreased to $48.9 million from $74.9 million, primarily influenced by lower revenue.
During this period, Central Asia Metals produced 6,716 metric tons of copper, 9,764 tons of zinc, and 13,734 tons of lead. The company remains committed to achieving its full-year production targets of 13,000-14,000 tons of copper, 19,000-21,000 tons of zinc, and 27,000-29,000 tons of lead.
Chief Executive Nigel Robinson stated, “During the first six months of the year, we have met our production targets and remain on track to meet our full-year guidance.” This reaffirms the company’s commitment to achieving its production goals despite the challenges in the market.
Central Asia Metals declared a dividend of 9 pence per share, representing 82% of adjusted free cash-flow payout.