South African executive, Gary Nagle, leads Glencore to $231 billion revenue in 2024

Key Points

• Glencore’s 2024 revenue increased 6% to $230.94 billion, fueled by strong metals and marketing, while coal revenue grew just 0.93%, impacting profitability.
• Adjusted EBITDA fell 16% to $14.4 billion due to weaker energy coal prices, despite zinc gains and the $7 billion EVR steelmaking coal acquisition.
• Glencore announced $2.2 billion in shareholder returns, maintaining $11.5 billion liquidity and a 0.78x net debt-to-EBITDA ratio.

Glencore Plc, the Swiss multinational commodity trading and mining company led by South African executive Gary Nagle, posted mixed results for 2024. While the company’s revenue grew 6.02 percent year-on-year to $230.94 billion, driven by strong performance in its marketing segment and metals operations, lower energy coal prices had a negative impact on profitability.

Revenue rises, cash flow strong despite coal weakness

According to its 2024 annual financial report, Glencore’s revenue climbed 6 percent to $230.94 billion, driven by a 19.5 percent surge in metals and minerals, while energy and steelmaking coal contributed 58.9 percent of total revenue, growing just 0.93 percent year-over-year.

Despite the topline growth, adjusted EBITDA dropped 16 percent to $14.4 billion, weighed down by lower energy coal prices. Industrial EBITDA fell 20 percent to $10.6 billion, despite gains in zinc and the $7 billion EVR steelmaking coal acquisition. Marketing remained strong, with adjusted EBIT of $3.2 billion, at the high end of Glencore’s guidance.

The company posted a $2.69 billion net loss, reversing a $3.21 billion profit in 2023, due in part to declining Viterra earnings, which fell 49 percent to $165 million ahead of its sale to Bunge. However, funds from operations rose 11 percent to $10.5 billion, bolstering liquidity. Net debt surged to $11.2 billion from $4.9 billion, reflecting capex, acquisitions, and shareholder distributions.

Shareholder returns and financial strength

Glencore, founded in the 1970s as a trading firm, has grown into one of the world’s largest mining companies by revenue. CEO Gary Nagle, who holds a 0.016 percent stake valued at nearly $10 million, remains pivotal to its strategy.

As of Dec. 31, 2024, total assets rose 5.3 percent to $130.5 billion, driven by reduced assets held for sale after the Volcan disposal and lower physical metal inventories. However, total equity fell 6.7 percent to $35.7 billion, reflecting a $2.7 billion net loss (including $1.06 billion in noncontrolling interests) and $1.9 billion in shareholder distributions.

Glencore announced $2.2 billion in shareholder returns, comprising a $1.2 billion dividend ($0.10 per share) and a $1 billion buyback. With $11.5 billion in liquidity and a 0.78x net debt-to-EBITDA ratio, the company maintains financial flexibility. Nagle reaffirmed Glencore’s focus on shareholder returns, disciplined capital allocation, and a 4 percent annual production growth target in copper equivalents through 2028.