real-time news and commentary for investors
Tuesday, Aug 20
BHP profit drops to $11.8B; to invest $2.6B in potash project
- BHP Billiton (BHP) FY profit before items $11.8B vs $17.2B and consensus of $12.7B.
- Revenue $65.97B vs $72.23B.
- Net profit -30% to $10.9B.
- EPS $2.037 vs $2.884
- Pretax profit $17.87B vs $23.02B last year.
- Profit hurt by exceptional items of 922M and a temporarily increased tax rate, while emerging economies experienced lower-than-expected growth in H2.
- Ups final dividend by $0.02 to $0.59, slightly below forecasts for $0.60.
- BHP to cut capex by 26% in 2014 to $16.2B.
- Plans to invest $2.6B in digging shafts and installing infrastructure at its Jansen potash project in Canada over the next few years. However, BHP didn't provide a timetable for when output would begin. The miner could sell stake to partners.
- Shares -3.2% in London. (PR)