Sims Metals stocks are soaring on strong profit results

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Shares in Sims Metals jumped 10% after the metal recycler posted an underlying first half profit of $64.4 million, up 53%.

The company announced an interim dividend of 16 cents per share.

The steep drop in iron ore prices has challenged the competitiveness of the company’s steel mill customers.

“Ferrous scrap demand and prices have fallen sharply since the start of January,” the company said.

Its shares were trading at $11.68, up more than $1 or 9.98%.

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