Ampol 1H26 Statutory NPAT $1.36bn, 185c Interim Dividend

Ampol (ASX:ALD) reported first half 2026 Group Replacement Cost Operating Profit (RCOP) EBITDA of $1,637.1 million against $648.9 million in the prior corresponding period, and Group RCOP EBIT of $1,391.7 million against $403.8 million, both excluding Significant Items. RCOP is an unaudited non-IFRS measure. RCOP net profit after tax attributable to the parent, excluding Significant Items, was $857.2 million against $180.2 million, while statutory net profit after tax attributable to the parent was $1,363.4 million against a loss of $25.3 million; the difference comprises an after-tax inventory gain including externalities and realised foreign exchange of $527.6 million, against a $145.0 million loss in the prior period, and an after-tax Significant Items loss of $21.4 million. The Board declared a fully franked interim dividend of 185 cents per share, which the company said represents more than a quadrupling of the prior year's interim dividend and is in line with Group policy, with a record date of 7 September 2026 and a payment date of 30 September 2026. Managing Director and CEO Matt Halliday said the first half was marked by the Middle East conflict and the consequential impact on the flow of oil and refined products around the world, and that while the market dislocation provided a benefit to Ampol's financial results, underlying business performance improved across multiple segments.

Fuels and Infrastructure RCOP EBIT was $1,134.5 million against $118.3 million, with the company describing the earnings improvements as broad-based across the fuel supply chain. Within that, Lytton RCOP EBIT was $533.4 million as the Middle East conflict tightened global refining supply and elevated product cracks, producing a Lytton Refiner Margin of US$28.26 per barrel for the half, with total production up 8.7%. Fuels and Infrastructure Australia, excluding Lytton, delivered RCOP EBIT of $309.3 million with Australian wholesale volumes excluding net-sell up 2.9%, and Fuels and Infrastructure International RCOP EBIT was $307.5 million, while Energy Solutions narrowed its RCOP EBIT loss to $15.6 million from $24.1 million. Convenience Retail RCOP EBIT rose 12% to $204.5 million, with fuel volumes up 2.4%, network shop sales up 0.4% at a headline level and 3.5% excluding tobacco and U-GO conversions, and shop gross margin of 40.1% after waste and shrink. The New Zealand segment delivered RCOP EBIT of $103.8 million on an ex-exited-businesses basis, down 16%, which the company attributed to the market being slower to pass through rapidly increasing input costs, to the absence of earnings from exited businesses including Flick Energy and the Channel Infrastructure dividend which contributed NZ$7.6 million to EBITDA in the prior period, and to a currency impact of approximately $6.5 million on the conversion of New Zealand dollar earnings. Corporate RCOP EBIT was a loss of $51.1 million against a loss of $26.0 million.

Ampol completed the acquisition of EG Australia at the end of the half, and the Board elected to cash settle the scrip component of the acquisition, valued at $315 million. Net borrowings at 30 June 2026 were $3,523 million against $2,903 million at 31 December 2025, an increase the company said included the payment of $1,165 million to settle the EG Australia acquisition and $148 million to fund Export Finance Australia-related cargoes under an arrangement with the Federal Government to bolster fuel inventories. Committed facilities were $5.8 billion and leverage at 30 June 2026 was 1.8 times, calculated as adjusted net debt of $4,325 million, which includes net borrowings of $3,523 million and lease liabilities of $1,676 million and offsets hybrid equity credits of $875 million, divided by last twelve months RCOP EBITDA of $2,426 million excluding Significant Items. Ampol said July 2026 earnings are ahead of the prior corresponding period underpinned by strong refinery earnings, that the Lytton Refiner Margin reached US$27.11 per barrel in July, and that the Lytton Turnaround and Inspection commenced on 30 July with start-up expected during October. It also said Australian and New Zealand retail has experienced tighter retail fuel margins reflecting rising landed costs and a lag in passing them through to board prices, which it expects to be temporary in nature, that management remains confident of delivering $65 million to $80 million of EG Australia synergies per annum by two years post completion with benefits beginning to flow through results in FY 2027, and that FY 2026 net capital expenditure is expected to be approximately $600 million.