Trafigura H1 core earnings up but profit margins drop

London

SWISS commodity trader Trafigura reported on Wednesday a 12 per cent increase in core earnings on the back of higher turnover but also a fall in profit margins due to a lack of volatility in oil markets since the end of 2016.

Trafigura, which rivals Glencore as the world's second-largest oil trader, said its first-half core earnings or EBITDA rose 12 per cent to US$921.4 million, while gross profit increased 6 per cent to US$1.2 billion, helped by better revenues in the metals unit. Revenues grew 53 per cent to US$67.3 billion.