COMPANY RESULTS – AUSTRALIA

Qantas lifts off year with strong July figures

roymorgansocial Leave a comment

Original article by Jamie Freed
The Australian Financial Review – Page: 15 : 2-Sep-15

Qantas Airways told analysts on 1 September 2015 that debt levels were low enough so there was no need to lower them. Analysts were impressed by the figures provided by the company. Qantas International increased its capacity by 2.7 per cent and yet it managed to increase the proportion of seats filled by two percentage points to 85.4 per cent.

CORPORATES
QANTAS AIRWAYS LIMITED – ASX QAN, JETSTAR AIRLINES PTY LTD, CITI AUSTRALIA PTY LTD, UBS HOLDINGS PTY LTD, BALANCED EQUITY MANAGEMENT PTY LTD

Myer to spend $600m going after David Jones

roymorgansocial Leave a comment

Original article by Sue Mitchell
The Australian Financial Review – Page: 1 : 2-Sep-15

Myer has reported a fall of 21.3 per cent in underlying net profit to $A77.5 million in 2014-15. Net profit declined 70 per cent to $A29.8 million. Total sales increased 1.7 per cent to $A3.19 billion. Myer CEO Richard Umbers said on 1 September 2015 that the company would reorient its business model towards wealthy customers. Myer plans to invest $A600 million in new products and services.

CORPORATES
MYER HOLDINGS LIMITED – ASX MYR, WOOLWORTHS HOLDINGS LIMITED, DAVID JONES LIMITED, TOPSHOP, AUSTRALIA POST, PLATYPUS ASSET MANAGEMENT PTY LTD, PERPETUAL INVESTMENTS

BHP’s Mackenzie says China has ‘bottomed’

roymorgansocial Leave a comment

Original article by James Chessell, Amanda Saunders
The Australian Financial Review – Page: 17 : 27-Aug-15

BHP Billiton CEO Andrew Mackenzie has played down fears about China’s economy, claiming it was showing signs of recovery. He agreed with Apple CEO Tim Cook that there was still solid demand in China. Mackenzie forecast its second half financial year would be better than the first. BHP posted a 51 per cent fall in underlying annual profit to $US6.4 billion ($A8.9 billion) because of a slump in commodity prices.

CORPORATES
BHP BILLITON LIMITED – ASX BHP, APPLE INCORPORATED, GLENCORE AUSTRALIA PTY LTD

Blackmores gives six weeks’ pay to staff as share of profit bonanza

roymorgansocial Leave a comment

Original article by Simon Evans
The Australian Financial Review – Page: 8 : 26-Aug-15

Blackmores has reported a rise of 83 per cent in net profit after tax to $A46.6 million for 2014-15. Total sales increased 36 per cent to $A471.6 million. Commenting on the results, Blackmores CEO Christine Holgate said on 25 August 2015 that staff will receive an extra six weeks’ pay as part of a profit-sharing scheme. The final dividend was raised by 63 per cent to $A1.35 a share.

CORPORATES
BLACKMORES LIMITED – ASX BKL, BIOCEUTICALS PTY LTD, VITACO HEALTH LIMITED, GOLDMAN SACHS AUSTRALIA PTY LTD, ASX LIMITED – ASX ASX, NUTRA-LIFE HEALTH AND FITNESS AUSTRALIA PTY LTD, HEALTHERIES OF NEW ZEALAND LIMITED, MUSASHI PTY LTD

Fortescue slumps but talks up asset values

roymorgansocial Leave a comment

Original article by Amanda Saunders
The Australian Financial Review – Page: 15 : 25-Aug-15

Fortescue CFO Stephen Pearce says the company’s "world class" mining and port and rail assets in the Pilbara region of Western Australia are worth more than the $A20 billion it cost to develop them. Fortescue CEO Nev Porter put the 14.6 per cent fall in Fortescue’s share price down to a "flighty" market. UBS calculates the net valuation of the assets at $A12 billion.

CORPORATES
FORTESCUE METALS GROUP LIMITED – ASX FMG, UBS HOLDINGS PTY LTD, CITIGROUP PTY LTD, HEBEL, TEWOO GROUP

BHP tipped to cut spending as rout bites

roymorgansocial Leave a comment

Original article by Amanda Saunders
The Australian Financial Review – Page: 13 : 24-Aug-15

BHP Billiton will unveil its annual results on 25 August 2015. The company is expected to announce weaker revenue and profit because of depressed commodity prices. Its cost-cutting target is likely to be raised, from the current level of $US4 billion ($A5.4 billion) by 2017. BHP may experience difficulties with adhering to its policy of increasing or at least maintaining its dividend in US dollar terms.

CORPORATES
SOUTH32 LIMITED – ASX S32, FORTESCUE METALS GROUP LIMITED – ASX FMG, OIL SEARCH LIMITED – ASX OSH, DEUTSCHE BANK AG, WORLEYPARSONS LIMITED – ASX WOR, PALADIN ENERGY LIMITED – ASX PDN, UBS HOLDINGS PTY LTD, BHP BILLITON LIMITED – ASX BHP

Qantas’ great recovery due to cost falls

roymorgansocial Leave a comment

Original article by Michael Smith
The Australian Financial Review – Page: 28 : 21-Aug-15

The key to the turnaround in the fortunes of Qantas is due largely to external factors, including lower fuel prices and the removal of the carbon tax, as well as heavy cost-cutting. CEO Alan Joyce’s next challenge is finding operational growth, though the decision to order eight new Boeing Dreamliners was an important symbolic gesture signifying confidence in the future.

CORPORATES
QANTAS AIRWAYS LIMITED – ASX QAN, JETSTAR AIRLINES PTY LTD, BOEING COMPANY, ASX LIMITED – ASX ASX, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ

Coalition thinks corporate tax disclosure about right

roymorgansocial Leave a comment

Original article by Neil Chenoweth
The Australian Financial Review – Page: 11 : 20-Aug-15

The interim report of the Senate inquiry into corporate tax avoidance demonstrates philosophical differences between the Australian Government and the opposition parties. The Australian Labor Party and Australian Greens want more transparency, while the government thinks current disclosure rules are about right. The two government members of the committee, which is headed by Labor’s Sam Dastyari, believe a voluntary disclosure code strikes a balance between the need for transparency and the privacy and competitiveness concerns of business.

CORPORATES
AUSTRALIA. SENATE STANDING COMMITTEE ON ECONOMICS, AUSTRALIAN LABOR PARTY, AUSTRALIAN TAXATION OFFICE, AUSTRALIAN GREENS, ORGANISATION FOR ECONOMIC CO-OPERATION AND DEVELOPMENT, AUSTRALIA. DEPT OF THE TREASURY, RIO TINTO LIMITED – ASX RIO, AUSTRALIAN SECURITIES AND INVESTMENTS COMMISSION, FAIRFAX MEDIA LIMITED – ASX FXJ, NEWS CORPORATION – ASX NWS, AUSTRALIA. BOARD OF TAXATION

Woodside aims to pounce on ‘crown jewels’

roymorgansocial Leave a comment

Original article by Angela Macdonald-Smith
The Australian Financial Review – Page: 17 : 20-Aug-15

Low commodity prices may eventually force stressed companies to put their "crown jewels" on the market, at which time Woodside Petroleum will be ready to pounce, says CEO Peter Coleman. Meanwhile, he will not risk precious cash on lower quality assets. Despite reporting a 39 per cent drop in first half profits due to the collapse in oil and LNG prices, Woodside has little debt, making it well placed to take advantage of takeover opportunities.

CORPORATES
WOODSIDE PETROLEUM LIMITED – ASX WPL, BT AUSTRALIA PTY LTD, MACQUARIE EQUITIES LIMITED, APACHE CORPORATION, CHEVRON CORPORATION

QBE also anti-intervention while dividend higher, profit up 24pc

roymorgansocial Leave a comment

Original article by Ruth Liew
The Australian Financial Review – Page: 19 : 19-Aug-15

QBE Insurance Group has reported a 24 per cent rise in its first-half net profit to $US488 million ($A661 million). The group will raise its dividend payout ratio from the current level of 50 per cent of annual cash profits to 65 per cent in 2016. Announcing the results on 18 August 2015, QBE CEO John Neal spoke against the idea of government interference in Northern Australia’s insurance market. Exposure to a high risk of natural disasters in the region makes insurance cover expensive to residents.

CORPORATES
QBE INSURANCE GROUP LIMITED – ASX QBE, SUNCORP GROUP LIMITED – ASX SUN, INSURANCE AUSTRALIA GROUP LIMITED – ASX IAG, NATIONAL GENERAL HOLDINGS CORPORATION, NIKKO ASSET MANAGEMENT GROUP, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA