CORPORATE PROFITS – AUSTRALIA

Coles rings up winning sales growth

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Original article by Eli Greenblat
The Australian – Page: 13 & 16 : 27-Aug-25

Grocery giant Coles Group has posted a 2024-25 net profit of $1.079bn, which is 3.5 per cent lower than previously. However, sales rose by 1.8 per cent to $44.49bn for the full year, with stronger growth in sales during the second half. The group’s flagship Coles Finest private label brand recorded sales growth of 13.9 per cent for the financial year, well above growth in sales for branded products. CEO Leah Weckert notes that sales revenue rose by 4.9 per cent in the first eight weeks of the current financial year. Meanwhile, Coles’ liquor division has posted full-year earnings of $113m, which is 15 per cent lower than previously.

CORPORATES
COLES GROUP LIMITED – ASX COL

BHP cuts spending, warns of job losses to weather slide in earnings

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Original article by Peter Ker
The Australian Financial Review – Page: 16 : 20-Aug-25

BHP has posted a 2024-25 underlying net profit of $US10.15bn ($15.63bn), which is 26 per cent lower than previously and slightly below analysts’ expectations. The result was marred by lower prices for iron ore and coal, although this was partially offset by a higher copper price. Meanwhile, BHP has advised that it will reduce capital expenditure by $US3bn between 2028 and 2030; a decision on the proposed expansion of its Olympic Dam copper mine in South Australia will also be pushed back to 2028. CEO Mike Henry has flagged the potential for job cuts, particularly at its Queensland coal mines due to the impact of lower prices and the state government’s royalties regime.

CORPORATES
BHP GROUP LIMITED – ASX BHP

Seven’s profit slumps but digital offers hope

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Original article by James Madden
The Australian – Page: 17 : 13-Aug-25

Seven West Media has reported a 2024-25 statutory profit of just $17m, which is 63 per cent lower than previously. Revenue was five per cent lower at $1.4bn and underlyimg earnings were down 15 per cent to $159m, although CEO Jeff Howard notes that underlying earnings rose by six per cent in the second half. Meanwhile, the group’s 7plus digital platform recorded 26 per cent growth in revenue during 2024-25. Howard says 7plus is close to offsetting the revenue decline in Seven’s traditional broadcast TV business; he adds that although viewers will continue to switch to streaming, Seven remains committed to broadcast TV.

CORPORATES
SEVEN WEST MEDIA LIMITED – ASX SWM

Nine flags cuts amid advertising downturn

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Original article by James Madden
The Australian – Page: 15 & 23 : 26-Feb-25

Nine Entertainment Company has posted a 2024-25 interim net profit of $95.1m, which is 29 per cent lower than previously. EBITDA fell by 15 per cent to $268m, and revenue was steady at $1.39bn. The media group has advised that it will seek to generate cost savings of $100m across its operations over the next two years, and interim CEO Matt Stanton has indicated that the restructuring will involve some job cuts. Stanton also stated that the Domain property listings business is a key part of Nine’s growth strategy, in the wake of a $2.6bn bid for Domain from US-based CoStar Group.

CORPORATES
NINE ENTERTAINMENT COMPANY HOLDINGS LIMITED – ASX NEC, DOMAIN HOLDINGS AUSTRALIA LIMITED – ASX DHA, COSTAR GROUP INCORPORATED

Internet price war rattles Aussie’s cheap challenger

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Original article by Jenny Wiggins
The Australian Financial Review – Page: 17 : 25-Feb-25

Aussie Broadband has posted a 2024-25 interim net profit of $12.2m, which is 24 per cent higher than previously. The result was boosted by factors such as the sale of its stake in Superloop following a failed takeover bid. The company recorded 12.5 per cent growth in broadband connections during the half-year, to more than 727,000 in total. Brian Maher, who will become CEO on 1 March, concedes that the take-up rate for the company’s new low-cost Buddy Telco brand has been below expectations, with a total of 6,484 customers at the end of 2024; Buddy has added 2,131 new customers so far in 2025.

CORPORATES
AUSSIE BROADBAND LIMITED – ASX ABB, BUDDY TELCO PTY LTD, SUPERLOOP LIMITED – ASX SLC

BHP dividend slumps to eight-year

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Original article by Peter Ker
The Australian Financial Review – Page: 14 : 19-Feb-25

BHP has posted a 2024-25 underlying interim profit of US5.08bn ($7.98bn), which is 23 per cent lower than previously. Lower commodity prices weighed on the half-year result, while shareholders will receive an interim dividend of $US0.50 per share; this is BHP’s lowest half-year dividend payout since 2017. Meanwhile, CEO Mike Henry says the resources giant will focus on organic growth projects within its existing portfolio, rather than pursuing acquisitions. He notes that it is increasingly challenging to undertake large global mergers and acquisitions for shareholder value in the current market, which may rule out another bid for Anglo American. BHP is also reducing its reliance on iron ore by increasing its investment in commodities such as copper and potash.

CORPORATES
BHP GROUP LIMITED – ASX BHP, ANGLO AMERICAN PLC

Tough advertising market smashes Seven West Media’s earnings

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Original article by James Manning
The Australian – Page: 20 : 12-Feb-25

Seven West Media has posted a net profit of just $17.7m for the first half of 2024-25, which is 68 per cent lower than previously. Revenue was down 6.2 per cent at $727.3m and EBITA fell 26 per cent to $92m. Seven has noted that rival Nine Entertainment benefited from its coverage of the Paris Olympic Games during the half-year; Seven’s own financial results for the previous corresponding period had also been boosted by its coverage of the 2023 FIFA Women’s World Cup. Meanwhile, Seven’s share of the advertising market rose by 0.5 per cent during the half-year, to 41.5 per cent; its advertising share was 43.8 per cent in the December quarter.

CORPORATES
SEVEN WEST MEDIA LIMITED – ASX SWM, SEVEN NETWORK LIMITED, NINE ENTERTAINMENT COMPANY HOLDINGS LIMITED – ASX NEC

Mining profits suffer a $4.6bn hit

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Original article by Jack Quail
The Australian – Page: 4 : 3-Dec-24

Data from the Australian Bureau of Statistics shows that profits in the nation’s resources sector fell by 8.8 per cent to $47.4bn in the September quarter. The $4.6bn downturn was driven by a decline in iron ore and coal exports, which will weigh on the federal government’s revenue and the budget bottom line. The figures also show that non-mining profits fell by 1.7 per cent to $74.1bn during the quarter, and by 2.8 per cent in the year to September. Meanwhile, GDP data to be released on Wednesday is expected to show that the economy grew by 0.5 per cent in the September quarter and 1.1 per cent year-on-year.

CORPORATES
AUSTRALIAN BUREAU OF STATISTICS

China iron ore demand sliding: BHP

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Original article by Cameron England
The Australian – Page: 13 & 16 : 28-Aug-24

BHP has posted a 2023-24 statutory net profit of $US7.9bn, which is 39 per cent lower than previously. The result was marred by a $US2.7bn write down of its nickel assets in Western Australia and a $US3.8bn charge related to the Samarco tailings dam collapse in Brazil. BHP’s underlying profit was up two per cent to $US13.7bn, and revenue was three per cent higher at $US55.7bn. CEO Mike Henry says China’s steel production is expected to plateau in coming years, reducing demand for iron ore. Meanwhile, BHP has warned that labour costs will rise due to the federal government’s ‘same job, same pay’ industrial relations reforms, reducing Australia’s international competitiveness.

CORPORATES
BHP GROUP LIMITED – ASX BHP

Pilbara tips more lithium pressure

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Original article by Cameron England
The Australian – Page: 13 & 16 : 27-Aug-24

Pilbara Minerals has posted a 2023-24 underlying net profit of $318m, which is 86 per cent lower than previously; revenue fell by 69 per cent to $1.25bn. The company received an average realised price of $US1,176 per tonne for its spodumene concentrate, which is 74 per cent lower than the previous financial year. UBS is bearish about the outlook for lithium, forecasting that spodumene concentrate will average about $US770 a tonne over the next 12-18 months. Pilbara Minerals MD Dale Henderson says the company is well-placed to ride out the current downturn in the lithium price, contending that rivals with high-cost operations will be the most vulnerable.

CORPORATES
PILBARA MINERALS LIMITED – ASX PLS, UBS HOLDINGS PTY LTD