Ampol Profit Report: Annual Net Profit Falls 25% but Special Dividend Declared
Australian energy company Ampol has announced a 25% decrease in its annual net profit from continuing operations. However, the company has managed to offset weaker refining margins with a strong performance from its non-refining units. Ampol reported a net profit of 549.1 million Australian dollars in the 12 months through December, compared to a profit of A$795.9 million in the previous year. It’s worth noting that the prior year’s figure included a A$68.4 million contribution from operations that Ampol no longer owns.
When looking at the profit on a replacement cost-of-sales basis, which accounts for the impact of movements in oil prices, Ampol’s profit actually rose by 1.1% to A$740.1 million. This figure is on a continuing basis and excludes significant items. On the other hand, last year’s profit on this basis was A$762.9 million. Despite the decrease in net profit, Ampol’s annual revenue for the year totaled A$37.75 billion, which is slightly lower compared to the previous year’s revenue of A$38.49 billion.
In an effort to reward investors, Ampol has announced a final dividend of A$1.20 per security, which is an increase from the previous year’s payout of A$1.05. Additionally, the company has declared a special dividend of A$0.60 per security. This marks the second consecutive year of Ampol’s additional capital management.
Overall, Ampol’s annual net profit may have fallen, but the company has taken steps to balance the impact of weaker refining margins. With a solid performance from its non-refining units and the declaration of a special dividend, Ampol strives to maintain its financial strength.
Analyst comment
The news can be considered as neutral. As an analyst, the market is likely to remain stable or experience a slight increase as Ampol’s strong performance in its non-refining units helps to balance out the weaker refining margins and the company declares a special dividend in addition to its ordinary payout.
