Business Description

Orica Ltd. is involved in producing and distributing blasting and explosives equipment. The company was established in 1874 and is headquartered in Melbourne, Australia. The company operates in the following regions: Australia, Pacific and Asia, North America, Latin America, Europe, Middle East, Africa, Auxiliaries, Minova,  and Global Support.

The supply of explosives and blasting equipment to the mining and infrastructure market, as well as technical support and solutions, is what Pacific Asia, Australia, and Africa segments do. Minova provides ground support products for underground tunneling mining and construction as well as chemical and mechanical earth control products. All adjacency companies are included in the Auxiliaries segment.

 

Key Financials

 

Revenue (US$ Mn)

• US$ 5,208 Mn was the annual revenue generated by Orica Limited in 2021
• Orica Limited’s annual revenue for 2020 was US$ 4,134 Mn, a 4.57% increase from 2019
• From 2018’s annual revenues, Orica Limited registered a 1.04% increase in 2019, amounting to US$ 3,954 Mn
• Total revenue of US$ 3,913 Mn was generated in 2018 by Orica Limited

 

Operating Income (US$ Mn)

• Orica Limited’s operating income for 2021 was US$ 427 Mn, a -4.22% decrease from 2020
• The operating income generated by Orica Limited in 2020 was US$ 445 Mn
• At a -0.67% decrease, Orica Limited’s operating income of US$ 447 Mn was indexed in 2019
• Orica Limited generated an operating income of US$ 450 Mn in 2018

 

Operating Margin %

• Orica Limited’s operating margin for 2021 was 8%, a -25% decrease from 2020
• The operating margin generated by Orica Limited in 2020 was 11%
• At a -1.74% decrease, Orica Limited’s operating margin of 11% was indexed in 2019
• Orica Limited generated an operating margin of 12% in 2018

 

SWOT Analysis

Strengths

Territorial Coverage

Orica’s geographically diverse coverage helps to mitigate the risks of being too dependent on one market. The company’s wide geographic presence allows it to increase its brand equity and opens up new opportunities for growth. Orica primarily provides explosives, blasting, and mining systems, as well as chemical products, adhesives, and chemical and mechanical earth control products. It also offers ground support solutions.

Over 50 countries are represented by the company, which also serves customers in more than 100 countries across North America, Europe, Asia-Pacific, Middle East Africa, Latin America, Latin America, and Latin America. The company divides its operations geographically into four others, Australia, Canada, and the United States of America. The other was responsible for 45.8% of the company’s total revenues in FY2020. Next came Australia with 28.7%, America with 15.8%, and Canada with 9.7 i>