Beach Energy has reported a net loss of $43.8 million for the full year ended June 30, driven by significant impairments on its Western Australian and Victorian assets. This downturn comes despite a 13 per cent increase in sales revenue, which reached $2.1 billion. Beach Energy is a mid-cap oil and gas producer with operations across Australia and New Zealand. Its largest shareholder is Kerry Stokes’ SGH.
The reported loss contrasts with the company’s underlying performance, as net profit, excluding one-time items, rose by 32 per cent to $450.5 million. The impairments, flagged last week, significantly impacted the bottom line, overshadowing the gains made in sales and operational efficiency.
Despite the reported loss, Beach Energy’s board has declared a final dividend of 6¢ per share. This dividend is double the interim payout, reflecting confidence in the company’s underlying financial health and future prospects. The increased dividend aims to reward shareholders amidst the reported financial setbacks.
Looking ahead, Beach Energy will focus on optimising its core assets and pursuing strategic growth opportunities. The company aims to navigate the challenging market conditions and deliver sustainable value to its shareholders, leveraging its strong sales performance and underlying profitability.
