Ampol (ALD) H2 2024 earnings summary

Executive summary

• RCOP EBITDA was AUD 1.2 billion and RCOP EBIT AUD 715 million, both down significantly year-over-year due to challenging refining conditions and operational impacts at Lytton.

• Statutory NPAT was AUD 122.5 million, with RCOP NPAT AUD 235 million (excluding significant items), reflecting a 68% decline year-over-year.

• Convenience retail earnings grew at a 6% CAGR since 2020, with strong Z Energy performance despite a tough economy.

• Leverage at 2.6x (LTM), net borrowings at AUD 2.8 billion.

• Total sales volumes were 27.3 billion L, down 2% year-on-year, mainly due to international business.

Financial highlights

• Group RCOP EBITDA fell 32% to AUD 1,199m and RCOP EBIT dropped 45% to AUD 715m compared to FY2023.

• Statutory NPAT was AUD 122.5 million, including AUD 137 million in inventory losses after tax.

• Dividend payout for 2024 was AUD 0.65 per share (66% of NPAT), fully franked, with AUD 572 million paid.

• Capital expenditure was approximately AUD 640 million, mainly for low sulphur fuels and retail highway sites.

• Net borrowings at year-end were just under AUD 2.8 billion.

Outlook and guidance

• AUD 50 million cost reduction program targeted for 2025, with productivity and asset reliability as key focus areas.

• Ultra Low Sulphur Fuels Project on track for completion by end of 2025; Lytton reliability improvements expected.

• Group CapEx for 2025 projected at AUD 600 million, with leverage expected to return to 2–2.5x.

• Convenience retail and Z Energy expected to continue strong growth; refinery production forecast at 5.8 billion L.

• Medium-term outlook sees persistent geopolitical disruption, but integrated value chain is well positioned.