Author: roymorgansocial

Call for ABC to go back to basics

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Original article by Nick Tabakoff, Andrew White
The Australian – Page: 24 & 26 : 18-Feb-19

The process for recruiting a successor to the ABC’s former MD Michelle Guthrie has begun, with newspaper advertisements stating that the successful candidate will need to be a ‘strong collaborative leader’. Contenders for the role are said to include acting MD David Anderson, the ABC’s head of news Gaven Morris, former Foxtel CEO Kim Williams and former SBS MD Michael Ebeid. A former ABC executive says Anderson would be regarded as a safe choice as he has been at the public broadcaster for a long time and is highly respected within the ABC.

CORPORATES
AUSTRALIAN BROADCASTING CORPORATION, FOXTEL MANAGEMENT PTY LTD, SPECIAL BROADCASTING SERVICE (SBS), NEWS LIMITED

Investors win from BHP, Rio cash surge

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Original article by James Thomson
The Australian Financial Review – Page: 40 : 18-Feb-19

BHP returned $US10.5bn to investors in 2018, while Rio Tinto returned some $US12.5bn. Both resources groups are expected to have large cash balances when their latest financial results are released in the next week or so, and the recent rally in the iron ore price will further boost their cash holdings during 2019. James Eginton of the Tribeca Natural Resource Fund says BHP and Rio Tinto should consider using some of their franking credits via special dividends in the next six months, in preparation for a possible change of federal government.

CORPORATES
BHP GROUP LIMITED – ASX BHP, RIO TINTO LIMITED – ASX RIO, TRIBECA NATURAL RESOURCES FUND, FORTESCUE METALS GROUP LIMITED – ASX FMG, CITIGROUP PTY LTD, UBS HOLDINGS PTY LTD, VALE SA, AUSTRALIAN LABOR PARTY

Inflation Expectations unchanged at 4.2% in January

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Original article by Roy Morgan
Market Research Update – Page: Online : 18-Feb-19

Australians aged +14 expect inflation of 4.2% per year over the next two years, according to the Roy Morgan Inflation Expectations Index for January 2019. This is unchanged on December and down 0.3% on January 2018. Inflation Expectations have now tracked in a narrow range of between 4.2-4.5% since November 2016. Inflation Expectations remain significantly below the eight-year average of 5.0%. Analysis of Inflation Expectations by voting intentions shows that L-NP supporters again had the lowest Inflation Expectations of supporters of any party in January, unchanged at only 3.6%. L-NP supporters have had the lowest Inflation Expectations of any supporters since April 2018. Inflation Expectations for ALP supporters fell 0.1% to a record low of 3.9%. January Inflation Expectations are based on a nationwide face-to-face survey of 4,111 Australians aged 14+.

CORPORATES
ROY MORGAN LIMITED, LIBERAL PARTY OF AUSTRALIA, NATIONAL PARTY OF AUSTRALIA, AUSTRALIAN LABOR PARTY

Chinese cuisine most popular, but Aussies still love McDonald’s

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Original article by Roy Morgan
Market Research Update – Page: Online : 18-Feb-19

A Roy Morgan Single Source survey shows that more than 14.2 million Australians aged 14+ like to eat Chinese cuisine, up from 13.5 million four years ago. This is followed by Italian, Thai, Indian, Mexican, Japanese, Greek, Middle Eastern, Lebanese and French cuisine. The growth in preference for Chinese cuisine has kept pace with population growth, while all other top 10 leading cuisines are today liked by a greater proportion of Australians than they were four years ago. The biggest improvers over the last four years are led by Japanese cuisine, which more than 8.5 million Australians (42%) now like to eat, up from 6.9 million (36%) four years ago. Meanwhile, 58% of Australians (11.9 million) report visiting a quick service restaurant in an average four weeks, up from 57% (10.9 million) four years ago. The two most popular quick service restaurants are McDonald’s which is visited by over 6.4 million Australians (32%) in an average four-week period, and KFC now visited by nearly 4.7 million Australians (23%) in an average four weeks. The Single Source survey is based on in-depth personal interviews conducted with over 50,000 Australians each year in their own homes.

CORPORATES
ROY MORGAN LIMITED, McDONALD’S AUSTRALIA LIMITED, KFC

Roy Morgan predicts Christmas sales within 0.1% – again

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Original article by Roy Morgan
Market Research Update – Page: Online : 18-Feb-19

Roy Morgan’s 2018 retail sales forecast, undertaken in conjunction with the Australian Retailers Association (ARA), predicted total retail sales growth of 2.9% to $51.479 billion for the most important retailing period of the year from 9 November to Christmas Eve. This is just 0.1% higher than the 2.8% growth achieved. The accuracy for 2018 matches the accuracy of a year ago, when Roy Morgan’s pre-Christmas sales forecasts were also within 0.1% of the actual retail sales for the period. There was growth across five of the six categories measured in the pre-Christmas period in 2018, with spending on Food growing the fastest, up 4% to $20.979 billion. Also growing impressively was the Clothing, Footwear & Accessories category, which grew 3.8% to $4.056 billion, while Other Retailing grew by 3.5% to $7.375 billion. All three of these categories grew at a slightly greater rate than Roy Morgan’s pre-Christmas forecasts. The Roy Morgan-ARA Christmas sales forecasts are based on data taken from the ABS Retail Trade Catalogue 8501.0. Note that online sales through Australian retail stores are included in the retail figures. Sales forecasts are determined by historical retail trade data from the ABS, Roy Morgan’s Consumer Confidence and unemployment data, and various other data relating to macro-economic conditions.

CORPORATES
ROY MORGAN LIMITED, AUSTRALIAN RETAILERS ASSOCIATION, AUSTRALIAN BUREAU OF STATISTICS

Nearly 1.5 million gas customers and over 2 million electricity customers likely to switch providers

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Original article by Roy Morgan
Market Research Update – Page: Online : 18-Feb-19

A Roy Morgan Single Source survey shows that 1.46 million Australians aged +14 who are gas customers say that they will be very or fairly likely to switch providers over the next 12 months. This represents 9.9% of those with gas connected, and is a marginal increase from 9.7% 12 months ago. Some 2.07 million electricity customers (or 10.2%) say they are likely to switch, up from 10.1% a year ago. Only 1.7% of Aurora Energy’s electricity customers say that they would be likely to switch, placing it well below the industry average of 10.2%. Other strong performers that are well below the average are Ergon Energy (2.7%), ActewAGL (3.2%) and Synergy (5.7%). ActewAGL has the lowest proportion of gas customers who are likely to switch, with only 5.1%, well below the market average of 9.9%. They are followed by Elgas (7.6%) and Kleenheat (7.7%). The Single Source survey is based on in-depth personal interviews conducted face-to-face with over 50,000 Australians per annum in their own homes, including over 9,500 gas consumers and over 14,500 with electricity.

CORPORATES
ROY MORGAN LIMITED, AURORA ENERGY PTY LTD, ERGON ENERGY CORPORATION LIMITED, ACTEWAGL, SYNERGY, ELGAS LIMITED, KLEENHEAT GAS PTY LTD

Bird derails Adani’s mine

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Original article by Jared Owens
The Australian – Page: 1 & 2 : 15-Feb-19

Professor Brendan Wintle has claimed in a draft report that Adani’s measures for protecting the endangered black-throated finch at its proposed Carmichael coal mine in Queensland are inadequate. Wintle’s review of Adani’s measures to protect the finch was commissioned only recently by the State Government, and it was announced not long after Adani advised that it had finally secured funding for the project. Adani’s management plan for the finch was developed in close consultation with the Queensland Department of the Environment, and it has been endorsed by federal environment officials.

CORPORATES
ADANI MINING PTY LTD, QUEENSLAND. DEPT OF ENVIRONMENT AND HERITAGE PROTECTION, AUSTRALIAN LABOR PARTY, UNIVERSITY OF MELBOURNE, MINERALS COUNCIL OF AUSTRALIA

I’ll prove the royal commission wrong, Henry vows

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Original article by John Durie
The Australian – Page: 17 & 21 : 15-Feb-19

National Australia Bank is to follow the lead of Suncorp and set up a board committee that focuses on customers. NAB chairman Ken Henry says he did not intend to appear arrogant when he gave evidence at the royal commission. Henry says he feels that NAB is on the right path to restoring its tainted reputation, and that he intends to prove commissioner Kenneth Hayne wrong. Henry will step down when a replacement for CEO Andrew Thorburn is appointed.

CORPORATES
NATIONAL AUSTRALIA BANK LIMITED – ASX NAB, SUNCORP GROUP LIMITED – ASX SUN, AUSTRALIA. ROYAL COMMISSION INTO MISCONDUCT IN THE BANKING, SUPERANNUATION AND FINANCIAL SERVICES INDUSTRY

HSBC warns of dollar drop to US66c amid challenges

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Original article by Sarah Turner
The Australian Financial Review – Page: 31 : 15-Feb-19

The Australian dollar is currently trading at around $US0.70, but HSBC says the latest economic data means it is unlikely to rise above this level. HSBC is particularly bearish about the outlook for the dollar, forecasting that it will test the $US0.66 level by the end of 2019. The Commonwealth Bank in turn has scaled back its year-end forecast for the currency from $US0.75 to $US0.72, citing factors such as the outlook for both global growth and the Australian economy.

CORPORATES
HSBC AUSTRALIA HOLDINGS PTY LTD, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, RESERVE BANK OF AUSTRALIA

Bigger isn’t better says CEO as Newcrest doubles its profit

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Original article by Paul Garvey
The Australian – Page: 20 : 15-Feb-19

Newcrest Mining has posted a 2018-19 interim net profit of $US237m ($334m), compared with $US98m previously. CEO Sandeep Biswas says the gold miner is well-placed to capitalise on any acquisition opportunities, but stresses that a deal would have to add value for shareholders. Biswas adds that mining companies should not pursue mergers and acquisitions simply to become larger unless the deal will add value. Newcrest shareholders will receive an interim dividend of $US0.075 per share.

CORPORATES
NEWCREST MINING LIMITED – ASX NCM, NEWMONT MINING CORPORATION, GOLDCORP INCORPORATED, BARRICK GOLD CORPORATION, RANDGOLD RESOURCES LIMITED, LUNDIN MINING CORPORATION, SOLGOLD PLC