Harvey repays JobKeeper

Original article by Eli Greenblat
The Australian – Page: 15 : 1-Sep-21

Consumer electronics and furniture retailer Harvey Norman has posted a 2020-21 net profit of $841.41m, which is 75.1 per cent higher than previously. Revenue rose by 14.9 per cent to $9.721bn, while its Australian sales were up 12.8 per cent at $6.95bn. Harvey Norman’s stores in seven overseas markets recorded profit growth of 58.3 per cent, to $240.79m. Meanwhile, chairman Gerry Harvey has advised that the group will repay some $6.02m worth of taxpayer support that it received via the JobKeeper wage subsidy scheme. Harvey Norman received about $22m worth of JobKeeper payments in total.

CORPORATES
HARVEY NORMAN HOLDINGS LIMITED – ASX HVN

Investors rewarded with bumper dividends, buybacks

Original article by John Collett
Brisbane Times – Page: Online : 1-Sep-21

CommSec’s chief economist Craig James is cautious about the outlook for the Australian sharemarket in the wake of the August reporting season. He notes that the recent strong performance of many listed companies has already been priced into sharemarket valuations. Capital management was a key feature of the reporting season, with listed companies announcing some $20bn worth of share buybacks, while investors will receive more than $34bn worth of dividend payments. Peter Warnes of Morningstar says investors should expect lower dividend payouts in 2022.

CORPORATES
COMMONWEALTH SECURITIES LIMITED, MORNINGSTAR PTY LTD

Lockdowns need an exit plan: Ampol

Original article by Perry Williams
The Australian – Page: 15 & 18 : 24-Aug-21

Fuel retailer Ampol has reported a 2021 interim net profit on a replacement cost basis of $205 million, up 71 per cent. Earnings for its fuels and infrastructure unit rose 85 per cent to $208 million, while Ampol declared an interim dividend of $0.52 per share. Ampol has also unveiled a $1.9 billion bid for New Zealand fuels retailer Z Energy, while CEO Matt Halliday has called for the states to start opening up once the 70 per cent vaccination target is met.

CORPORATES
AMPOL LIMITED – ALD

Lihir mine finally shines for Newcrest

Original article by Nick Evans
The Australian – Page: 19 : 20-Aug-21

Newcrest Mining has posted a record $US1.16bn profit for 2020-21, with EBITDA of $US2.44bn and revenue of $US4.58bn. Newcrest produced 2.1 million tonnes of gold during the financial year, at an average all-in-sustaining cost of $US911 an ounce. Meanwhile, CEO Sandeep Biswas believes that new mining methods could allow the company to lift production at its Lihir mine in Papua New Guinea to one million ounces per year. Shareholders will receive a final dividend of $US0.40 per share, and a full-year payout of $0.55.

CORPORATES
NEWCREST MINING LIMITED – ASX NCM

Woodside investors cautious on deal

Original article by Perry Williams
The Australian – Page: 16 : 19-Aug-21

Allan Gray Australia MD Simon Mawhinney says there are a lot of "unknowns" with regard to Woodside Petroleum’s proposed deal to merge with the petroleum division of BHP. He says the biggest question is just what Woodside investors will gain in return for giving BHP shareholders a 48 per cent stake in the oil and gas producer. Meanwhile, Woodside has posted an underlying net profit after tax of $US354m for the first half of 2021, and revenue of $US2.5bn.

CORPORATES
WOODSIDE PETROLEUM LIMITED – ASX WPL, BHP GROUP LIMITED – ASX BHP, ALLAN GRAY AUSTRALIA PTY LTD

CBA buyback tipped as earnings swell

Original article by Joyce Moullakis
The Australian – Page: 18 : 9-Aug-21

The consensus of analysts polled by Bloomberg is for the Commonwealth Bank of Australia to post a 2020-21 cash profit of $8.62bn. This compares with $7.2bn for the previous financial year. CBA’s dividend payout for the full year is expected to be $3.427 per share, with investors having received an interim dividend of $1.50. Meanwhile, Brian Johnson of Jefferies expects CBA to return surplus capital to investors via a $5.5bn off-market buyback. National Australia Bank and the ANZ Bank both recently announced buybacks.

CORPORATES
COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, JEFFERIES AND COMPANY, NATIONAL AUSTRALIA BANK LIMITED – ASX NAB, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ

Bonanza for iron ore miners

Original article by Peter Ker
The Australian Financial Review – Page: 1 & 16 : 21-Apr-21

Rio Tinto’s quarterly production report shows that its iron ore exports from the Pilbara totalled 77.79 million tonnes in the first three months of 2021, an increase of seven per cent year-on-year. Peter O’Connor of Shaw & Partners expects Rio Tinto to post an underlying profit of $US17.69bn ($22.7bn) for calendar 2021, eclipsing its record profit of $US15.5bn in 2011. The strength of the iron ore price during the March quarter has boosted the profits of Australia’s five biggest producers of the steel input. The iron ore price recently reached its highest level in more than nine years.

CORPORATES
RIO TINTO LIMITED – ASX RIO, SHAW AND PARTNERS LIMITED

BHP booms with $6.5bn payout

Original article by Nick Evans
The Australian – Page: 15 & 18 : 17-Feb-21

BHP has reported a net profit of $US3.88bn for the first half of 2020-21, which is 20 per cent lower than previously. However, underlying net profit rose 15.4 per cent to $US6bn, while the resources group will return some $US5.1bn to shareholders via a record interim dividend of $US1.01 per share. BHP is bullish about the outlook for the iron ore price, forecasting that a significant pullback would require reduced demand from China and/or increased supply from Brazil. BHP’s iron ore division has posted underlying EBIT of $US9.32bn for the half-year, compared with $US6.34bn for the previous corresponding period.

CORPORATES
BHP GROUP LIMITED – ASX BHP

Dividends on way back up: Argo

Original article by Cliona O’Dowd
The Australian – Page: 17 : 9-Feb-21

Argo Investments has posted a 2020-21 interim profit of 67m, which is 43 per cent lower than previously. The listed investment company’s half-year result was impacted by lower dividend income, with many companies scaling back their payouts in response to the COVID-pandemic. Argo MD Jason Beddow expects many companies to announce an increase in their dividend payouts during the February reporting season. However, he doubts that dividends will return to pre-coronavirus levels. He says banks and retailers are among the companies that could significantly boost their dividend payouts for the second half.

CORPORATES
ARGO INVESTMENTS LIMITED – ASX ARG

Price boom powers big iron’s profits

Original article by Sarah Turner, Jenny Wiggins
The Australian Financial Review – Page: 13 & 16 : 18-Jan-21

The spot price of iron ore peaked at $US172.36 a tonne during the week ended 15 January. Milford Asset Management’s William Curtayne says earnings forecasts for Australia’s major iron ore producers will need to be significantly upgraded if the price of the steel input remains at around $US165/tonne. Jason Teh of Vertium Asset Management also anticipates strong growth in dividend payouts at BHP, Rio Tinto and Fortescue Metals Group, as well as the potential for special dividends and share buybacks. The surging price of iron ore will also boost federal government revenue.

CORPORATES
BHP GROUP LIMITED – ASX BHP, RIO TINTO LIMITED – ASX RIO, FORTESCUE METALS GROUP LIMITED – ASX FMG, MILFORD ASSET MANAGEMENT LIMITED, VERTIUM ASSET MANAGEMENT PTY LTD