Boliden seen to fall as Middle East conflict weighs on costs in Q2
BUZZ-Boliden seen to fall as Middle East conflict weighs on costs in Q2 ** Shares in Boliden BOL.ST are expected to fall 5-7% after the Swedish miner flagged higher production costs in Q2 amid geopolitical turbulences in Middle East
** Its adjusted operating profit of 2.87 billion Swedish crowns ($297 million) in the quarter missed the 3.26 billion expected on average
** It points to higher oil prices that led to increased costs of chemicals and transport
** Boliden also flags "a significantly slower production rate" at its Garbenber mine following seismic activity and lowers its volume guidance for the Tara site
** "We expect 2026 consensus EBIT to move down by mid single digits", J.P.Morgan analysts say
** The broker notes as well a negative free cash flow of 1.6 billion crowns in the quarter against an expectation for a positive 0.7 billion
($1 = 9.6703 Swedish crowns)
(Reporting by Boleslaw Lasocki)
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