BHP Group Ltd (LSE:BHP, ASX:BHP) reported a sharp fall in revenue and profits hit by falling metals prices and inflationary pressures.
In the financial year to 30 June 2023, the Melbourne-based diversified miner said revenue fell 17% to US$53.82 billion from US$65.10 billion the year before, reflecting "significantly" lower prices across iron ore, metallurgical coal, and copper.
In iron ore and copper - BHP's two largest segments - prices fell 18% and 12% respectively from the prior year.
Attributable profit from total operations slumped 58% to US$12.9 billion from US$30.9 billion although last year's figure was inflated by a one-off gain US$7.1 billion related to the merger of BHP's Petroleum business with Woodside.
In addition, 2023 took a US$1.7 billion hit from "the lagged effect of inflation", the firm said.
Basic earnings per share dropped to 255 US cents from 611 cents.
"In areas within our control we performed well," said chief financial officer David Lamont.
Lamont said commodity demand has remained "relatively robust" in China and India even as developed world economies have slowed substantially. In the near term, China's trajectory is contingent on the "effectiveness of recent policy measures", he said, adding: "We expect buoyant growth in India with strong construction activity underpinning an expansion in steelmaking capacity."
The reduced earnings were reflected in a lower final dividend of 80 cents, bringing the total payout for the year to 170 cents, down from 325 cents the year prior.