OPINION: Boral won’t be the last ASX company to see its profitability hit by the rapid rise in oil and coal prices due to the war in Ukraine.
Leaders, whether they are chief executives or footy coaches, love nothing more than to bang on about focusing on the things they can control.
Boral has been doing the right things by both passing through cost increases in the form of higher prices and protecting itself with hedging on diesel and coal prices. Boral says elevated fuel costs are also causing broader supply chain issues, which will persist until the end of the financial year., the reverberations from the energy shock sparked by the Ukraine crisis will last for decades, but the short-term impacts are here and they are real.Boral’s heavy use of coal and diesel gives it a unique exposure to the war, but the speed at which prices are moving and supply chains are being disrupted means many companies will be exposed directly or indirectly.
Australia Latest News, Australia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
ASX to rise; markets gain confidence on Ukraine resolutionAustralian shares are poised to rise; US shares rally led by tech stocks; iron ore price rises back over $US150 a tonne. Follow the latest here.
Read more »
Boral takes $23m hit from surging fuel prices and floodsBuilding materials maker Boral says the soaring cost of fuel and coal and the recent floods will hit profits, warning it cannot pass on price increases fast enough.
Read more »
ASX wins upper hand over Wall StreetThe S&P/ASX 200 Index is on track for its largest quarterly outperformance against the S&P 500 in seven years.
Read more »
ASX to rise, US bond yields surge on Powell rate commentsAustralian shares are set to open higher; oil prices leap as EU weighs Russian oil ban; iron ore slips; $A falls back below US74¢. Follow the latest here.
Read more »
ASX to rise, US bond yields surge on Powell rate commentAustralian shares are poised to open higher in contrast to Wall Street, which took the prospect of a 50 basis point rate rise in May as a negative.
Read more »
ASX set to rise after Wall Street rallyAustralian shares are expected to start the week on the front foot, as clouds swirl over the global economy from Ukraine to China. The $A is holding gains.
Read more »