BHP Billiton is an international resources company. The Company's chief business lines are mineral exploration and production, including coal, iron ore, ferroalloys, gold, titanium, nickel and copper concentrate, along with petroleum exploration, production, and refining.
BHP Billiton reported marginal revenue growth of 2% for the fiscal year 2014 (June ending) with revenues coming in at $67.2 billion. However, the company posted good set of numbers at the operating income front with 22% growth in fiscal year 2014 predominantly led by margin expansion. Operating income margin for the fiscal year 2014 came in at 35% versus 29% in fiscal year 2013.
Expansion in margins coupled with lower effective tax ratio and lower net interest payment fairly permeated down to the net income level witnessing a growth of 27% in fiscal year 2014.
EPS for the fiscal year 2014 (June 2014) stood at $2.60, a growth of 27% on a year-on-year basis, akin to net income growth. BHP Billiton has been satisfying its shareholders with dividends on regular basis. The company has paid dividends of $1.21 per share in fiscal year 2014 as compared to $1.16 per share in fiscal year 2013. Although dividend per share as a proportion of earnings per share marginally declined, it is still at healthy levels of 47%.
Going forward, market consensus factors in a modest growth in revenues and net income for BHP Billiton, in line with the revenue growth exhibited in fiscal year 2014. Company is likely to further increase its dividend pay-out in the future. The table below indicates market anticipations for BHP Billiton in terms of its financial performance:
Company’s long term debt has remained more or less at similar levels as of fiscal year end 2014 at $31.7 billion with cash and equivalents of $10.9 billion. Overall on the leverage front, the company’s Long-Term Debt/Equity ratio is at comfortable levels of 0.35x as of fiscal year 2014 end. Capex for the fiscal year 2014 stood at $8.6 billion as compared to $11.6bn for the fiscal year 2013.
The Company is expected to declare operational review for September 2014 on 22 October 2014.
Following are 3 major shareholders of company:
Following are the major shareholding transactions that took place recently: