DIVIDENDS – AUSTRALIA

Newcrest’s dividend plan ‘to flex’

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Original article by Tess Ingram
The Australian Financial Review – Page: 13 & 18 : 15-Aug-17

Newcrest Mining has posted a 2016-17 net profit of $US308m, which is seven per cent lower than previously. The result was marred by one-off items totalling $US86m, although its underlying net profit rose 22 per cent to $US394m. Newcrest reduced its net debt to $US1.5bn in 2016-17, while it has announced a new dividend policy which will result in shareholders receiving at least 10-30 per cent of free cash flow in the form of dividends. The minimum annual dividend payout will be $US0.15 per share.

CORPORATES
NEWCREST MINING LIMITED – ASX NCM, MORGANS FINANCIAL LIMITED, ALLAN GRAY AUSTRALIA PTY LTD

Nick Scali dives after caution on outlook

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Original article by Eli Greenblat
The Australian – Page: 19 : 11-Aug-17

Listed furniture retailer Nick Scali has posted a 2016-17 net profit of $A37.2m, which is 42.4 per cent higher than previously, while revenue rose by 14.7 per cent to $A232.9m. Same-store sales rose by 10 per cent, but MD Anthony Scali expects lower growth in 2017-18, noting that economic conditions and the housing market have a direct impact on furniture retailers. Shareholders will receive a fully franked final dividend of $A0.20 per share, and a full-year payout of $A0.34.

CORPORATES
NICK SCALI LIMITED – ASX NCK, HARVEY NORMAN HOLDINGS LIMITED – ASX HVN

CBA plots next move as ability to reprice fades

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Original article by James Frost, James Eyers
The Australian Financial Review – Page: 15 & 19 : 10-Aug-17

The Commonwealth Bank of Australia has increased its full-year dividend to $A4.29 per share after posting a 2016-17 cash profit of $A9.88bn. The result was 4.6 per cent higher than previously and slightly exceeded market expectations. Earnings per share grew by 3.6 per cent to $A5.74 and CBA’s net interest margin fell three basis points to 2.11 per cent. CBA has also advised that its common equity tier one capital ratio is now 10.1 per cent, and the bank expects to achieve the revised target of 10.5 per cent well before the start of 2020.

CORPORATES
COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, AUSTRALIAN PRUDENTIAL REGULATION AUTHORITY, AUSTRALIAN COMPETITION AND CONSUMER COMMISSION, PM CAPITAL LIMITED, PERENNIAL VALUE MANAGEMENT LIMITED, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ, NATIONAL AUSTRALIA BANK LIMITED – ASX NAB, WESTPAC BANKING CORPORATION – ASX WBC

Macquarie Media lifts despite Jones absence

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Original article by Stephen Brook
The Australian – Page: 25 : 9-Aug-17

Macquarie Media has posted a 2016-17 after-tax profit of $A17.32m, which is 21 per cent higher than previously. Group revenue was two per cent lower at $A131.11m, which has been primarily attributed to a downturn in royalty and contra revenues. Macquarie’s revenue was also affected by an extended leave of absence by 2GB presenter Alan Jones on medical grounds. Shareholders will receive a fully franked final dividend of $A0.04 per share.

CORPORATES
MACQUARIE MEDIA LIMITED – ASX MRN, 2GB, 3AW SOUTHERN CROSS RADIO PTY LTD, RADIO 2UE SYDNEY PTY LTD, FAIRFAX MEDIA LIMITED – ASX FXJ, SATELLITE MUSIC AUSTRALIA PTY LTD

CBA tipped to grind out $9.8b profit

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Original article by James Frost
The Australian Financial Review – Page: 16 : 8-Aug-17

Analysts expect the Commonwealth Bank of Australia to post a cash profit of $A4.9bn for the second half of 2016-17, an increase of 5.8 per cent, and a full-year cash profit of $A9.8bn. The banking major’s provision for bad and doubtful debts is likely to remain largely unchanged, while its net interest margin is tipped to have declined by two basis points in the second half. CBA’s earnings guidance is likely to come under scrutiny in the wake of its money-laundering scandal, while the bank is forecast to increase its dividend for the second half to $A2.24 per share.

CORPORATES
COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ, NATIONAL AUSTRALIA BANK LIMITED – ASX NAB, WESTPAC BANKING CORPORATION – ASX WBC, AUSTRALIAN PRUDENTIAL REGULATION AUTHORITY, UBS HOLDINGS PTY LTD, TEN NETWORK HOLDINGS LIMITED – ASX TEN

Rio could return up to $13.2b to shareholders over next 18 months

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Original article by James Thomson
The Australian Financial Review – Page: 20 : 4-Aug-17

Rio Tinto shareholders will receive a full-year dividend of $US2.60 per share for calendar 2017, after the interim dividend was increased from $US0.45 to $US1.10 per share. The resources giant will also repurchase up to $US1bn worth of its London-listed shares, and Paul Young of Deutsche Bank says it has the capacity to undertake about $US2bn worth of buybacks annually from 2018. Meanwhile, CEO Jean-Sebastien Jacques says Rio Tinto will only consider acquisitions that add value for shareholders.

CORPORATES
RIO TINTO LIMITED – ASX RIO, DEUTSCHE BANK AG, UBS HOLDINGS PTY LTD, MACQUARIE GROUP LIMITED – ASX MQG, COAL AND ALLIED INDUSTRIES LIMITED, YANCOAL AUSTRALIA LIMITED – ASX YAL, IRON ORE COMPANY OF CANADA

Rio hands out China bonanza

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Original article by James Thomson, Tess Ingram
The Australian Financial Review – Page: 1 & 22 : 3-Aug-17

Rio Tinto has posted a 2017 interim net profit of $US3.3bn, which is 93 per cent higher than previously, while underlying earnings rose by 152 per cent to $US3.9bn ($A4.9bn). The strong result was driven by its iron ore division, whose earnings rose by 87 per cent to $US3.3bn. Shareholders will receive a record interim dividend of $US1.10 a share, compared with just $US0.45 for the same period in 2016. Meanwhile, CEO Jean-Sebastien Jacques is upbeat about the outlook for the Chinese economy.

CORPORATES
RIO TINTO LIMITED – ASX RIO, YANCOAL AUSTRALIA LIMITED – ASX YAL, COAL AND ALLIED INDUSTRIES LIMITED, SHAW AND PARTNERS LIMITED, CITIGROUP PTY LTD, BARCLAYS BANK PLC

Rio’s chance to reward investors with jump in returns

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Original article by Matt Chambers
The Australian – Page: 17 & 28 : 1-Aug-17

Rio Tinto is widely tipped to post a 2017 interim underlying profit of $US4.12bn ($A5.16bn), compared with $US1.56bn previously. Market watchers also anticipate that Rio will lift its interim dividend from $US0.45 per share to $US1.18, with the prospect of a full-year payout of $US2.50 per share. Paul Hissey of RBC Capital Markets forecasts that a special dividend will boost Rio Tinto’s interim payout to $US1.42 a share. However, Glyn Lawcock of UBS expects the interim dividend to be $US0.93.

CORPORATES
RIO TINTO LIMITED – ASX RIO, RBC CAPITAL MARKETS, UBS HOLDINGS PTY LTD, BHP BILLITON LIMITED – ASX BHP, ANGLO AMERICAN PLC, GLENCORE PLC, VALE SA, GREAT BRITAIN. SERIOUS FRAUD OFFICE

Rio lowers iron ore production guidance

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Original article by Paul Garvey
The Australian – Page: 19 : 19-Jul-17

Rio Tinto has advised that its iron ore output in the Pilbara is now likely to be about 330 million tonnes in calendar 2017, compared with previous guidance of between 330 million and 340 million tonnes. It has cited factors such as inclement weather and rail maintenance work for the revised production forecast. Rio Tinto’s Pilbara iron ore shipments totalled 154.3 million tonnes in the first half. Meanwhile, Citigroup expects Rio Tinto’s full-year dividend to rise from $US1.70 per share in 2016 to $US2.42 in 2017.

CORPORATES
RIO TINTO LIMITED – ASX RIO, CITIGROUP PTY LTD, COAL AND ALLIED INDUSTRIES LIMITED, YANCOAL AUSTRALIA LIMITED – ASX YAL, GOLDMAN SACHS AUSTRALIA PTY LTD

Yancoal tipped to match Rio bid by Glencore

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Original article by James Thomson
The Australian Financial Review – Page: 13 & 18 : 26-Jun-17

Peter O’Connor of Shaw & Partners says Rio Tinto’s sale of its Hunter Valley coal assets will be a good deal for shareholders, as the bidding war between Glencore and Yancoal continues. Glencore has sought to trump Yancoal by increasing its own offer, which is now $US255m higher than Yancoal’s offer of $US2.45bn. Rio Tinto recently named Yancoal as preferred bidder, and its board is likely to respond to Glencore’s revised offer on 26 June. Meanwhile, analysts expect Rio Tinto to use the proceeds of the sale to increase its 2017 dividend.

CORPORATES
RIO TINTO LIMITED – ASX RIO, YANCOAL AUSTRALIA LIMITED – ASX YAL, GLENCORE PLC, COAL AND ALLIED INDUSTRIES LIMITED, SHAW AND PARTNERS LIMITED, ROYAL BANK OF CANADA, BLOOMBERG LP, YANKUANG CORPORATION GROUP LIMITED, CHINA. MINISTRY OF COMMERCE, CITIGROUP PTY LTD