Ann: Quarterly Activities Report, page-29

market always over reacts to great report cos 'expects better'.
Where are you going to find a cash-cow like this one?? will rebound.

CEO Comment
Yancoal continues to generate robust cash
inflows. The A$181/tonne price realised for
the half was roughly double the cash
operating cost we are targeting this year.
Largely as expected, the production rate in the
first half sees us tracking at the low end of the
full year guidance range. However, as in 2023,
production volumes are expected to increase
in the second half.
The company retains a strong financial
position, holding cash of $1.55 billion at the
end of June. This was after paying $429
million for the fully franked 2023 Final
dividend (A$0.325/share) on 30th April.
Like last quarter, thermal coal markets
recorded increased export supply from
Australia and Indonesia. Despite this, thermal
coal markets appear relatively balanced. Coal
indices varied week to week, but the average
price remains well supported.
We see Yancoal’s large-scale, low-cost coal
production profile as well suited to the current
coal market conditions. Having no interestbearing loans, a large net cash position and
robust operating margins provides us with the
capacity to pursue suitable grow.