Woodside profit to beat predictions

Investors piled into Woodside yesterday after the company said its half year results to be released in a fortnight are expected to exceed market forecasts by as much as $30 million.
Woodside profit to beat predictions Woodside profit to beat predictions Woodside profit to beat predictions Woodside profit to beat predictions Woodside profit to beat predictions

The stock opened at $18.05 and raced to $18.84 before easing back to close at $18.70. This morning it had eased off again slightly to be trading at $18.64.

It said although results are still being finalised current indications are that the net profit after tax but before significant items, would probably exceed the previous forecasts of $314 million.

Woodside said some analyst forecasts might have not taken into account unrealised foreign exchange gains from the US dollar sale to Mitsui E&P Australia of a 40% stake in the WA-271-P exploration permit that incorporates the Enfield project.

The exchange rate on 31 March when Woodside announced the sale was US$0.7549.

Proceeds from the sale, held as US dollar cash balances are subject to balance date translation to Australian dollars with the consequent gain or loss impacting Net Profit After Tax but before Significant Items.

The previously forecast gain on that sale of around $375 million after tax remains unchanged and will be represented as a significant item.

Hardman Resources also traded at its highest levels - $2.42.

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