Wednesday, August 17, 2016

They Really Want You to Think Black is White.

Lefty journalists, that is.

Cop this latest dim witted effort at mendacious sensationalism from Australia's ABC.

BHP Billiton has posted a statutory net full-year loss of $US6.385 ($8.3 billion) on significant one-off write-downs.  It is the company's first annual loss since BHP and Billiton merged 15 years ago.
The company was expected to post a $US5.9 billion ($7.7 billion) loss according to the average of 11 analysts' estimates compiled by Bloomberg.
BHP Billiton's slump in profit was largely driven by a 31 per cent dive in revenue due to plunging commodity prices. (my italics)
 
Now have a look at a more intelligent report from the Australian.

Secondly, the loss was created by asset writedowns because it paid too much for US shale oil and gas assets in the boom and was hit by last year’s Samarco disaster.
BHP actually created a cash surplus from earnings and made a trading profit. Indeed that trading profit of some 22 cents a share was less than its 30 cents a share dividend, which reflects confidence in the 2016-17 outlook and its moderate gearing.
So the truth on the matter is the ABC is telling lies.  There was no trading loss, as the ABC report falsely implies.  The 'loss' was brought about by bringing to book the sale of over-valued assets.

Sounds like a pretty good time to buy some BHP shares.

And to sell off the God awful ABC.



6 comments:

Anonymous said...
This comment has been removed by a blog administrator.
Adolf Fiinkensein said...

Anonmous shithead.

I don't accept comments from anonymous shitheads.

An BTW, I am able to read a balance sheet and a profit and loss account.

No doubt you think a balance sheet is used to even up each side of a double bed.

Anonymous said...

Oh dear...toys coming out of the pram. The comment was mine but I neglected to sign off due to granddaughter throwing a hissy fit, I cannot multi task and one hissy fit at a time is all I can handle. Now in the interests of free speech, and those who have died to maintain it, be a good chap and put it back.

Lord Egbut

David said...

Adolf suffers enormously from Rupert worship syndrome and parrots anything that the Oz prints.

You know, Adolf, it is possible, and it is correct, that both the Oz and the ABC are correct.

Forget the Balance Sheet, because that is not what this debate is about. Have you looked at the P&L?

From the BHP report:

To provide clarity into the underlying performance of our operations, Underlying attributable profit and Underlying EBITDA are set out in the following tables. While we have reported Underlying EBIT as a key non-IFRS measure of operating results in past periods, we believe focusing on Underlying EBITDA more closely reflects the operating
cash generative capacity and hence the underlying performance of our business.


Yet even that shows a loss of $US 6.2 Billion.

You can find a copy at http://www.bhpbilliton.com/investors/news/bhp-billiton-results-for-the-year-ended-30-june-2016

Adolf Fiinkensein said...

Stick to selling biros, David.

From your very own link, you overlooked the $7.7b losses from the sale of assets and the $1.2b operating profit which was the whole point of my remarks in the first place.

BTW, Murdock's papers run ring around your favorites Guardian,ABC or Fairfax as far as accuracy and neutrality are concerned.

Adolf Fiinkensein said...

Legbut

Go bark at the moon!