Beach Energy (ASX:BPT) records a 21% decline in FY21 profit

Company News

by Lauren Evans

Oil and gas production company Beach Energy (ASX:BPT) has announced an underlying net profit after tax (NPAT) of $363 million for the period ending 30 Jun 2021 (FY21), down 21 per cent from the prior year following a decline in product sales volume and oil prices.

Underlying earnings before interest, taxes, depreciation and amortisation (EBITDA) was $953 million, down 14 per cent from the prior year. This was supported by two favourable arbitration outcomes over a contract dispute, relating to a Kupe GSA and the Otway Lattice gas price review.

A strong balance sheet was maintained to deliver on gas growth projects with net debt of $48 million, net gearing of 1.5 per cent and liquidity of $402 million.

Beach Energy reported a final dividend of 1.0 cents per share, fully franked. 

Managing Director Matt Kay, said that "while FY21 was a challenging year for Beach on the Western Flank, the company remains in a strong position as it delivers on its gas growth projects, primarily in the Perth and Victorian Otway Basins."

Shares in Beach Energy (ASX:BPT) are trading 8.9 per cent lower at $1.10. 

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