Adairs Ltd (ADH):
Linen and homewares retailer Adairs has booked a bumper first-half profit on the back of an improved product range and strong sales. Unveiling a net profit of $13.9 million — up 62.5 per cent on the same period last year — the retailer (ADH) told shareholders it was making a turnaround after a string of profit warnings last financial year sent it share price plummeting. For the six months to December 31, sales rose 19.7 per cent to $149m with like-for-like sales up 14.8 per cent compared to the same period last year. Online sales shot up 98.7 per cent to $17.1m after a re-platforming project was completed in October. Online now accounts for 11.5 per cent of sales, the company said.
Amaysim Australia Ltd (AYS):
Amaysim has reported a first-half net loss of $2.37 million, down from an $8.3m profit a year earlier, after acquisition and new product costs hit its bottom line. The telecommunications and retail energy provider’s (AYS) revenue for the six months to December 31 more than doubled to $294m on the back of subscriber growth in its mobile and broadband businesses and the contribution of the Click energy business acquired in May. The board has decided not to pay an interim dividend after the unfranked 4.0 cents per share delivered in the prior first-half, saying instead the company would invest capital in the growth of the company, including reserving funds for any new acquisitions. At 11.57am (AEDT), shares in Amaysim had fallen 7.5 cents, or 4.92 per cent, to $1.45.
Ardent Leisure Group (AAD):
Ardent Leisure has narrowed its first-half loss as trading at its troubled Dreamworld theme park continues to improve, but warned the recovery has been slower than hoped in the wake of a deadly accident at the Gold Coast park in late 2016. The group (AAD) reported a noncash impairment charge of $22.8m related to Dreamworld, which weighed on its first-half results. Ardent reported a net loss of $15.6 million in the six months to December 26, compared with a loss of $49.4m in the six months to December 31, 2016. But the group expects to turn a profit in the second half of the year, assuming no adverse changes to operating conditions. While trading at Dreamworld had continued to improve, with attendances up 32.6 per cent and revenue up 55.6 per cent for the period from December 10 to February 13 compared to the same period last year, Ardent said “the recovery has been slower than originally projected”.
BlueScope Steel Limited (BSL):
BlueScope Steel's first-half net profit increased 23 per cent to $441.2 million, helped by the restatement of deferred tax liabilities after January's cut in US corporate tax rates. The steel maker said sales revenue for the six months to December 31 has grown seven per cent to $5.48 billion, mainly due to higher steel prices across all segments. BlueScope will pay a partially-franked interim dividend of 6.0 cents per share, compared to a fully franked four cents a year ago, and said it will extend the existing share buyback by a further $150 million.
Monash IVF Group Ltd (MVF):
Shares in fertility treatment company Monash IVF plunged more than 7 per cent in early trade after the company booked a first-half profit plummet as it flagged a full-year profit slide of 25 per cent compared to the previous year. Unveiling a net profit down 20.9 per cent to $12 million for the six months to December 31, the company said the lower profits are due to of weakness in the Australian market and competitive pressures. The company said that net profit was hit by non-recurring costs associated with a doctor departure and restraint legal proceedings, as well as recruitment of key personnel and an organisational restructure in Australia.
Newcrest Mining Limited (NCM):
Newcrest Mining will spend $US250 million to buy a 27 per cent interest in Canada-listed Lundin Gold, part of a strategy to increase its exposure to potentially gold-rich deposits. Newcrest (NCM) said it will acquire 57.7 million shares at $C5.50 each in the company, which is conducting a $US400 million equity raising to fund the construction of its Fruta del Norte gold mine in Ecuador. The company expects to produce gold from the site by the end of 2019. The Australian gold miner, one of the world’s biggest, recently told investors it will aim to have exposure to five socalled tier-one orebodies by 2020. “We see this equity investment and exploration farm-in as a strategic partnership with Lundin Gold and consistent with our strategy of securing exposure to high potential orebodies,” said chief executive Sandeep Biswas. Newcrest said its ability to purchase further shares will be subject to certain standstill restrictions, although it has also signed an agreement allowing Newcrest to earn up to 50 per cent direct interest in eight separate exploration concessions in Ecuador.
Oil Search Limited (OSH):
Papua New Guinea’s big gas-export facilities are being shut down so that Exxon and partner Oil Search can assess any damage following an earthquake early today. Oil Search (OSH) in a statement said all personnel had been accounted for and there had been no reports of injuries. As a precautionary measure, the oil-and-gas producer said its operations in the Papua New Guinea Highlands region were in the process of being shut down. Exxon had already shut down the PNG LNG facility at Hides. A magnitude 7.5 earthquake struck the Highlands early today, followed by a series of aftershocks, Oil Search said. Oil Search, based in the Papua New Guinea capital of Port Moresby and listed in Australia, has a 29 per cent stake in the Exxon-led PNG LNG liquefied natural gas project. It also operates each of Papua New Guinea’s producing oilfields.
QBE Insurance Group Ltd (QBE):
Global insurer QBE will slice off its troublesome operations across Latin America, announcing a deal to sell businesses in Argentina, Brazil, Colombia, Ecuador and Mexico to Swiss giant Zurich Insurance. QBE (QBE) today unveiled a full-year loss of $US1.25 billion, which was largely foreshadowed after a profit warning in January. This was a swing into the red following the prior year’s $US844m annual profit, and came with a hefty cut in the insurer’s dividend payout. At the time of the January downgrade, QBE said it was putting the Latin American division up for sale in a bid to simplify the sprawling insurance group. The sale price of the Latin American business is expected to top $US400 million, with QBE to reap around $US100m in profit from the deal, which will need to be cleared by regulators in each country.
Vocus Group Ltd (VOC):
Vocus says its CEO Geoff Horth is leaving Australia’s fourth biggest the telco “by mutual agreement” and will be replaced by an interim boss. Vocus (VOC) said the board and Mr Horth has been “engaged in CEO succession considerations since earlier this year” as part of a program of renewal, and both parties had agreed this “process should be brought forward”. The role of interim group CEO will be assumed by Michael Simmons, Vocus’ current chief executive of its wholesale and international division. Vocus said the search for a new group CEO was well underway. Vocus shares rose 3 per cent in early trade to $2.44. Despite the change in leadership, Vocus said it remained committed to its strategic priorities, including the sale of its New Zealand business by mid-year.
Watpac Limited (WTP):
Belgian construction group BESIX has lobbed a bid to increase its stake in ASX-listed development and construction company Watpac, valuing the target at $168.7 million. The deal would result in the suitor lifting its holding to 64.1 per cent of the company (WTP), from 28.1 per cent now. Watpac’s board backed the offer in the absence of a superior proposal, and subject to the support of an independent expert. The all-cash offer of 92 cents per share is a premium of 37.3 per cent to Watpac’s last closing price and a 40 per cent premium to its three-month volume weighted average price. Investors welcomed the offer, sending Watpac shares were up 14.93 per cent to 77 cents at 1.02pm (AEDT).
(Source: AIMS)
Linen and homewares retailer Adairs has booked a bumper first-half profit on the back of an improved product range and strong sales. Unveiling a net profit of $13.9 million — up 62.5 per cent on the same period last year — the retailer (ADH) told shareholders it was making a turnaround after a string of profit warnings last financial year sent it share price plummeting. For the six months to December 31, sales rose 19.7 per cent to $149m with like-for-like sales up 14.8 per cent compared to the same period last year. Online sales shot up 98.7 per cent to $17.1m after a re-platforming project was completed in October. Online now accounts for 11.5 per cent of sales, the company said.
Amaysim Australia Ltd (AYS):
Amaysim has reported a first-half net loss of $2.37 million, down from an $8.3m profit a year earlier, after acquisition and new product costs hit its bottom line. The telecommunications and retail energy provider’s (AYS) revenue for the six months to December 31 more than doubled to $294m on the back of subscriber growth in its mobile and broadband businesses and the contribution of the Click energy business acquired in May. The board has decided not to pay an interim dividend after the unfranked 4.0 cents per share delivered in the prior first-half, saying instead the company would invest capital in the growth of the company, including reserving funds for any new acquisitions. At 11.57am (AEDT), shares in Amaysim had fallen 7.5 cents, or 4.92 per cent, to $1.45.
Ardent Leisure Group (AAD):
Ardent Leisure has narrowed its first-half loss as trading at its troubled Dreamworld theme park continues to improve, but warned the recovery has been slower than hoped in the wake of a deadly accident at the Gold Coast park in late 2016. The group (AAD) reported a noncash impairment charge of $22.8m related to Dreamworld, which weighed on its first-half results. Ardent reported a net loss of $15.6 million in the six months to December 26, compared with a loss of $49.4m in the six months to December 31, 2016. But the group expects to turn a profit in the second half of the year, assuming no adverse changes to operating conditions. While trading at Dreamworld had continued to improve, with attendances up 32.6 per cent and revenue up 55.6 per cent for the period from December 10 to February 13 compared to the same period last year, Ardent said “the recovery has been slower than originally projected”.
BlueScope Steel Limited (BSL):
BlueScope Steel's first-half net profit increased 23 per cent to $441.2 million, helped by the restatement of deferred tax liabilities after January's cut in US corporate tax rates. The steel maker said sales revenue for the six months to December 31 has grown seven per cent to $5.48 billion, mainly due to higher steel prices across all segments. BlueScope will pay a partially-franked interim dividend of 6.0 cents per share, compared to a fully franked four cents a year ago, and said it will extend the existing share buyback by a further $150 million.
Monash IVF Group Ltd (MVF):
Shares in fertility treatment company Monash IVF plunged more than 7 per cent in early trade after the company booked a first-half profit plummet as it flagged a full-year profit slide of 25 per cent compared to the previous year. Unveiling a net profit down 20.9 per cent to $12 million for the six months to December 31, the company said the lower profits are due to of weakness in the Australian market and competitive pressures. The company said that net profit was hit by non-recurring costs associated with a doctor departure and restraint legal proceedings, as well as recruitment of key personnel and an organisational restructure in Australia.
Newcrest Mining Limited (NCM):
Newcrest Mining will spend $US250 million to buy a 27 per cent interest in Canada-listed Lundin Gold, part of a strategy to increase its exposure to potentially gold-rich deposits. Newcrest (NCM) said it will acquire 57.7 million shares at $C5.50 each in the company, which is conducting a $US400 million equity raising to fund the construction of its Fruta del Norte gold mine in Ecuador. The company expects to produce gold from the site by the end of 2019. The Australian gold miner, one of the world’s biggest, recently told investors it will aim to have exposure to five socalled tier-one orebodies by 2020. “We see this equity investment and exploration farm-in as a strategic partnership with Lundin Gold and consistent with our strategy of securing exposure to high potential orebodies,” said chief executive Sandeep Biswas. Newcrest said its ability to purchase further shares will be subject to certain standstill restrictions, although it has also signed an agreement allowing Newcrest to earn up to 50 per cent direct interest in eight separate exploration concessions in Ecuador.
Oil Search Limited (OSH):
Papua New Guinea’s big gas-export facilities are being shut down so that Exxon and partner Oil Search can assess any damage following an earthquake early today. Oil Search (OSH) in a statement said all personnel had been accounted for and there had been no reports of injuries. As a precautionary measure, the oil-and-gas producer said its operations in the Papua New Guinea Highlands region were in the process of being shut down. Exxon had already shut down the PNG LNG facility at Hides. A magnitude 7.5 earthquake struck the Highlands early today, followed by a series of aftershocks, Oil Search said. Oil Search, based in the Papua New Guinea capital of Port Moresby and listed in Australia, has a 29 per cent stake in the Exxon-led PNG LNG liquefied natural gas project. It also operates each of Papua New Guinea’s producing oilfields.
QBE Insurance Group Ltd (QBE):
Global insurer QBE will slice off its troublesome operations across Latin America, announcing a deal to sell businesses in Argentina, Brazil, Colombia, Ecuador and Mexico to Swiss giant Zurich Insurance. QBE (QBE) today unveiled a full-year loss of $US1.25 billion, which was largely foreshadowed after a profit warning in January. This was a swing into the red following the prior year’s $US844m annual profit, and came with a hefty cut in the insurer’s dividend payout. At the time of the January downgrade, QBE said it was putting the Latin American division up for sale in a bid to simplify the sprawling insurance group. The sale price of the Latin American business is expected to top $US400 million, with QBE to reap around $US100m in profit from the deal, which will need to be cleared by regulators in each country.
Vocus Group Ltd (VOC):
Vocus says its CEO Geoff Horth is leaving Australia’s fourth biggest the telco “by mutual agreement” and will be replaced by an interim boss. Vocus (VOC) said the board and Mr Horth has been “engaged in CEO succession considerations since earlier this year” as part of a program of renewal, and both parties had agreed this “process should be brought forward”. The role of interim group CEO will be assumed by Michael Simmons, Vocus’ current chief executive of its wholesale and international division. Vocus said the search for a new group CEO was well underway. Vocus shares rose 3 per cent in early trade to $2.44. Despite the change in leadership, Vocus said it remained committed to its strategic priorities, including the sale of its New Zealand business by mid-year.
Watpac Limited (WTP):
Belgian construction group BESIX has lobbed a bid to increase its stake in ASX-listed development and construction company Watpac, valuing the target at $168.7 million. The deal would result in the suitor lifting its holding to 64.1 per cent of the company (WTP), from 28.1 per cent now. Watpac’s board backed the offer in the absence of a superior proposal, and subject to the support of an independent expert. The all-cash offer of 92 cents per share is a premium of 37.3 per cent to Watpac’s last closing price and a 40 per cent premium to its three-month volume weighted average price. Investors welcomed the offer, sending Watpac shares were up 14.93 per cent to 77 cents at 1.02pm (AEDT).
(Source: AIMS)
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