Orica has announced it expects a strong finish to the financial year, following a reported loss in the first half. The company, which manufactures and supplies explosives and blasting systems to the mining and infrastructure industries, anticipates its second-half earnings from its three core segments will surpass those of the prior corresponding period.
Despite the positive outlook, Orica also flagged that net finance costs are projected to reach the upper end of its guidance range, between $190 million and $200 million. In addition, the company will recognise litigation costs of $39 million to $42 million after tax as significant items in its second-half results. These costs are related to ongoing intellectual property and commercial disputes.
Chief Executive Officer Sanjeev Gandhi expressed satisfaction with the company’s performance. “We are pleased with the strong finish to the financial year. Our core blasting business remains resilient, supported by the ongoing adoption of our innovative products and services,” he stated. The full financial results will provide a comprehensive overview of Orica’s performance for the entire year.
