Fertiliser and explosives business Incitec Pivot has soared on the upswing in rural and mining commodities in the wake of Russia’s invasion of Ukraine.
The Melbourne company reported a record first half performance lead by its focus on fertiliser and explosives and an increase in explosives technology sales.
It told investors net profit after tax for 1H22 had increased by $348 million in the previous corresponding period to $384 million.
Operating EBIT was $568 million, up from $110 million.
Leading the profit result was the company’s Australian fertiliser business, where EBIT was $257 million, up from $20 million previously.
During the period Incitec’s Gibson Island, Brisbane plant was upgraded to provide temporary boost to AdBlue production for the transport sector.
However the company is pushing ahead with plans to close Gibson Island this tear following its’ failure to secure gas supplies at a reasonable cost.
Increased fertiliser imports will replace production.
Explosives offshoot Dyno Noble also reported strong results – EBIT of $79 million in Asia Pacific and $568 million in the Americas.
A highlight was continuing strong growth in explosives technologies, with electronic detonator sales up 20 percent.
Production at the company’s troubled Waggaman plant in the US was strong following its latest ‘unexpected outage’ in February.
Picture: Incited Pivot
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