SYDNEY — Sims Ltd. said it would buy back up to 150 million Australian dollars (US$107 million) in shares, after reporting a return to annual profit on higher sales volumes, increased metal prices and efforts to cut costs.
“Sound capital management has always been important to us and, given the limited ability to fully frank dividends due to the relative increase in non-Australian profits, buying back shares is an effective way to reward shareholders for good company performance,” said Chief Executive Alistair Field.
The Australia-listed metals and electronics recycling company, which runs operations in countries including the U.S. and the U.K., last week said it made a net profit of A$229.3 million in the year through June versus a loss of A$265.3 million in the same period a year earlier. It said its full-year payout would total A$0.42 a share. Sims paid shareholders A$0.06 a share in fiscal 2020.