Caltex slashes NPAT by $156m & EBIT by $173m

Company News

by Jessica Amir

Caltex (ASX:CTX) expects its half year 30 June 2019 replacement cost operating profit (RCOP) NPAT to be $156 million less than the same time last year’s result.

Caltex says amid the difficult economic environment its NPAT outlook guidance is now tipped to be between $120 million to $140 million, down from $296 million for the 2018 half year.

Caltex says this is reasonable amid slowing Australian growth, lower refining margins and high crude prices, combined with a low FX rate.

Its group replacement cost operating profit (RCOP) EBIT is also expected to drop from $443 million notched in the half year ending 30 June 2018, to now be between $240 - $270 million, that’s about a $173 million drop.

The EBIT drop takes the $40 million negative impact into consideration, from the repriced Woolworths fuel supply contract.

Shares in Caltex Australia (ASX:CTX) are trading 17.6 per cent lower at $22.23.
 

Jessica Amir

Finance News Network
Jessica joined FNN in January 2017 after having worked in financial advising for seven years and in TV journalism for seven years, specialising in finance, equities and analysis. She has interviewed former Prime Ministers of Australia, Tony Abbott, Julia Gillard and Kevin Rudd and ex Treasurer Jo Hockey. Jessica has worked as a journalist with Sky News Business, ABC 1, ABC's The Business, ABC24 and has also been a regional Channel 7 and 9 TV reporter with Prime7 and Win News.