NHC - New Hope Corporation

[divs4ever]

dont remember any NHC announcements ... could have missed it but don't recall anything like that
how do we know its true?

kind regards
rcw1

personally i hope it is not , i like the idea of Bridgeport selling directly to a Queensland refinery ( which on-sells to the Central Queensland trucking fleets

and crikey NHC already has some BIG coal resources left to expand

Strategic investments

Malabar Resources Limited (Malabar) – 22.97 per cent equity interest
Malabar continues to progress the Maxwell Underground Mine, including the ramp up of the bord and pillar operation and the development of the longwall.
During the December 2024 quarter, Malabar achieved a significant milestone at the longwall operation.
After2,670m of total tunnelling, the Woodlands Hill seam was intersected, marking completion of the two paralleld rifts.
Additionally, the drift conveyer was installed and commissioned, whilst the mine ventilation shaft was drilled and subsequently steel lined.
Machinery capability testing of longwall components has commenced and the first set of development equipment, including a continuous miner, shuttle car and feeder breaker,have been delivered and commissioned. In the days following the December 2024 quarter,
Maxwell Underground Mine cut its first coal at the longwall operation and commenced panel development to establish the life-of-mine pit bottom infrastructure.
The bord and pillar operation continues to increase output and improve productivity with 117,000 tonnes of ROM coal produced during the December 2024 quarter.
Development driveage increased by 30 per cent compared to the previous quarter.
Focus remains on improving productivity and preparing for pillar extraction, which is expected in the June 2025 quarter.
Maxwell Underground Mine continues to receive a premium for its high-quality product, with 85,000 tonnes of coal sold into the Japanese market at an average price of US$149/t, representing a 10 per cent premium to the gC NEWC 6000.
During the quarter, the Company acquired an additional 3.00 per cent stake in Malabar, increasing its total equity interest to 22.97 per cent.
The Company purchased 18,066,048 ordinary Malabar shares for $2.00each, or approximately $31.6 million.
The 3.00 per cent stake was purchased following an approach from a large shareholder in Malabar. The acquisition aligns with the Company’s strategy of investing in low-cost coal assets with long-life approvals and provides exposure to high-quality metallurgical coal.


an extract from the recent quarterly report

 

[rcw1]

Captured ...
to accumulate just a tad more into the stash

One minute

 

[finicky]

Schweinhund!

 

[rcw1]

New Hope's $100m buyback after profit jump

Valerina Changarathil
News Corp
18/03/25 7.40am

Coal producer New Hope Corporation will buy back $100m worth of a shares and has lifted interim dividends following a 35 per cent jump in half-year profit despite weaker commodity prices.

Net profit came in at $340.3m, compared to the prior corresponding period’s result of $251.7m.
Underlying earnings before interest, taxes, depreciation and amortisation was $517.3m, compared to pcpc’s $424.8m.
Saleable coal production for the six months totalled 5.4 million tonnes, up 33 per cent. Increased coal production and cost controls saw group free on rail (FOR) cash costs fall 24 per cent to $55.5/tonne.
A 19c per share dividend, higher than its 17c pcp payout, will be paid on April 9.
Chief executive Rob Bishop said it remains focused on ramping up production at its New Acland Mine in Queensland and sustaining increased production at the Bengalla Mine in New South Wales.
The 12-month buyback, which will start next month, has also been triggered by the board and management’s belief that its current share price does not accurately reflect the underlying value of its assets. “The buyback represents an opportunity to enhance the value of the remaining shares on issue,” New Hope told investors.
Shares in New Hope (NHC) last at $3.70, down 26 per cent on where they started the year.

 

[divs4ever]

FY25 Half Year Results & On-Market Share Buy-Back

A strong first half for the 2025 financial year, higher production and lower costs enabling solid shareholder returns 12
New Hope Corporation Limited (ASX:NHC) (the Company or New Hope) has reported net profit after tax of $340.3 million for the half year, up 35 per cent compared to the first half of the 2024 financial year, as production increases and unit costs decrease.
During the half, Bengalla Mine achieved steady state operations following completion of the Bengalla Growth Project, and is now operating at the targeted 13.4Mtpa ROM run rate.1 Figures reflect
New Hope Group equity interest basis.2 Oakey Coal Action Alliance.3 Underlying earnings before interest, tax and depreciation and amortisation (EBITDA) is a non-IFRS measure.4
Includes cash and cash equivalents and fixed income investments, which are reported as other financial assets.
Highlights1
• Group saleable coal production of 5.4Mt, an increase of 32.9 per cent (31 January 2024: 4.1Mt)reflecting the continued execution of our organic growth plans.
• Group Free on Rail (FOR) cash costs of $55.5/t, representing a reduction of 23.5 per cent (31January 2024: $72.5/t) driven by increased coal production and disciplined cost control.
• Discontinuance of OCAA’s2legal challenge in relation to the associated water license granted to New Acland Stage 3, providing certainty for the community and our operations.
• Underlying EBITDA3 of $517.3 million (31 January 2024: $424.8 million).
• Net profit after tax of $340.3 million (31 January 2024: $251.7 million).
• Net cash flow from operating activities of $316.9 million (31 January 2024: $130.6 million), and available cash4 of $805.0 million (31 July 2024: $824.5 million).
• Increased equity interest in Malabar Resources Limited from 19.97 per cent to 22.97 per cent
.• 2025 fully franked interim dividend declared of 19.0 cents per ordinary share payable to shareholders on 9 April 2025 (31 January 2024: 17.0 cents per ordinary share).
• Announcement of an on-market share buy-back of up to $100 million, providing further shareholder returns.

i hold NHC ( 'free-carried' )

makes you wonder about the recent share price slide

 

[finicky]

19c interim dividend! That's 2c more than last year. High times.
That's 5% ff yield alone on the closing price before the final dividend which is usually higher.
Probably punishing the instos who fled!
Of course this has been my visionary strategy all along - to reap massive dividends - but I thought a couple of years down the track.
I thought we had more time to accumulate before results.

 

[divs4ever]

19c interim dividend! That's 2c more than last year. High times.
That's 5% ff yield alone on the closing price before the final dividend which is usually higher.
Probably punishing the instos who fled!
Of course this has been my visionary strategy all along - to reap massive dividends - but I thought a couple of years down the track.
I thought we had more time to accumulate before results.

good for you ( and the others )

my ( theoretical ) av. share price is a whisker under $2.20 so wasn't tempted to buy more at this stage

( i very rarely 'average up ' )

 

[finicky]

i very rarely 'average up '

That's being 'price anchored' divs. Either a stock offers value or it doesn't. The previous price paid for it has no logical bearing. just a psychological one. Have you ever considered counseling btw?

 

[divs4ever]

That's being 'price anchored' divs. Either a stock offers value or it doesn't. The previous price paid for it has no logical bearing. just a psychological one. Have you ever considered counseling btw?

View attachment 195586

worse , hypnotic therapy to cure my asthma at six ( it didn't work )

BTW my grandfather came from NZ and was shocked to find i wasn't frightened of ( venomous ) reptiles , spiders or the dark and would go to the outhouse without even a light ( or shoes ) so tried to introduce that fear into me ( that didn't work either )

probably because it was sinusitis triggering the asthma attacks , as i discovered by myself 30 years later ( squash the sinusitis attacks and the rest is easy and pharmaceutical free )

you should have seen the stuff they would load me up with through the high school years .. if that had been five years later i could have been a major supplier to the bikie gangs LOL , and would not need to worry about shares in my retirement )

BTW they haven't found a niche to put me in in the ADD/ADHD - Asperger's range yet either

but i was 'a problem child ' right from the start ( before i was even born actually ) .. if the lunatics had of kept the hospital records ( instead of digitizing them into oblivion .. they might have got a clue where to start )

but being out of step with the masses , has it's opportunities

and thanks be to SOL for pointing me at NHC early in the piece ( for me )

 

[finicky]

Greg Canavan of fat tail investment advisory today on NHC's H1 result.

New Hope delivers strong result, announces $100 million buyback

Thermal coal miner New Hope [ASX:NHC] has been under pressure over the past month or so from sharply falling coal prices.

Rumours it was considering a full takeover offer for private company Malabar Resources (of which it has a 22.97% stake) didn’t help.

NHC's share price declined 25% from 4 February to yesterday’s close at $3.70. There was definitely an element of emotional selling going on there.

Today, the company reported strong results for the six months to 31 January. It announced a 19-cent, fully franked interim dividend and a $100 million share buyback. At the time of writing, the share price is up nearly 9%.

The buyback makes perfect sense. The share price is in a period of cyclical weakness. The company stated that the current share price undervalues the assets, and a buyback is a good use of shareholder funds.

I agree. NHC now joins WHC, PRN, NST and GQG (via Rajiv Jain) in buying back their shares at attractive prices.

Owning companies that know when to buy back shares greatly benefits long-term wealth creation. Last week in the video update, I mentioned that a buyback was a possibility, so it’s good to see that NHC has delivered.

Getting back to NHC, during a commodity price downturn, you want to be invested in the lowest-cost operator. The excerpt below from the half-yearly report, shows underlying FOB (free on board) costs fell from $114 a tonne last year to $96.6/t.

That’s thanks to higher production levels at both the Bengalla and New Acland mines.

The solid cost performance produced a margin of $83.60/t for the period (including hedging), generating operational cashflow of $317 million for the half.

With thermal coal prices at what is likely a cyclical low around US$100/t, or $156/t in Aussie dollars, I estimate margins are down to around $60/t.

That’s just a rough guess. NHC sells most of its coal at contract, not day-to-day spot prices.

A $60/t margin, you’re still looking at operational cashflow of around $230 million for the second half.

I’ll go through the report in detail this week and let you know if we need to do anything. NHC remains a buy.

***

 

[divs4ever]

I mentioned that a buyback was a possibility, so it’s good to see that NHC has delivered.

i disagree IF NHC plan to acquire Malabar Resources in the near future , they would be better keeping Bridgeport Energy ( which is rumored to be on the divestment table ) as a second string to the bow , and deploy that extra cash into creeping up the holding in Malabar is a slow and steady manner

 

[divs4ever]

AND of course NHC will eventually need more cash to develop Acland 3

but here we are , another company buying back shares ( when it could be investing wisely )

 

[finicky]

Market Matters afternoon report:

• New Hope Corp (NHC)+8.92% released 1H25 results surprising on earnings, announcing a strong dividend of 19cps fully franked and a $100m buyback.
• CEO Rob Bishop said thermal coal prices could soon rise given a 77% slide over the past two years has forced some rival exporters to curtail production.

 

[finicky]

A few cheery comments from Chair Rob Millner and Rob Bishop CEO in this article:

New Hope announces $100 million share buy-back

New Hope has announced an on-market share buy-back of up to $100 million, after posting impressive results in the first half of the 2025 financial year.

www.australianmining.com.au

“The board carefully considers a range of methods to return surplus capital to shareholders, and seeks to action those which maximise value,” New Hope chair Robert Millner said.

“The company expects ongoing cash generation from its operations as we execute our targeted coal production increases, which provides important energy security to our customers and the regions they service."

 

[finicky]

Against the buy-back some pretty steady short selling according to this source. Might get another crack at it? Only 3 days to ex div: 24/03/2025 (2 days to buy and be in for it)

Held
Holding, possible add

 

[finicky]

Only 3 days to ex div: 24/03/2025 (2 days to buy and be in for it)

Yeah so it'll be trading ex div on Monday, d'oh

 

[finicky]

Market Matters:

Coal and lithium stocks were hit after President Donald Trump invoked emergency powers to increase production of critical minerals. Liontown Resources (LTR) -5.71% and New Hope Corp (NHC) -2.14% were down amongst others.

Held
Possible add

 

[qldfrog]

Market Matters:

Coal and lithium stocks were hit after President Donald Trump invoked emergency powers to increase production of critical minerals. Liontown Resources (LTR) -5.71% and New Hope Corp (NHC) -2.14% were down amongst others.

Held
Possible add

it is a very long stretch to link: Trump..always...of course "invoked emergency powers to increase production of critical minerals:" to NHC
? Could not this been seen as a positive,,anyway, TDS is rampant everywhere
Each time I have a broken wire on my fencing, I blame Trump

 

[finicky]

Market Matters:

• New Hope Corp (NHC) -4.38% was down 18c, trading ex a 19c fully franked dividend worth ~27c grossed up i.e. a good outcome.

 

[finicky]

That's a bit encouraging. Hadn't noticed that.

NHC New Hope Corporation Ltd 25/03/25 Robert Millner
Buy +75,000 $4.081 $306,084 On-market trade.