News: Orica reports subdued half year result

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Explosives company Orica Limited (ASX:ORI) has reported a subdued half yearly report. Net profit after tax came in at $242 million compared with $263 million for the previous corresponding period.

 

Earnings dropped by 7 per cent. Overall sales revenue was 1 per cent better than the same period in 2013 and cash flows lifted by 11 per cent. The company reported global explosives volumes were down 2 per cent but Australian volumes were up by 5 per cent driven mainly by high demand from the Pilbara. 

 

Emerging markets in Africa and Russia offset reductions in Indonesia and the Americas. The company expects demand to grow slightly for the remainder of the year however warned pricing pressures would continue. 

 

The Orica Board declared an interim dividend of 40 cents per share franked to 16 cents payable on July 1, 2014. 

 

Orica reported a net profit of $621 million for the full year ended 30th September 2013.