Chronicle Editor
Harare Bureau
AFRICA’s only integrated nickel mining and smelting company Bindura Nickel Corporation realised a profit after tax of US$13,5 million for the year ended March 31, 2019, compared to the US$5,8 million recorded in the prior year.
The firm’s revenue had modestly grown by 1 percent to US$54 million from US$53,6 million in the comparable period last year. During the period under review operating profit jumped to $21,3 million which is 139,3 percent in the positive from $8,9 million realised in 2018, mainly attributable to exchange gains recognised on the introduction of the Zimbabwean dollar.
BNC’s profits and revenue growth was spurred by increase in global nickel concentrate prices to US$8 376 from US$7 249 per tonne in the relative period last year which translate to a 15,6 percent improvement.
In a statement accompanying the financial results board chairman, Muchadeyi Masunda said favourable prices on the global market improved the firm’s income.
He, however, indicated that nickel production was 5,3 percent lower from the previous year’s output.
“In line with the increase in global nickel prices the company realised an average price of its nickel in concentrate sold of US$8 376 per tonne compared to US$7 249 per tonne in the relative period last year.
“Nickel production was 6289 tonnes which was lower than last year’s output of 6 620 tonnes. The decline was in line with the lower ore grade achieved year on year,” said Mr Masunda.
Online Reporter