(Reuters) - Incitec Pivot Ltd <IPL.AX> said on Thursday it will take a hit to its fiscal 2018 net profit of about A$5 million ($3.9 million) after the expiry of its contract as explosives supplier to Roy Hill Iron Ore.
The explosives maker said in a statement it will cease to be Roy Hill's contracted supplier from the expiry of the current contract in February 2018.
The contract loss will also lead to a one-off profit reduction of A$16 million in fiscal 2019, A$22 million in fiscal 2020, A$18 million in fiscal 2021 and A$20 million in fiscal 2022, Incitec said.
The company also said last month it would lose a supply contract with miner BHP Billiton <BHP.AX> in November 2019, and forecast a reduction of A$10 million to its net profit for fiscal 2020 and A$25 million for fiscal 2021.
Incitec reported a net profit of A$318.7 million in fiscal 2017.
(Reporting by Ambar Warrick in BENGALURU; Editing by Richard Pullin and Tom Hogue)
