Incitec Pivot (IPL)
Sub-Sector: Manufacturer
Induction into AAG Agri-Index: 27 June 2003
Last Updated 20th March 2009
| View index breakdowns |
|---|
| View Historical breakdown |
| View FYTD breakdown |
| View 2 week breakdown |
| 2008 Calendar Performance |
| Featured Company Profiles |
Overview:
Incitec Pivot manufacture and supply fertilisers and industrial explosives.
Chart. 1st January 2008 to 19th March 2009
Performance:
Incitec Pivot has taken a downhill ride in recent months with the share price having plummeted from a peak of around $9 in June 2008 to as low as $1.74 on the 4th February. It is clear from the chart the impact IPL had on the AAG Agri-Index given its weighting at the start of Jan 08 of 12%.
Recent Trading:
Incitec Pivot was among many others to suffer from a significant slowing of the global economy, falling from $2.85 on the 28th January 2009 to as low as $1.74 on the 4th February 2009. The share price now sits at $2.28.
IPL released to the ASX that its “outlook had deteriorated materially in January 2009 with a slower than expected pick-up in international demand for fertiliser.” Furthermore, IPL don’t expect demand to grow until the second half of the 2009 calendar year, after the Australian winter crop planning window.
Amongst IPL’s growing concerns is the ammonium nitrate complex project in Queensland which has been slowed by twelve months in response to the weakening growth in demand for ammonium nitrate.
Mining company’s slowdowns have directly impacted ammonium nitrate demand growth while the explosives business for IPL has also slowed in North America.