Woodside today reported a first-half profit after tax of US$828 million, underpinned by continued strong performance of the North West Shelf and higher revenues. The underlying net profit after tax of US$842 million was up 3.6%.
Woodside Chief Executive Officer Peter Coleman said “ Our focus on operational excellence continues to deliver outstanding results and today’s financial result highlights the ongoing strength of the company’s base business.
“ Woodside’s extensive production facilities are performing well and delivering strong revenues. With around US$2.9 billion in cash and undrawn facilities, together with continued strong cash flows from the underlying business, we enter the second half of 2011 well positioned to fund our growth plans.
“ We will continue a disciplined approach to investment to maximise, deliver and capture value from our existing business, our LNG growth options and select opportunities .”
Key Points
– Reported net profit after tax was $828 million ($901 million 1H 2010), down 8.1%, largely due to last year’s first-half being positively impacted by a gain on the sale of Woodside’s Otway assets and a lower income tax expense.
– Underlying net profit after tax was $842 million, up 3.6% ($813 million 1H 2010) and represents our second highest first-half profit.
– Strong revenue of $2,253 million up 7.2% ($2,102 million 1H 2010). The recent period of higher commodity prices continues to positively impact profit performance.
– First-half production of 31.9 MMboe (36.7 MMboe 1H 2010), down 13.1% compared to 1H 2010 primarily due to planned maintenance and project outages (-4.3%), cyclone interruptions (-3.6%), average field decline (-3.4%) and divestments (Otway, GOM shelf; -3.4%), partially offset by increased reliability (+1.6%). This was a solid result and keeps us on track for the FY 2011 target of 62 to 64 MMboe.
– Operating cash flow of $1,391 million, up 38.1% ($1,007 million 1H 2010).
– Robust balance sheet to fund growth with $2.9 billion in cash and undrawn debt facilities.
– Capital expenditure# of $1.5 billion, down 6%, as Pluto nears completion.
– Interim dividend of US55 cents per share (cps) fully franked (US50 cps 1H 2010).
– LNG Growth Projects:
– Pluto LNG Foundation Project – production and cash flow commencing in 2012.
– Pluto Expansion – Carnarvon Basin drilling and discussions with other resource gas owners continue.
– Browse – front-end engineering and design (FEED) underway and land access secured.
– Sunrise – actively re-engaging with government stakeholders.
[mappress] Source: Woodside, August 17, 2011;