Endeavour raises half-year dividend to £82m as mining firm reports strong results

Endeavour Mining has increased its half-year dividend by 43 per cent to $100m (£82m) as it reports strong results for the first half of 2022.

The mining company hiked its minimum full-year 2022 dividend by 33 per cent to $200m (£164m), $50m (£41m) more than the initial commitment, as its operating cash flow rose by 13 per cent from the first half of 2021 to $553m (£454m) in H1 2022. 

Its net cash position also increased by $141m (£115.7m) to $217m (£178m) after $108m (£89m )was paid in shareholder returns. The company is on track to achieve its production aims with favourable Euro-US Dollar currency variation offsetting greater fuel costs.

“We are very pleased with our solid operating and financial performance over the first six months of the year,” said CEO Sebastien de Montessus. “This strong performance allowed us to continue to execute our capital allocation strategy, which is focused on strengthening our balance sheet, maximising shareholder returns and investing in our growth.”

Endeavour carried on with its share buyback programme with $38m (£31m) of shares repurchased. Since early 2021, the company’s capital returns programme has seen $476m (£391m) returned shareholders, inclusive of the H1-2022 dividend. This is 10 per cent of the company’s market cap.

“Given our strong performance across the business, we have significant momentum going into the second half of the year and are well positioned to continue to generate value for our stakeholders over the long term.”