Danielle Chigumira's questions to Glencore plc/ADR (GLNCY) leadership • H1 2023
Question
Danielle Chigumira from Credit Suisse questioned the purpose of the $2 billion reserved for M&A, seeking clarity on its potential return to shareholders. She also asked for expectations on non-RMI working capital for the second half and whether the marketing EBIT guidance has effectively been raised to a new $3-4 billion range.
Answer
CFO Steven Kalmin explained that the $2 billion M&A reservation is specifically for the potential Teck transaction and will be returned to shareholders if the deal does not proceed. He confirmed that significant non-RMI working capital releases are not expected in H2. On marketing guidance, Kalmin stated they are not ready to formally raise the range and will reassess in 2024.