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BHP Billiton’s revenue down in FY 2022-23 amid lower prices, China’s demand to be lower in medium term

Wednesday, 23 August 2023 10:34:09 (GMT+3)   |   Istanbul
       

Australian mining company BHP Billiton has announced its financial results for the financial year 2022-23 ended on June 30.

Accordingly, BHP Billiton has posted a net profit of US$12.9 billion for the financial year 2022-23, down by 58.2 percent compared to a net profit of US$30.9 billion in the previous financial year, while the company’s revenue decreased by 17.3 percent year on year to US$53.8 billion. The declines are due to lower commodity prices.

Meanwhile, BHP Billiton reported an EBITDA of US$28.0 billion for the year, decreasing by 31.1 percent compared to $40.63 billion in the previous year, due to lower prices and the impacts of inflation, while its EBITDA margin fell to 54 percent in the full year, from 65 percent in the financial year 2021-22.

As for the company’s iron ore production guidance for the 2023-24 financial year, it is expected to be between 254 million mt and 264.5 million mt.

According to its statement, BHP anticipates China’s iron ore demand will be lower in the medium term as the country will implement steel production restrictions, while demand from other countries in Asia is expected to offset this decrease to a degree.


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