The family company established by Pilbara mining pioneer, the late Don Rhodes, has reported another bumper profit as it continues to benefit from very large iron ore royalty payments.
The family company established by Pilbara mining pioneer, the late Don Rhodes, has reported another bumper profit as it continues to benefit from very large iron ore royalty payments.
DFD Rhodes achieved a profit after tax of $95.9 million for the year to June 2024, according to annual accounts lodged with the Australian Securities and Investments Commission.
That is little changed from its $96.2 million profit (before revaluations) in the prior year.
Led by chief executive Matt Keady, the company’s main source of income is iron ore royalties, which increased to $142 million.
It is one of four private Western Australian companies, along with Hancock Prospecting, Wright Prospecting and Perron Group, that continue to reap huge benefits from royalty deals negotiated in the 1960s with Hamersley Iron (now Rio Tinto).
All four rank among the state’s 10 most profitable private companies, according to Data & Insights.
With the exception of Perron Group, they have also been enmeshed in long-running legal disputes as they fight over their entitlement to royalty payments on various Pilbara tenements.
As well as royalty income, DFD Rhodes earned $6.7 million in rental income and $5.1 million in agricultural income.
The company also has an extensive investment portfolio, which delivered $12.2 million in interest income and $7.1 million in dividend income.
Its two directors, Maxine Ellis and Mark Rhodes, approved an annual dividend of $19.2 million.
The rest of its annual profit went to retained earnings, boosting its net assets to $631 million.
Its money is primarily invested in financial assets ($362 million) and investment properties ($77 million).
It also has extensive land holdings ($127 million) used primarily for farming operations, with the group having about 16,200 hectares in the Boyup Brook, Arthur River and Kojonup shires.
