Fortescue Metals has reported a 3% increase in underlying net profit after tax for the 12 months to 30 June 2024 (FY24), which rose to $5.66bn from $5.52bn the previous year.

The company's iron ore shipments reached 191.6 million tonnes (mt), contributing to the third-highest earnings in its history.

Revenue for the mining company saw an 8% increase, climbing to $18.22bn in FY24 from $16.87bn a year earlier.

This was accompanied by an increase in underlying earnings before interest, taxes, depreciation and amortisation (EBITDA), which went up to $10.7bn from $9.96bn in FY23.

The company's net cash flow from operating activities also grew by 7% to $7.9bn, and free cash flow saw a significant 18% increase, amounting to $5.1bn.

As of 30 June 2024, Fortescue's cash balance and gross debt stood at $4.9bn and $5.4bn, respectively.

However, the final dividend declared was A$0.89 per share, a decrease from the previous year's A$1.00 per share.

Looking ahead to FY25, Fortescue anticipates iron ore shipments to be between 190mt and 200mt, which includes 5–9mt from the Iron Bridge project on a 100% basis.

The company has also outlined its capital expenditure (capex) for Fortescue Metals, which is expected to be between $3.2bn and $3.8bn.

Additionally, Fortescue Energy's net operating expenditure is projected to be around $700m, with capex approximated at $500m.

Fortescue Metals CEO Dino Otranto said: “The team has delivered another year of outstanding performance contributing to the third-highest earnings in Fortescue's history and free cash flow of US$5.1bn.

“This was achieved while remaining focused on safety with our lowest ever Total Recordable Injury Frequency Rate of 1.3 across our iron ore operations.

"Reflecting our ongoing commitment to delivering shareholder returns, the Board has declared a fully franked final dividend of A$0.89 per share, bringing total dividends declared for FY24 to A$1.97 per share. This represents a 70% payout of net profit after tax.”