Sunnov Investment Examines Glencore H1 Earnings

Sunnov Investment reviewed Glencore’s first-half results as the Swiss-headquartered commodities group benefits from accelerated copper targets, disciplined cost reduction and a planned Australian Securities Exchange listing. Glencore is targeting a secondary listing on the ASX by October and expects demand from Australian institutional investors, including major superannuation funds. Reported adjusted EBITDA rose to $11.1 billion, up 72% in the industrial segment versus the comparable period, while marketing operations delivered near-record adjusted EBIT of $3.6 billion. Funds from operations increased 158% to $8.9 billion, giving headroom for an additional $1.6 billion in shareholder returns. Copper output fell 26% to 343,900 tonnes, but management kept full-year guidance of 850,000 to 890,000 tonnes.