Glencore Plc is thinking about moving its main listing from London. This comes after a big 7% drop in its share price. The company has done much worse than its peers.
Profits have fallen for two years in a row. Low coal prices have also been a major problem. The company’s net debt is higher than analysts expected.
This adds to the financial strain. The poor performance has led Glencore to consider strategic changes. This includes the possible move.
Glencore is known for its mining operations around the world. It has the well-known Mount Owen coal mine in Australia. The company is looking at different ways to deal with its money problems.
Lower coal prices have had a big impact on Glencore’s earnings. This has been a key factor in their recent financial choices.
Glencore considers move to bolster performance
“Operationally, 2024 was a strong year for Glencore,” CEO Gary Nagle stated. He pointed out the company’s good performance in its Industrial assets. They delivered full-year production numbers within their original guidance ranges.
The addition of EVR’s steelmaking coal volumes from July 2024 helped copper equivalent volumes grow by four percent compared to the previous year. Despite these challenges, Glencore remains confident in its financial position. Analysts think Glencore’s operating profit could bounce back in 2025.
They expect less ups and downs in commodity prices. There are rumors about Glencore merging with mining rival Rio Tinto. This could be one of the biggest deals in the industry.
The goal would be to secure access to important metals for renewable energy development. Last year, Glencore’s stock price went down by more than 10 percent. It has fallen another 2.6 percent since the start of 2025.
Even so, the company’s choice to start a $1 billion share buyback program is a clear sign of its strategic intent. It also shows confidence in future industrial and financial stability.
