BHP declared a final dividend of 60 U.S. cents per share
SYDNEY: BHP Group Ltd (BHP.AX) on Tuesday reported a 14% rise in attributable profit to $9.0 billion for the year ended June 30, 2025, buoyed by record copper and iron ore production, despite an 8% drop in revenue amid weaker commodity prices.
The world’s largest miner by market value said underlying attributable profit fell 26% to $10.2 billion, reflecting lower iron ore and coal prices, though copper prices and volumes partially offset the decline. Underlying EBITDA dropped 10% to $26.0 billion, with a margin of 53%, down one percentage point from the prior year.
“FY25 was another strong year for BHP, marked by record production, continued sector-leading margins and disciplined capital allocation,” CEO Mike Henry said in a statement. “We remain confident in the long-term fundamentals of steelmaking materials, copper and fertilisers.”
Copper output surpassed 2 million tonnes for the first time, up 28% over three years, while Western Australia Iron Ore (WAIO) delivered a record 290 million tonnes, maintaining its status as the world’s lowest-cost major producer. Copper contributed 45% of group EBITDA, up from 29% in FY24.
BHP declared a final dividend of 60 U.S. cents per share.
The miner said it would invest $11 billion annually in capital and exploration over the next two years, before trimming average spend to $10 billion between FY28 and FY30. First potash production from its Jansen project in Canada is expected by mid-2027.
BHP also flagged progress on sustainability, including a 40% rise in Indigenous procurement spend, gender balance across its global workforce, and a 158,000-hectare conservation initiative in South Australia. It remains on track to cut operational greenhouse gas emissions by at least 30% from FY20 levels by FY30.
Adjusted effective tax rate rose to 37.2%, with total effective tax including royalties at 44.6%.
Looking ahead, BHP said global economic growth is expected to ease to around 3% amid shifting trade policies, but commodity demand remains robust, particularly in China and India. Chinese copper demand outperformed in FY25, while iron ore demand was supported by infrastructure and manufacturing activity.
Steelmaking coal prices softened due to oversupply, though policy shifts in China and new blast furnace capacity in Asia are expected to support the market. Potash markets are seen benefiting from population growth and sustainable agriculture trends.
Shares in BHP were flat in early trade.