FMG - 2021 Interim Dividend, page-551

So, here we are with just 2 more weeks left in this March Quarter.

Despite recent hysterical media commentary, the Iron Ore price is currently sitting at a very healthy USD$166.30 a tonne !!!!

I am very comfortable re-iterating my forecast of AUD$2.00 a share for the Full-Year dividend. Here are my calculations:

FMG6 months production: 90 million tonnes

Averageprice received: Say USD$145 a tonne

FMG'All in' cost: USD$45 a tonne (incl. C1, interest, depreciation)

Net Profit: USD$9.0 BILLION

AUD/USDExchange Rate: $0.775c

AUD Half-year Interim Profit: AUD$11.613 Billion

AUDTax Paid (@30%): AUD$3.484 Billion

NetProfit available (for Interim Dividend distribution): AUD$8.129 Billion

InterimDividend @ 76% payout ratio (i.e 76% of $8.129 Billion) = AUD$6.178 Billion … or$2.00 a share