Global Ferronickel earnings surge 20-fold to P780 million

MANILA, Philippines — Listed Global Ferronickel Holdings Inc. (FNI) said its net income surged 20 times in 2017 on the back of improved selling prices, operational efficiency and a favorable exchange.

In a disclosure to the Philippine Stock Exchange, FNI said net earnings grew to P779.7 million from P37.5 million in 2016.

Revenues jumped by 54 percent to P5.8 billion.

Nickel ore shipments soared 39 percent to 5.971 million wet metric tons (WMT) while average realized price increased by five percent to $19.29 per WMT. These comprised 61 percent low grade ore and 39 percent medium-grade ore versus the previous years’ mix of 56 percent low-grade and 44 percent medium-grade ore.

FNI president Dante Bravo attributed the company’s strong growth to the enhanced organizational structure and processes within its teams, which increased its connectivity and efficiency.

“Moving forward, we remain extremely excited about the prospects of expanding our resource base through our mineral exploration program,” Bravo said.

For 2018, Bravo said the company would focus on Cagdianao Areas 1, 6, and 7, with further confirmatory drilling for Cagdianao areas 2 and 4.

“Based on this scope, we expect to release partial results by June and November,” Bravo said.

Earnings before interest, tax, depreciation and amortization rose to P1.6 billion from P573.1 million a year earlier.

FNI is the second largest nickel producer in the country.

Among its subsidiaries are Platinum Group Metals Corp., Surigao Integrated Resources Corp., PGMC-CNEP Shipping Services Corp., and PGMC International Limited.