Ampol shares slip on lower FY earnings guidance
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More news: Shares in Ampol are down 1.5% to $29.49 after the fuel refiner and retailer flagged lower earnings for the 2024 financial year.
It expects full-year replacement cost operating profit to be $715 million, down from $740.1 million a year ago, amid increased costs in the local fuels and infrastructure business to maintain supply to customers due to unplanned outages at Lytton.
Ampol flags lower FY earnings after weaker December quarter
The news: Fuel refiner and retailer Ampol expects lower earnings for the 2024 financial year after a weaker performance at its Lytton refinery.
The numbers: The company said December quarter margins at its Lytton refinery in Brisbane slumped 56% from a year ago to just USD4.60 ($7.33) a barrel, although refinery volumes lifted 8.1% to 1,542 million litres.
Fuel sales volumes in Australia were up 2% from a year ago to 4,077 million litres, while international sales volumes jumped 28% to 2,399 million litres.
Ampol now expects its full-year replacement cost operating profit to be $715 million, down from $740.1 million a year ago.
The context: Ampol attributed the weaker full-year earnings to increased costs in the local fuels and infrastructure business to maintain supply to customers amid unplanned outages at Lytton.
The international performance reflected the well supplied market and reduced volatility, which presented limited value-creating opportunities throughout the year, it said.
Meanwhile, the convenience retail business was consistently strong throughout the year, while the New Zealand segment saw challenging economic conditions.
The source: ASX announcement
