Stokes-backed Beach Energy dips on half yearly profit miss

Beach Energy (ASX:BPT) has seen some investors rebuke its half-yearly results on Thursday with lower than expected profits rattling shareholders out of the tree and pushing Beach down nearly -5% in the last half-hour of trade.

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Worth noting, this miss is unlikely to mean anything long-term; losses were pared off throughout the day as some saw a cheaper entry price attractive, though 1Y losses are down -21%. Understandably, though, not every HotCopper forum user liked what they saw in the profits readout.

Sales revenues came in at $982 million and EBITDA at $558M, but profit after tax – underlying – came in at $219M. Not terrible by any means, but not enough to keep everybody happy.

Earnings season, you know how it is.

Beach will kick off Phase 2 of its Equinox rig later this year, and the first Waitsia gas was shipped off in H1. Beach also made the claim that it’s successfully injecting carbon, part of a ‘carbon capture’ plan, with 1.5Mt of carbon injected into rock. That claim may interest some environmental researchers.

“In an active period of major project delivery, it was pleasing to see strong operations and outstanding safety and environmental performance across all assets,” BPT CEO Brett Woods.

“This has underpinned our solid earnings, positive cash flow generation and a further strengthening of our financial position as we continue to invest in growth across our core East and West Coast hubs.”

The energy company, Australia’s third largest after Woodside (which I have long maintained is an American company pretending to be Australian) and Santos, is backed by media mogul billionaire Kerry Stokes.

BPT last traded at $1.20/sh this arvo.

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