COMPANY RESULTS – AUSTRALIA

Seven earnings to fall up to 20pc

roymorgansocial Leave a comment

Original article by Max Mason
The Australian Financial Review – Page: 29 : 10-Nov-16

Seven West Media chairman Kerry Stokes says broadcasting licence fees and government subsidies for TV production are more important issues than proposed reforms to cross-media ownership laws. Meanwhile, the 2016 AGM has been told that Seven’s underlying EBIT for 2016-17 could be up to 20 per cent lower than previously, as the advertising market remains subdued. Macquarie Group expects a two per cent decline in the TV advertising market in 2016-17.

CORPORATES
SEVEN WEST MEDIA LIMITED – ASX SWM, MACQUARIE GROUP LIMITED – ASX MQG, AUSTRALIAN FOOTBALL LEAGUE

Banks stare at low growth as pressures rise

roymorgansocial Leave a comment

Original article by James Eyers
The Australian Financial Review – Page: 15 & 19 : 9-Nov-16

The combined cash earnings of Australia’s four major banks fell by 2.5 per cent in 2015-6, to $A29.6bn. They recorded net interest income growth of 5.5 per cent, to $A60.3bn, but non-interest income was down 3.1 per cent at $A23.5bn. Michael Rowland of KPMG says the banks are facing a number of headwinds, including the prospect of lower growth in revenue and return on equity, growing competition and an increase in regulatory costs.

CORPORATES
KPMG AUSTRALIA PTY LTD, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, NATIONAL AUSTRALIA BANK LIMITED – ASX NAB, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ, WESTPAC BANKING CORPORATION – ASX WBC, PM CAPITAL LIMITED, ERNST AND YOUNG

ANZ shrinks to reduce rising risks

roymorgansocial Leave a comment

Original article by James Eyers
The Australian Financial Review – Page: 1 : 4-Nov-16

The ANZ Bank has announced a fall of 18 per cent in cash profit to $A5.9 billion for 2015-16. Return on equity fell to 12.2 per cent, from 13.8 per cent a year ago. The cost to income ratio for the year declined to 44.8 per cent. ANZ CEO Shayne Elliott said the bank reduced its workforce by 3,600 jobs over the year to 30 September 2016. The stock rose 0.6 per cent to $A27.35 on 3 November 2016.

CORPORATES
AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ

Woodside plays down $US5 billion Wheatstone cost blowout

roymorgansocial Leave a comment

Original article by Angela Macdonald-Smith
The Australian Financial Review – Page: 13 : 1-Nov-16

Woodside Petroleum has advised that a 17 per cent increase in the cost of the Wheatstone LNG project will have limited effect on the capital expenditure guidance it issued in early 2016. The oil and gas producer has a 13 per cent stake in the Chevron-led project, whose total cost has risen by $US5bn ($A6.6bn) to $US34bn. Saul Kavonic of Wood Mackenzie says he had already anticipated a cost over-run of at least 15 per cent.

CORPORATES
WOODSIDE PETROLEUM LIMITED – ASX WPL, CHEVRON CORPORATION, WOOD MACKENZIE, RBC CAPITAL MARKETS

Record LNG output limits Woodside pain

roymorgansocial Leave a comment

Original article by Angela Macdonald-Smith
The Australian Financial Review – Page: 24 : 21-Oct-16

Oil and gas producer Woodside Petroleum has reported that it produced 25.2 million barrels of oil equivalent during the September 2016 quarter, which is 13.5 per cent higher than the June quarter. Sales revenue rose by 19.8 per cent to $US988m ($A1.29bn), although this was nine per cent lower year-on-year. Woodside has lifted its full-year production guidance for 2016 to between 92 million and 95 million boe.

CORPORATES
WOODSIDE PETROLEUM LIMITED – ASX WPL, JP MORGAN AUSTRALIA LIMITED, CHEVRON CORPORATION

FMG boosts exports as big iron falls short

roymorgansocial Leave a comment

Original article by Tess Ingram, Peter Ker
The Australian Financial Review – Page: 19 & 24 : 21-Oct-16

Fortescue Metals Group has reported that its iron ore shipments totalled 43.8 million tonnes during the September 2016 quarter. CEO Nev Power says the group ramped up production ahead of the cyclone season, but adds that it is maintaining its full-year guidance of between 165 million and 170 million tonnes. Fortescue reduced its "C1" costs by five per cent during the quarter, to $US13.55 per tonne. The group aims to reduce this to between $US12 and $US13 during 2016-17.

CORPORATES
FORTESCUE METALS GROUP LIMITED – ASX FMG, RIO TINTO LIMITED – ASX RIO, VALE SA, GRANGE RESOURCES LIMITED – ASX GRR, SHAW AND PARTNERS LIMITED, JP MORGAN AUSTRALIA LIMITED, CITIGROUP PTY LTD, MORGANS FINANCIAL LIMITED

Ten shares take hit on full-year loss

roymorgansocial Leave a comment

Original article by Max Mason
The Australian Financial Review – Page: 21 : 21-Oct-16

Ten Network has posted a 2015-16 loss of $A156.8m, compared with a $A312.2m loss previously. The latest result was primarily due to a $A135.2m write-down in the value of its TV licence. Ten’s revenue of $A689.5m was 5.4 per cent higher than previously. CEO Paul Anderson argues that subscription video-on-demand providers should be subject to the same rules as traditional broadcasters, noting that the latter make a significant contribution to the economy.

CORPORATES
TEN NETWORK HOLDINGS LIMITED – ASX TEN, FOXTEL MANAGEMENT PTY LTD, MULTI CHANNEL NETWORK PTY LTD

BHP flags end of slump

roymorgansocial Leave a comment

Original article by Matt Chambers
The Australian – Page: 21 : 20-Oct-16

BHP Billiton’s production report for the September 2016 quarter shows that copper and oil output fell during the period, while there was a modest rise in metallurgical coal output and iron ore production was steady. Meanwhile, CEO Andrew Mackenzie noted that there are indications that commodity markets are starting to rebalance. Fortescue Metals Group chairman Andrew Forrest recently suggested that the market has bottomed.

CORPORATES
BHP BILLITON LIMITED – ASX BHP, FORTESCUE METALS GROUP LIMITED – ASX FMG, CITIGROUP PTY LTD, RIO TINTO LIMITED – ASX RIO

In private, Top 500 a blast from the past

roymorgansocial Leave a comment

Original article by Phil Ruthven
The Australian Financial Review – Page: 42 : 1-Sep-16

IBISWorld has compiled a list of Australia’s 500 largest private companies by revenue. The five biggest groups in this category are: Co-operative Bulk Handling with revenue of $A3,828 billion in 2015-16; 7-Eleven Stores ($A3,823 billion); BGC ($A2,973 billion); Teys Australia – a Cargill Joint Venture ($A2,914 billion) and Meriton Apartments ($A2,900 billion).

CORPORATES
IBISWORLD PTY LTD, CO-OPERATIVE BULK HANDLING LIMITED, BGC, 7-ELEVEN STORES PTY LTD, TEYS AUSTRALIA PTY LTD, MERITON APARTMENTS PTY LTD, VISY INDUSTRIES AUSTRALIA PTY LTD, TERRY WHITE GROUP LIMITED, SUTTONS MOTORS PTY LTD, GOOD GUYS, JB HI-FI LIMITED – ASX JBH, QUEST APARTMENTS PTY LTD, ANYTIME AUSTRALIA PTY LTD, ASI SOLUTIONS PTY LTD

Estia founder Arvanitins resigns and sells stake

roymorgansocial Leave a comment

Original article by Matthew Cranston
The Australian Financial Review – Page: 31 : 1-Sep-16

Estia Health’s poor financial results have made investors nervous. The resignation of founder of the Australian-listed aged care operator and developer, Peter Arvanitis, is likely to deepen the crisis in the company. Arvanitis also sold his 17.74 million shares at a price of $A3.15 a share for $A55 million in total.

CORPORATES
ESTIA HEALTH LIMITED – ASX EHE, BANK OF AMERICA MERRILL LYNCH, PERPETUAL LIMITED – ASX PPT, KENNEDY AGED CARE, VGI PARTNERS PTY LTD, SLATER AND GORDON LIMITED – ASX SGH, WATERMARK CAPITAL PTY LTD, TOTUS CAPITAL PTY LTD, AUSTRALIA. DEPT OF HEALTH, MORGAN STANLEY AUSTRALIA LIMITED, QUADRANT CAPITAL PTY LTD, MERCURY CAPITAL PTY LTD