The Canadian Press - ONLINE EDITION

Miner BHP Billiton posts better than expected $8.1 billion half year profit

  • Print

MELBOURNE, Australia - BHP Billiton, the world's biggest miner, Tuesday reported a better-than-expected half year profit of $8.1 billion as cost cuts offset lower commodity prices.

The Anglo-Australian company's shareholders could participate in a company share buyback in six months. Chief executive Andrew Mackenzie said net debt could be down to $25 billion by then, a level he has previously said could trigger a capital return.

BHP's net profit for the July-December half year jumped 83 per cent to $8.1 billion from $4.4 billion a year earlier.

Stripping out one-time gains and losses, profit was up 31 per cent to $7.8 billion. That was well ahead of analyst forecasts of about $7 billion.

The company's shares were up 1.8 per cent on the Australian stock market.

Mackenzie was positive about the prospects for the global economy this year and the impact on demand for iron ore and other commodities.

"The balance of risk to global growth is skewed to the upside, particularly given the broad-based alignment of macro-economic indicators in the major developed economies," he said.

BHP had removed $4.9 billion in costs and that was expected to increase to $5.5 billion by the end of the fiscal year, he Mackenzie said.

"The commitment we made 18 months ago to deliver more tons and more barrels from our existing infrastructure at a lower unit cost is delivering tangible results," he said.

Fact Check

Fact Check

Have you found an error, or know of something we’ve missed in one of our stories?
Please use the form below and let us know.

* Required
  • Please post the headline of the story or the title of the video with the error.

  • Please post exactly what was wrong with the story.

  • Please indicate your source for the correct information.

  • Yes

    No

  • This will only be used to contact you if we have a question about your submission, it will not be used to identify you or be published.

  • Cancel

Having problems with the form?

Contact Us Directly
  • Print

You can comment on most stories on winnipegfreepress.com. You can also agree or disagree with other comments. All you need to do is be a Winnipeg Free Press print or e-edition subscriber to join the conversation and give your feedback.

You can comment on most stories on winnipegfreepress.com. You can also agree or disagree with other comments. All you need to do is be a Winnipeg Free Press print or e-edition subscriber to join the conversation and give your feedback.

Have Your Say

New to commenting? Check out our Frequently Asked Questions.

Have Your Say

Comments are open to Winnipeg Free Press print or e-edition subscribers only. why?

Have Your Say

Comments are open to Winnipeg Free Press Subscribers only. why?

The Winnipeg Free Press does not necessarily endorse any of the views posted. By submitting your comment, you agree to our Terms and Conditions. These terms were revised effective April 16, 2010.

letters

Make text: Larger | Smaller

LATEST VIDEO

Kevin Cheveldayoff announces Maurice contract extension

View more like this

Photo Store Gallery

  • Bright sunflowers lift their heads toward the south east skies in a  large sunflower field on Hwy 206 and #1 Thursday Standup photo. July 31,  2012 (Ruth Bonneville/Winnipeg Free Press)
  • Marc Gallant / Winnipeg Free Press.  Local/Weather Standup- Catching rays. Prairie Dog stretches out at Fort Whyte Centre. Fort Whyte has a Prairie Dog enclosure with aprox. 20 dogs young and old. 060607.

View More Gallery Photos

Poll

What are you most looking forward to this Easter weekend?

View Results

View Related Story

Ads by Google