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Glencore plc

Everything you need to know about Glencore

 

Glencore, Giant in Raw Materials


Glencore Plc (LSE: GLEN) is a leading Anglo-Swiss commodity trading, brokerage, and extraction company based in Switzerland. The company is one of the world’s largest globally diversified natural resources companies (Source: Glencore). It also provides financial and logistical engineering and other supply chain services for a wide range of commodity producers and consumers.

The company is a major producer as well as marketer of coal with mines in Australia, Africa, and South America. Glencore’s oil business is one of the leading marketers of crude oil, refined products, and natural gas. The company is the world’s largest producer and exporter of seaborne traded thermal coal and cooking coal. Glencore produces and trades nickel, oil products, zinc, copper, lead, aluminium, iron ore, coal, ferroalloys, and cobalt. Further, the company owns and operates coal mines in Colombia, Australia, and South Africa. Glencore also operates oil and gas production assets in Chad, Cameroon, and Equatorial Guinea. They primarily serve automotive, oil, steel, power generation, and food processing industries. The company has operations in the Americas, Europe, Africa, Asia, and Oceania.

Furthermore, the company has several production facilities all around the world and supplies, crude oil, oil products, coal, natural gas, agricultural products, metals, and minerals to international customers and institutional investors in the automotive, steel production power generation, and food processing industries.

Glencore is one of the world’s leading diversified mining conglomerates that was formed through the combination of Glencore and Xstrata in April 2013. The company was ranked the world’s largest commodity trading company in July 2022 (Source: Bloomberg). In May 2011, the company got listed on London Stock Exchange and was a constituent of the FTSE 100 Index.

On August 4, 2022, Glencore’s stock rose after the mining giant announced that it will deliver an extra $4.55 billion to its shareholders as the first half of the earnings hit a record high due to the surge in energy prices. (Source: CNBC)

Source : statista.com

Source : statista.com

 

History of Glencore

 

Glencore PLC (LSE: GLEN) was founded in 1974 by Mr. Marc Rich. In 1981, the company made its first acquisition: a grain trading company. In 1990, Glencore bought shares in Xstrata, a Swiss mining company. This stake would serve the company well, and in 2013 it merged with Xstrata to become a commodities giant. (Source: Business Standard)

Presently, Glencore’s owner is Qatar Holding with a 9.17%, followed by Ivan Glasenberg holding a 9.10% stake in the company. (Source: Glencore Leadership)

 

Source : statista.com

Source : statista.com

 

The Market

 

Glencore PLC's (LSE: GLEN) business is focused on commodities. This market has been established for centuries and had its golden age in the 20th century with the acceleration of industrial production and its expansion to five continents.

It is a market where the supply is finite, but the demand is strong and growing. This is particularly good news for the good of the companies operating in this market, with an almost continuous increase in prices, but not so good news for the states that are worried about the environmental damage caused by this market.

 

Source : statista.com

Source : statista.com

 

Key Figures and Financial Ratios

 

Market capitalization: $47.045 billion1[2022]

Revenue: $203.761 billion2[2021]

Net income: $4.974 billion 3[2021]

Dividends paid: Twice a year 

Earnings per share: $29.30 4[2021]

Price to earnings ratio: ≃4.89x 5[2022]

Debt to equity ratio: 0.67 6[2022]

 

Source : statista.com

Source : statista.com

Graniteshares Offering Products

GLENCORE

Sources

  1. Glencore Market Cap: Yahoo Finance
  2. Revenue: Glencore Annual Report
  3. Net income: Glencore Annual Report
  4. Earnings per share: Glencore Annual Report
  5. Price to earnings ratio: Gurufocus
  6. Debt to equity ratio: Sharesmagazine

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