London - The chief executive of global miner Anglo American said he was still confident the company can reach its target of at least 15 percent return on capital (ROCE) by 2016, despite a decline this year.
Anglo is aiming to boost ROCE - a measure of the value a company gets out of its assets - from 11 percent last year, but it fell to 10 percent this year, hit by weaker commodity prices and a by a lengthy mining strike that slashed Anglo's platinum output, the company said on Friday.
“This was never going to be a linear improvement,” chief executive Mark Cutifani said, adding that because of the platinum strike ROCE fell 1 percentage point and lower prices cut it by a further 3 percentage points.
“I am actually more confident today about hitting our target in 2016 that I was 12 months ago, given the underlying operating performance and the potential we see.” - Reuters