Exxaro's share price surges as it declares dividend and acquires manganese assets

EXXARO Resources’ share price shot up over 10% on Thursday after the mining and renewable energy group declared its 45th consecutive dividend of R8.43 per share for the six months to June 30 and following the acquisition of manganese assets for up to R14 billion.

- EDWARD WEST

Headline earnings a share were up by 13% to R17.24. Revenue increased 8% to R20.6bn. Net cash of R12.4bn increased by 27% year-on-year, while earnings before interest, tax, depreciation, and amortisation was up 10% to R5.6bn. The dividend was 6% up on the same period a year before. The share price traded at R182.07 Thursday afternoon, up from R166.10 a year ago.

On May 3, 2025, Exxaro announced two separate agreements to acquire manganese assets from Ntsimbintle Holdings and OMH (Mauritius) Corporation. The price was estimated to be between R9bn and R14.64bn. Regulatory approvals and other conditions remain in progress, with completion targeted for early 2026.

Production for the group, with interests in coal, energy, and ferrous markets, was up 1%, and export sales increased by 3%. Wind energy generation was in line with seasonality at 337 GWh compared to 339 GWh in the first half of 2024.