BHP posts lower first half profit than expected
The miner’s copper earnings slumped partly due to production outages globally, but iron ore production fell too
Bengaluru — The world’s biggest miner BHP said on Tuesday that its first-half profit fell 8% as copper earnings slumped because of declining ore quality at its Escondida mine and a number of production outages globally. Underlying profit from continuing operations for the six months that ended on December 31 fell to $4bn from $4.4bn a year ago, the company said in a statement. That missed consensus estimates compiled by Vuma Financial of $4.2bn. Underlying profit is watched by analysts and investors as a measure of the company’s performance exclusive of one-time gains and losses. Revenue from continuing operations rose 1% during the period to $20.7bn. Last month BHP said its second-quarter iron ore production fell 9% after it was forced to derail an iron ore-cargo train after it ran away en route to a key shipping hub. Revenue from iron ore mining, its biggest division, rose by 2.7%, while copper revenues slumped 17.3% due to unplanned production outages at its Olympic Dam and Spenc...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.