CORPORATE PROFITS – AUSTRALIA

Lynas sees rare chance in trade row

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Original article by Glenda Korporaal
The Australian – Page: 17 & 28 : 6-Mar-18

Lynas Corporation has posted a 2017-18 interim profit of $A63m, compared with a $A19.3m loss for the previous corresponding period. Revenue was up 75 per cent at $A200.9m, while the rare earths miner reduced its debt to $US256.5m. CEO Amanda Lacaze says the Federal Government’s proposed collaboration with the US on the development of rare earths is positive for the local industry, adding that Lynas has contacted the office of Prime Minister Malcolm Turnbull regarding the issue.

CORPORATES
LYNAS CORPORATION LIMITED – ASX LYC, AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, UNITED STATES. EXECUTIVE OFFICE OF THE PRESIDENT

Yancoal dares to dream dividends

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Original article by Paul Garvey
The Australian – Page: 31 : 2-Mar-18

Yancoal Australia has posted a 2017 net profit of $A229m, its first since 2012. The result was boosted by pre-tax earnings of $A276m for the Coal & Allied assets that Yancoal bought for $US2.7bn ($A3.5bn). Yancoal CEO Reinhold Schmidt notes that the deal made the Chinese-backed company the third-largest coal producer in Australia. He says dividends may be on the agenda at some point, but stresses that the focus is on delivering sustainable returns for investors.

CORPORATES
YANCOAL AUSTRALIA LIMITED – ASX YAL, COAL AND ALLIED INDUSTRIES LIMITED, RIO TINTO LIMITED – ASX RIO

Qantas soars to record profit

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Original article by Annabel Hepworth
The Australian – Page: 17 & 20 : 23-Feb-18

Qantas has posted an underlying pre-tax profit of $A976m for the first half of 2017-18, an increase of 14.6 per cent. The airline’s statutory profit after tax rose 17.9 per cent to $A607m. Qantas is likely to resume paying corporate tax soon, after advising that it now has just $A368m worth of tax-loss credits. Meanwhile, CEO Alan Joyce has emphasised the need for a reduction in the corporate tax rate in order to ensure that the Australian economy is internationally competitive. Qantas shares rose $A0.31 to close at $A5.58 on 22 February.

CORPORATES
QANTAS AIRWAYS LIMITED – ASX QAN, JETSTAR AIRLINES PTY LTD, MOODY’S INVESTORS SERVICE INCORPORATED, CITIGROUP PTY LTD, WESFARMERS LIMITED – ASX WES

Bullish Neilson takes stock

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Original article by Cliona O’Dowd
The Australian – Page: 17 & 21 : 23-Feb-18

Platinum Asset Management has posted a 2017-18 interim profit of $A102.2m, which is seven per cent higher than previously, while revenue was up 15 per cent at $A185.9m. Meanwhile, Platinum’s co-founder and chief investment officer Andrew Clifford will succeed CEO Kerr Neilson in mid-2018. Neilson has downplayed his decision to step down, adding that he will still be actively involved in the company. He says retail investors should be cautious about investing in exchange-traded funds. He also suggests that while China’s economic growth is likely to slow, the nation’s economy will remain strong.

CORPORATES
PLATINUM ASSET MANAGEMENT LIMITED – ASX PTM

OZ looks at stepping up output

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Original article by Matt Chambers
The Australian – Page: 20 : 23-Feb-18

OZ Minerals has posted a 2017 net profit of $A231m, which is 114 per cent higher than previously. CEO Andrew Cole says the company hopes to begin an early-stage scoping study on a potential expansion of the Carrapateena copper and gold mine in early 2019. The South Australian mine is under construction and slated to commence production in late 2019. OZ Minerals shareholders will receive a final dividend of $A0.14 per share, with a full-year payout of $A0.20 per share.

CORPORATES
OZ MINERALS LIMITED – ASX OZL, CASSINI RESOURCES LIMITED – ASX CZI

There is no plan B to Westfield takeover: Lowy

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Original article by Nick Lenaghan
The Australian Financial Review – Page: 34 : 23-Feb-18

European shopping centre group Unibail-Rodamco announced plans to acquire shopping mall owner Westfield Corporation in early December. At the time, Unibail’s scrip-focused deal valued Westfield at $A10.01 per share, but this had fallen to around $A8.82 per share on 22 February. Asked about the future of the deal at the announcement of Westfield’s full-year results, co-CEO Peter Lowy advised that there was "no plan B" in place. Westfield’s 2017 profit of $US1.55 billion is 13.5 per cent higher than previously.

CORPORATES
WESTFIELD CORPORATION – ASX WFD, UNIBAIL-RODAMCO, MACQUARIE GROUP LIMITED – ASX MQG, JP MORGAN AUSTRALIA LIMITED

Nine has options if cricket broadcast rights escalate

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Original article by Darren Davidson
The Australian – Page: 19 : 23-Feb-18

Nine Entertainment Company has posted a 2017-18 interim net profit of $A116m, compared with $A75m previously, with revenue rising nine per cent to $A720m. Meanwhile, CEO Hugh Marks says that while Nine wants to retain the cricket broadcasting rights, it will not pay an excessive price. He has also signalled that Nine may be open to a joint bid for the cricket rights. Nine paid $A500m for international cricket broadcasting rights under the current five-year deal, with Ten paying $A100m for Big Bash League rights. There has been speculation that the next rights deal could cost close to $A1bn.

CORPORATES
NINE ENTERTAINMENT COMPANY HOLDINGS LIMITED – ASX NEC, NINE NETWORK AUSTRALIA LIMITED, TEN NETWORK HOLDINGS LIMITED, BIG BASH LEAGUE, CRICKET AUSTRALIA

Discounts put $1b hole in Fortescue’s earnings

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Original article by Peter Ker
The Australian Financial Review – Page: 17 : 22-Feb-18

Fortescue Metals Group has posted a 2017-18 interim net profit of $US681m. It is 44 per cent lower than previously but exceeded analysts’ expectations. Fortescue’s received prices for iron ore fell by 15 per cent over the period, and the widening gap between lower-grade ore and the price of benchmark ore reduced its underlying EBITDA by $US734m. Shareholders will receive an interim dividend of $A0.11 per share, compared with analysts’ forecasts for a payout of $A0.14 per share.

CORPORATES
FORTESCUE METALS GROUP LIMITED – ASX FMG, BHP BILLITON LIMITED – ASX BHP, SHAW AND PARTNERS LIMITED

Wesfarmers in push for tax cuts

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Original article by Eli Greenblat
The Australian – Page: 17 & 27 : 22-Feb-18

Wesfarmers has posted a 2017-18 interim net profit of $A212m, which is 86.6 per cent lower than previously. Group revenue rose 2.8 per cent to $A35.9bn, while Bunnings’ revenue in Australia and New Zealand was 10.2 per cent higher at $A6.566bn. Supermarket chain Coles posted revenue of $A19.978bn, which is in line with the previous corresponding period. Wesfarmers CEO Rob Scott has called for corporate tax cuts to ensure that Australian companies are globally competitive, adding that a lower tax rate will ultimately boost wages.

CORPORATES
WESFARMERS LIMITED – ASX WES, BUNNINGS GROUP LIMITED, COLES SUPERMARKETS AUSTRALIA PTY LTD, TARGET AUSTRALIA PTY LTD, KMART AUSTRALIA LIMITED, OFFICEWORKS SUPERSTORES PTY LTD, COCA-COLA AMATIL LIMITED – ASX CCL, UNITED STATES. EXECUTIVE OFFICE OF THE PRESIDENT

Hywood seeks cuts as Fairfax print sales fall

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Original article by Dana McCauley
The Australian – Page: 17 & 21 : 22-Feb-18

Fairfax Media has posted a 2017-18 interim net profit of $A38.5m, which is 54 per cent lower than previously. Underlying net profit fell 10 per cent to $A76.3m and revenue was down four per cent at $A877m. The Australian Metro Media division’s print advertising revenue and circulation revenue were down 13.4 per cent and 3.9 per cent respectively. Fairfax reduced costs by 11 per cent during the half-year, and CEO Greg Hywood says the group will seek further cost cuts. He also says Fairfax will be open to mergers and acquisitions, while it intends to sell or discontinue 28 print publications in New Zealand.

CORPORATES
FAIRFAX MEDIA LIMITED – ASX FXJ, METRO MEDIA PUBLISHING PTY LTD, STUFF LIMITED, MACQUARIE MEDIA LIMITED – ASX MRN, STAN ENTERTAINMENT PTY LTD, DOMAIN HOLDINGS AUSTRALIA LIMITED – ASX DHA, NEWS CORP AUSTRALIA PTY LTD, NEWS CORPORATION – ASX NWS