Author: roymorgansocial

ALP’s deficit warning despite $50bn boost

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Original article by Patrick Commins
The Australian – Page: 1 & 2 : 21-Sep-22

Treasurer Jim Chalmers has advised that the Budget deficit for 2021-22 is now likely to be around $30bn, compared with expectations of about $79.8bn just four months ago. Government revenue has been $28bn higher than forecast due to factors such as rising commodity prices. Government payments are in turn $20bn lower than expected, with a record low official unemployment rate resulting in a sharp fall in welfare payments. However, Chalmers says the improvement in the Budget bottom line has been largely driven by temporary factors, and he notes that the prices of key commodities have fallen since the start of the financial year. Chalmers is expecting a bigger deficit for 2022-23.

CORPORATES
AUSTRALIA. DEPT OF THE TREASURY

FMG to spend $9.2b on switch to renewables

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Original article by Matthew Cranston, Lucas Baird
The Australian Financial Review – Page: 13 : 21-Sep-22

Fortescue Metals Group has outlined an ambitious plan to decarbonise its operations by 2030. Executive chairman Andrew Forrest has advised that Fortescue will invest some $US6.2bn ($9.2bn) between 2024 and 2028 on converting its operations from fossil fuels to renewable energy. He has indicated that annual spending over this period will not exceed 10 per cent of the earnings generated by Fortescue’s flagship iron ore business in any given year. Fortescue expects the investment to generate net operating cost savings of $US818m annually from 2030. The company aims to be carbon-neutral by 2030.

CORPORATES
FORTESCUE METALS GROUP LIMITED – ASX FMG

Crisis as bank branches closed

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Original article by Joyce Moullakis
The Australian – Page: 15 : 21-Sep-22

The Finance Sector Union has urged the federal government to hold an inquiry into the impact of bank branch closures on customers and communities. The FSU’s national secretary Julia Angrisano says the union has been particularly concerned about the closure of branches in regional areas. BankWest has advised that it will close 14 branches in NSW, Queensland, Victoria and South Australia, while 29 branches in regional areas in Western Australia will have reduced trading hours. Angrisano has accused BankWest’s parent the Commonwealth Bank of putting "profits before people".

CORPORATES
FINANCE SECTOR UNION, BANKWEST, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA

Unprofitable firms worth $60b on ASX

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Original article by Vesna Poljak
The Australian Financial Review – Page: 23 : 21-Sep-22

Research from MST Marquee shows that 50 companies in the S&P/ASX 300 are unprofitable, up from 48 prior to the index’s latest quarterly rebalance. Hasan Tevfik of MST notes that investors continue to back unprofitable companies despite their poor performance, noting that these companies have a combined market capitalisation of about $60bn. He says the continued support for profitless companies may be due to investors’ hopes that they will deliver strong returns, as they did in 2009 and the first year of the pandemic.

CORPORATES
MST MARQUEE, STANDARD AND POOR’S ASX 300 INDEX

Millions tune in to Queen’s farewell

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Original article by Sophie Elsworth
The Australian – Page: 9 : 21-Sep-22

Data from OzTAM shows that 3.897 million Australians watched the funeral of Queen Elizabeth II on free-to-air networks and Sky News Australia. The Seven Network’s coverage was watched by 975,000 viewers in metropolitan areas and 413,000 in regional areas, ahead of Nine with 879,000 viewers in capital cities and 223,000 in regional areas. Some 188,000 people watched the state funeral on Sky News. Meanwhile, the Ten Network relegated the funeral to a secondary channel, and just 185,000 people watched The Amazing Race Australia on its primary channel.

CORPORATES
OZTAM PTY LTD, SEVEN NETWORK LIMITED, NINE NETWORK AUSTRALIA LIMITED, TEN NETWORK HOLDINGS LIMITED, SKY NEWS AUSTRALIA

Mortgage stress is growing in 2022 and set to rise further as the RBA continues to increase interest rates

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Original article by Roy Morgan
Market Research Update – Page: Online : 21-Sep-22

New research from Roy Morgan shows that an estimated 854,000 mortgage holders (19.4%) were ‘At Risk’ of ‘mortgage stress’ in the three months to July 2022. This period encompassed the first three interest rate increases from the Reserve Bank. The good news is that the proportion of mortgage holders considered to be ‘At Risk’ of mortgage stress in mid-2022 is well below the high reached during the Global Financial Crisis in early 2009 of 35.6% (1,455,000 mortgage holders) and below the average of the last decade of 20.8% (904,000). Meanwhile, only 12.7% (542,000) of mortgage holders were considered to be ‘Extremely At Risk’ of mortgage stress in the three months to July 2022, below the average of the last decade of 13.9% (585,000 mortgage holders). These are the latest findings from Roy Morgan’s Single Source Survey, based on in-depth interviews conducted with over 60,000 Australians each year, including over 10,000 owner-occupied mortgage-holders.

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ROY MORGAN LIMITED

Inflation and soaring costs pose the biggest challenge to Australian farmers, ahead of weather conditions and labour shortages

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Original article by Roy Morgan
Market Research Update – Page: Online : 21-Sep-22

A special Roy Morgan Survey of Australian farmers shows that the biggest challenges currently facing them are inflation and rising costs, weather, staffing issues, economic uncertainty and biosecurity. Some 26% of Australian farmers identified inflation and costs among their biggest current challenges, while 19% mentioned the weather. There were notable differences across Australian States and Territories, with weather the number one issue in the flood-affected states of New South Wales and Queensland, and inflation and costs the number one issue elsewhere. Another important challenge is staffing issues, mentioned by 13% of farmers. Australia’s closed borders over the past two years have meant many of the young working holiday-makers from Europe, North America and elsewhere who often spend time working on farms as part of their visa requirements have not been able to enter the country until recently. The results of the Roy Morgan Farmer Agribusiness Survey are based on 1,230 interviews with Australian farmers aged 18+ conducted online during June and July 2022.

CORPORATES
ROY MORGAN LIMITED

ALP voters drive the increase in support for the Monarchy over the last decade

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Original article by Roy Morgan
Market Research Update – Page: Online : 20-Sep-22

A special Roy Morgan SMS Poll last week revealed that support for the Monarchy amongst Australians has grown over the last decade, with 60% (up 5% points since November 2012) now saying Australia should remain a Monarchy while only 40% (down 5% points) say Australia should become a Republic with an elected President. A look at these results by voting intention reveals what may be a surprise to some – it is those who vote for the ALP who have driven this increase in support for the Monarchy from a decade ago. Now a clear majority of ALP voters, 58% (up 18% points since November 2012) say that Australia should remain as a Monarchy – a far larger change than by either L-NP voters or Greens voters who appear far more set in their ways. L-NP voters are staunch supporters of the Monarchy, with 68% saying Australia should remain as a Monarchy, although this is down 3% points on November 2012. At the other end of the spectrum it is Greens supporters who are clearly in support of a Republic with only 34% saying that Australia should remain as a Monarchy, up 4% points in a decade. Supporters of Independents and Other Parties – an increasingly large share of the electorate – are also moving more firmly in favour of the Monarchy. Now 72% of these voters say Australia should remain as a Monarchy, an increase of 15% points on November 2012.

CORPORATES
ROY MORGAN LIMITED,{SPAC}MORGAN POLL,{SPAC}AUSTRALIAN LABOR PARTY,{SPAC}LIBERAL PARTY OF AUSTRALIA,{SPAC}NATIONAL PARTY OF AUSTRALIA,{SPAC}AUSTRALIAN GREENS

Facebook pulls out all stops to delay cryptocurrency scam case

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Original article by Nick Bonyhady
The Age – Page: Online : 20-Sep-22

Facebook owner Meta is the subject of separate legal action from mining billionaire Andrew Forrest and the Australian Competition & Consumer Commission over cryptocurrency scams. Forrest launched a private criminal case against Meta in February for allegedly failing to stop cryptocurrency investment scams that used his name and image, while the ACCC’s case against Meta allegeds it aided or abetted scammers by hosting their fake ads. Meta’s efforts to supress documents from the ACCC’s case against it have run into problems, but it has made a renewed attempt to delay proceedings in the Federal Court.

CORPORATES
META GROUP INCORPORATED,{SPAC}FACEBOOK AUSTRALIA PTY LTD,{SPAC}AUSTRALIAN COMPETITION AND CONSUMER COMMISSION,{SPAC}FEDERAL COURT OF AUSTRALIA

BHP’s monster dividend to lead a record week of returns

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Original article by Alex Gluyas
The Australian Financial Review – Page: 15 & 33 : 20-Sep-22

Australian investor will receive more than $18bn worth of dividend payments in coming days. Bell Potter strategist Richard Coppleson says BHP’s $12.5bn final dividend will be the biggest payout on record by an Australian-listed company. Rio Tinto’s local shareholders will in turn receive some $1.4bn worth of dividends. Telstra and Santos are among the other companies that will pay their dividends in coming days, while Fortescue Metals Group will pay $3.7bn worth of dividends next week. Listed companies will pay out a total of $33.5bn in dividends during September, and a further $9.6bn in October.

CORPORATES
BHP GROUP LIMITED – ASX BHP,{SPAC}BELL POTTER SECURITIES LIMITED,{SPAC}RIO TINTO LIMITED – ASX RIO,{SPAC}TELSTRA CORPORATION LIMITED – ASX TLS,{SPAC}SANTOS LIMITED – ASX STO,{SPAC}FORTESCUE METALS GROUP LIMITED – ASX FMG