Metallurgical coal earnings surged to US$7.7bn in FY22 compared to US$593m a year agoAverage iron ore prices eased to US$113.1 a tonne compared to US$130.56 a year agoFinal FY22 dividends down -12.5% but total dividends for the year hit a record US$3.25 6park.com
BHP (ASX: BHP) posted a sizeable profit beat and issued a record full year dividend contrary to all the economic doom and gloom.
“BHP delivered strong operational performance and disciplined cost control to realise record underlying earnings (EBITDA) of US$40.6 billion and record free cash flow of US$24.3 billion," said BHP CEO Mike Henry.
Results at a glance
Full year
2022
2021
Change %
Revenue (US$m)
71,502
60,817
18
Attributable profit after tax (US$m)
30,900
11,304
173%
Net debt (US$m)
333
4,121
-92
Earnings per share (US cents)
470.6
337.7
39
Final dividend (US cents)
175
200
-12.5
Total dividend (US cents)
325
301
7.9
Source: BHP | Table: Market Index
Record profits, even better margins
BHP's US$30.9bn profit figure was well ahead of consensus expectations of US$22.56bn. There were several factors that helped the iron ore major deliver the solid beat:
Record margins of 65% compared to 64% in FY21
Copper EBITDA in-tact at US$8.6bn compared to US$8.5bn in FY21
Metallurgical coal EBITDA jumped to US$7.7bn compared to US$593m a year ago
Solid margins and surging coal profits helped offset weaker average iron ore prices, which came in at US$113.1 a tonne in FY22 compared to US$130.56 in FY21. 6park.com