Beach Energy (BPT) H2 2025 earnings summary

Executive summary

• Achieved significant progress on strategic objectives, including cost reduction, margin expansion, and operational efficiency, with a strong safety and environmental record.

• Supplied 19% of the east coast domestic gas market, reinforcing position as a key supplier.

• Restructured business with a 33% headcount reduction and $130 million in cost and capital reductions, including an 18% reduction in unit operating costs and a 20% reduction in sustaining capital.

• Record fully franked dividend of $0.09 per share for the year, reflecting strong free cash flow and low leverage.

• Significant progress on sustainability, including Moomba CCS ramp-up and emissions intensity reduction.

Financial highlights

• Sales revenue increased 13% year-over-year to $2 billion, with sales volumes up 16% to 24.7 million barrels of oil equivalent.

• Underlying EBITDA rose 20% to $1.1 billion, with a 300 basis point margin expansion to 57%.

• Underlying NPAT grew 32% to $451 million; statutory NPAT improved to a $44 million loss from a $475 million loss.

• Pre-growth free cash flow increased fourfold to $657 million.

• Record fully franked final dividend of 6.0 cps, full year 9.0 cps, equating to 31% of pre-growth free cash flow.

Outlook and guidance

• FY26 production guidance: 19.7–22 million barrels of oil equivalent, influenced by Waitsia Gas Plant ramp-up and Cooper Basin flood recovery.

• Capital expenditure guidance: $675–775 million, with up to 55% allocated to growth projects.

• Waitsia Gas Plant targeting first gas in Q1 FY26, with a 4-month ramp-up to 90% utilisation.

• Sustaining capital expenditure guidance below $450 million, with abandonment expenditure of $200–$250 million.

• Flood impacts may reduce production by up to 0.8 million barrels of oil equivalent; one-off expense items up to $24 million expected.