CORRECTED - CORRECTED-UPDATE 1-Australia Caltex year profit slumps, scraps d
(Corrects 2008 production figure in fourth paragraph to 9.8 billion from 10.8 billion) (Adds details, background)
PERTH Feb 20 (Reuters) - Caltex Australia Ltd (CTX.AX), the country's only listed oil refiner and marketer, reported a near 60 percent slump in full-year operating profit and said it would not pay a final dividend.
Caltex said net profit on a replacement cost of sales basis -- which strips out oil price volatility -- was A$186 million ($119 million), compared with A$444 million last year.
"Caltex's underlying performance weakened, driven by foreign exchange losses resulting from the rapid fall in the Australian dollar in the last quarter of the year, and the impact of lower refinery production," it said in a statement.
The company, 50-percent owned by Chevron Corp (CVX.N), produced 9.8 billion litres of fuel in 2008, less than the 10.9 billion litres it produced a year ago.
Caltex buys the oil it refines in U.S dollars, so a slump in the Australian currency means it needs to pay more for oil.
Reported net profit, which includes oil price movements, tumbled 95 percent to A$35 million, Caltex said. Caltex will pay no final dividend, making its total dividend for the year A$0.36.
Caltex said that although the economic slowdown may impact both its marketing growth and regional U.S. dollar refiner margins, a weaker Australian dollar will bolster its refiner margin in Australian dollar terms.
Caltex said that under the government's proposed carbon emissions trading scheme that is due to start in July 2010, the firm will receive about 60 percent free permits.
The firm, which operates two refineries representing about 30 percent of Australian capacity, said total refinery emissions will be about 2.5 million tonnes and it will need to purchase permits for about 1 million tonnes of emissions each year.
The impact of carbon scheme on its future profit will depend on the price for permits, Caltex said, adding that it will be unable to recover the permit purchase costs due to import competition. ($1=1.549 Australian Dollar) (Reporting by Fayen Wong)
- Tweet this
- Share this
- Digg this