Chemical manufacturer Orica’s annual profit has taken a hit, falling by 37 per cent.
The fall has been attributed to specialty bolts and chemicals business Minova writing down $247 million due to asset impairment, Orica announced on Friday.
The Minova loss was a result of challenging US market conditions and continued margin pressure in China Orica declared.
Net profit for the year to September was $650 million, up 1 per cent from last year news.com.au reported.
Orica announced on Monday global conditions are expected to remain difficult.
"Work continues on cost rationalisation and asset optimisation, which, together with a simplified business model, should see Minova returns improve in the medium term," the company said.
The final dividend of 54 cents per share, of which 24 cents was franked, one cent higher than at the same time last year.