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BRIEF-Incitec Pivot Updates On Impact Of Weather Condition On H1 Earnings

Published 02/04/2019, 09:03 am
Updated 02/04/2019, 09:10 am
BRIEF-Incitec Pivot Updates On Impact Of Weather Condition On H1 Earnings
IPL
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April 2 (Reuters) - Incitec Pivot Ltd IPL.AX :

* DISTRIBUTION SALES IN FIRST HALF OF FY19 ARE CURRENTLY DOWN APPROXIMATELY 200,000 TONNES VERSUS PRIOR CORRESPONDING PERIOD

* IPL HAS COMPLETED A REVIEW OF ITS SINGLE SUPER PHOSPHATES (SSP) MANUFACTURING OPERATIONS IN VICTORIA

* IMPACT OF THE LOWER VOLUMES ON FIRST HALF FY19 EBIT IS EXPECTED TO BE APPROXIMATELY A$20M COMPARED TO PCP

* PORTLAND SSP MANUFACTURING FACILITY WILL CLOSE IN MAY 2019 AND OPERATIONS WILL BE CONSOLIDATED TO GEELONG SSP MANUFACTURING FACILITY.

* PORTLAND PRIMARY DISTRIBUTION CENTRE WILL CONTINUE TO OPERATE TO SERVE CUSTOMERS AS NORMAL.

* TOTAL COST ASSOCIATED WITH CLOSURE AND SUBSEQUENT CONSOLIDATION OF OPERATIONS TO GEELONG IS EXPECTED TO BE APPROXIMATELY A$13M

* FINANCIAL IMPACT OF QUEENSLAND RAIL OUTAGE ON FIRST HALF EBIT IS EXPECTED TO BE ABOUT A$60M

* TOTAL IMPACT OF QUEENSLAND RAIL OUTAGE IMPACT FOR 2019 FY NOW ANTICIPATED TO BE AROUND LOWER END (A$100M) OF RANGE PREVIOUSLY ANNOUNCED

* PORTLAND SSP TO BE CONSOLIDATED TO GEELONG SSP FACILITY; SEES SYNERGIES FROM COMBINED OPERATION OF A$3M EBIT PER ANNUM FROM FY20

* ESTIMATED EBIT FOR LOUISIANA AMMONIA PLANT FOR FIRST HALF OF FY19 IS ABOUT A$14M COMPARED TO A$62M IN PCP

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