SINGAPORE (Feb 27): Noble Group, the beleaguered commodities trader, reported net profit of US$8.7 million ($12.2 million) in FY16 compared to a loss of US$1.67 billion in FY15 as it restructured its business operations.
For the 12 months ended Dec, revenue came in at US$45.5 billion versus $60.7 billion a year ago.
Tonnage of commodities traded fell to 222 million tonnes from 270 million tonnes a year ago.
Noble hit its target of raising US$2 billion in capital during 2H16 with the closing of the sale of Noble Americas Energy Solutions on Dec 1.
In line with the company's efforts to cut leverage, group net debt declined by US$1.1 billion in FY16 while net debt to capital fell to 42% from 55% a year ago.
Noble says it is in discussions with banks on refinancing of May 2017 maturities and trade finance support.
In FY16, Noble reduced headcount from about 1,500 to 1,050. The group says it will be taking further action to control costs and expect to see run-rate cost benefit from these initiatives within 1H17.
For 2018-2019, the group is targeting operating income from supply chains of about US$1 billion and EBIT of about US$550 million.
In a separate announcement, the group says Paul Brough will be appointed as chairman of audit committee with effect from March 1.
Shares of Noble closed 1 cent higher at 23 cents.
