Boral has reported revenue of AUD1681.1m (US$1172.8m) in the six months ended 31 December 2022, marking a 12 per cent increase YoY. According to the company, this has been driven by higher volumes and prices. EBIT over the same period advanced by 15 per cent to AUD95.3m, while the EBIT margin was up 20bps to 5.7 per cent.
Underlying net profit after tax (NPAT) grew by 53 per cent YoY to AUD56.8m, with adjusted earnings per share (EPS) coming in at 5.1 cents, up 50 per cent on the same period a year earlier. Operating cashflow was up 37 per cent to AUD117.4m.
Commenting on the results, Boral CEO, Vik Bansal, said, “Today, in my first set of financial and operational results for Boral, I am pleased to report a half on half improved performance on key metrics amidst a challenging inflationary and operating environment. While our financial results are pleasing considering a difficult inflationary environment, I know Boral is capable of much more. We are reporting underlying NPAT of AUD56.8m, up 53 per cent and adjusted EPS of 5.1 cent per share, which is a 50 per cent improvement.”
“We will need to remain highly disciplined and focussed in getting price realisation from the market across the country while maintaining a disciplined approach to cost management. Price erosion is not an option for Boral,” he added.
Boral continues to make steady progress toward its carbon emissions reduction targets. In FY22, Scope 1 and 2 emissions were down eight per cent from the FY19 baseline and work continues towards the interim FY25 goal of an 18 per cent reduction compared to FY19.
The company expects to complete the chlorine bypass at its Berrima Cement plant in the fourth quarter of FY23, which will enable higher use of alternative fuels at the kiln and reduce its reliance on coal. This will support an increase in alternative fuels from around 15 per cent in FY22 to 30 per cent by the end of FY23, and thereafter targeting 60 per cent by FY25.
Boral's new Geelong Cement facility saw its second mill commissioned in December taking total capacity at the works to 1.4Mta. “This capacity will provide Boral with necessary flexibility to meet operational challenges, allowing us to adapt and respond quickly to changing environments,” said the company in a statement.
