Bank of Queensland Limited (BOQ):
Bank of Queensland has settled a class action brought against it by customers of disgraced financial adviser Brad Sherwin, just two weeks before the case was due to go to trial. The settlement ends a two-year lawsuit brought against the bank and fund manager DDH Graham by Quinn Emanuel Urquhart and Sullivan, over claims they failed to protect customers from a Ponzi scheme Sherwin was running. The details of the settlement are confidential and subject to approval by the Federal Court. If the settlement is approved, it will not have a material impact on the bank’s statutory profit, the bank said. Sherwin was last year sentenced to 10 years in jail for defrauding customers between 2009 and 2012. Through his Brisbane-based Sherwin Financial Planners and other companies, the financial planner swindled hundreds of clients out of their life savings. His businesses collapsed in 2013.
Bingo Industries Limited (BIN):
Waste management group Bingo Industries has lifted prices twice in the past eight months to counter rising costs in an industry where waste volumes are growing rapidly through soaring population growth in Sydney and Melbourne and a mountain of demolition rubble from major infrastructure rebuilds. Bingo chief executive Daniel Tartak said costs were rising across the industry because of higher tipping bills at landfill sites, higher energy bills, increases in tolls on major freeways and heavier compliance burdens as governments and authorities sought to improve recycling rates.
Cabcharge Australia Limited (CAB):
Cabcharge has slashed its first-half loss by 95 per cent to $5.1 million after the expansion of its fleet size helped lift revenue, despite stiff competition from ride-sharing service Uber. The company (CAB) has cut its net loss for the six months to December 31 from $106.8 million in the prior corresponding period as organic growth and the acquisition of Yellow Cabs Queensland helped raise revenue 13.8 per cent to $90 million. But Cabcharge has stayed in the red after making a non-cash impairment charge of $12.3 million against the value of taxi licence plates, and it has cut its interim dividend from 10 cents to four cents, fully franked.
Caltex Australia Limited (CTX):
Caltex booked 1.5 per cent full-year after-tax net profit growth to $619 million, above more a conservative estimate by Bloomberg’s analyst survey of $616 million. The company says it aims to take back control of all franchisee stores by mid-2020 based on the findings of a two-year operational review, the process underway with 314 of its 810 retail sites now company operated compared to 152 a year ago. Alongside results, Caltex declared a 17 per cent increase in its final dividend to 61c per share, contributing to a 19 per cent increase in its total full-year distribution to $1.21.
Commonwealth Bank of Australia (CBA):
The corporate regulator has doubled the size of its Federal Court rate-rigging case against Australia’s biggest financial institution, increasing the number of days on which CBA is accused of trying to rig the benchmark BBSW rate from three to six. A further baker’s dozen of alleged breaches that fall before the six-year statute of limitations have also been included in an attempt to show the existence of a pattern of behaviour. Federal Court documents filed by the Australian Securities & Investments Commission set out in detail rate-rigging claims against CBA and name senior banker Lyn Cobley, now at Westpac where she is seen as a potential successor to boss Brian Hartzer, as “engaged” in the CBA’s rate-setting practices. The statement of claim, filed on Friday and made available by the Federal Court yesterday, also shows that CBA traders believed ANZ and Westpac were in “cahoots” to set the BBSW.
Costa Group Holdings Limited (CGC):
Costa Group has lifted underlying first-half profit 14.5 per cent to $28.6 million after a near 10 per cent rise in revenue for the fruit and vegetable grower. Revenue for the six months to December 31 rose 9.8 per cent to $489.4 million, with citrus and tomato the stand out categories for the ASX-listed firm. Net profit jumped more than fourfold to $66.2 million on a $40.1 million non-cash gain in the revaluation of Costa Group’s interest in berry grower African Blue, and the company raised its interim dividend by a cent to five cents, fully franked.
luka Resources Limited (ILU):
Mineral sands miner Illuka resources shrunk a full-year loss to $172m in its most recent fiscal year, provisions from the rehabilitation of closed US sites ultimately dragging it into the red. Annual underlying group earnings (EBITDA) excluding the provisions rose 140 per cent to $361m, while mineral sands revenue rose 40 per cent to $1bn on the same basis. The company booked $127m in provisions relating to rehabilitation for its closed operations after increasing those for sites in Virginia and Florida by US$90 million in December last year.
Longtable Group Limited (LON):
Tough times in retail are even pinching some of the best known and loved food brands, with TV chef and media personality Maggie Beer’s branded groceries suffering a $250,000 loss for the six months to December 31 as it was forced to spend more on promotions to drive sales and shoppers picked up cheaper priced items from the supermarket shelf. While the much loved chef did pick up some deals to sell her ice cream on Etihad and Qantas flights, in the key channel of supermarkets it was a much harder sell for her foods. The financial results for Maggie Beer Products were released as part of the latest financial filings for publicly listed company Longtable Group, which bought a 48 per cent stake in Maggie Beer’s food empire in 2016. Maggie Beer Products, which produces goods including sauces, ice creams and quince pastes and which carry the famous chef’s name, has been struggling for the last few years amid difficult trading conditions in the grocery sector and tough competition between branded foods. The intense competition has forced many branded food groups to slash their prices or invest more in promotions and discounting, which crimps profits. Longtable Group (LON) issued its latest financial results to the ASX this morning, and has revealed that Maggie Beer Products posted a loss of $250,000 for the December half, with Longtable Group’s share of that loss on its own accounts mounting to $120,000.
Oil Search Limited (OSH) & Santos Limited (STO):
The big PNG LNG plant in which Oil Search and Santos have non-operating stakes remains closed after Monday’s 7.5 magnitude earthquake, with staff still being evacuated from gas processing plants in the Highlands region. “A full assessment of the impact of the earthquake on the company’s Highlands facilities is likely to take time, and will be impacted by damage to roads and other infrastructure,” operator Exxon Mobil said in a statement this morning. It said both trains at the PNG LNG export plant near Port Moresby had been safely shut down. “Evacuation of non-essential personnel from the Hides Conditioning Plant will continue today,” the oil giant said. “Specialist engineers are also flying into Hides to join remaining personnel on site to assist with damage and repair assessments.”
Pilbara Minerals Limited (PLS):
The fact that Pilbara Minerals is on track for Pilgangoora commissioning and first shipments by June is good sign for the company according to Macquarie. “Remaining on schedule is important for PLS at the tail end of stage 1 development with wet commissioning to commence early in 4QFY18,” the broker says. “Early cash flows are expected from the imminent sale of DSO, which is set to see PLS take advantage of currently buoyant lithium prices.” Macquarie has an “outperform” rating and $1.20 target price on Pilbara Minerals. Bloomberg’s analyst ratings compilation shows 6 buys, 2 holds and 0 sells. The share price is about 33 per cent off the peak after surging 123pc last year.
Qantas Airways Limited (QAN):
Qantas is set to expand its codesharing network in a deal with American Airlines that could allow the carriers to launch up to 180,000 new trips each year between the US, Australia and New Zealand. Qantas said the tie-up will allow both airlines to launch additional routes between destinations currently not serviced by either carrier while both airlines will be able to offer each other’s fares, discounts and fare classes under the deal.
Rio Tinto Limited (RIO):
Resources giant Rio Tinto says it has received a binding $345 million offer from Hydro to acquire its aluminium assets. The bid is for Rio’s ISAL smelter in Iceland, its 53.3 per cent share in the Aluchemie anode plant in the Netherlands and its 50 per cent interest in the Aluminium fluoride plant in Sweden. Rio says that, subject to consultation with stakeholders and employees, and certain other conditions, it expects to conclude the sale in the second quarter of 2018.
Speedcast International Limited (SDA):
Speedcast booked $24.1m in full-year underlying profit, below a more optimistic consensus estimate by Bloomberg’s analyst survey of $44.6m. SDA swung down 10.4 per cent on the release of results after the open, since recovering near half the ground after bargain hunters stepped in.
Vocus Group Limited (VOC):
Vocus chairman Vaughan Bowen hopes the immediate departure of former boss Geoff Horth will help the market focus on the telco’s solid fundamentals and “cut the noise” around the ongoing integration challenges that have shredded Vocus’s bottom line. Having presided over the tortuous merger between Vocus and M2 Group, during which Vocus’s share price sank from a high of $9.41 in May 2016 to $2.37 last week, Mr. Horth stepped down yesterday, a move immediately welcomed by the market. Vocus shares broke their losing streak, ending the session 1.69 per cent higher at $2.41. Mr. Bowen said: “The noise after the latest results hadn’t helped the business despite some solid numbers.
Westpac Banking Corporation (WBC):
Plans for a sale or float of Westpac’s $5 billion dealer finance and auto loans business is now thought to be slated for around March next year at the earliest, with the bank believed to be outlaying about $180 million to prepare for a divestment. Westpac is understood to be working to introduce a new IT system at a cost of about $90m to manage a fixed commission environment when strict new laws are introduced for car loans in November. Previously, car dealers could have flexible commissions and pay themselves large amounts — potentially as much as 70 per cent — of the value of a deal. But as of November, commissions must be fixed.
(Source: AIMS)
Bank of Queensland has settled a class action brought against it by customers of disgraced financial adviser Brad Sherwin, just two weeks before the case was due to go to trial. The settlement ends a two-year lawsuit brought against the bank and fund manager DDH Graham by Quinn Emanuel Urquhart and Sullivan, over claims they failed to protect customers from a Ponzi scheme Sherwin was running. The details of the settlement are confidential and subject to approval by the Federal Court. If the settlement is approved, it will not have a material impact on the bank’s statutory profit, the bank said. Sherwin was last year sentenced to 10 years in jail for defrauding customers between 2009 and 2012. Through his Brisbane-based Sherwin Financial Planners and other companies, the financial planner swindled hundreds of clients out of their life savings. His businesses collapsed in 2013.
Bingo Industries Limited (BIN):
Waste management group Bingo Industries has lifted prices twice in the past eight months to counter rising costs in an industry where waste volumes are growing rapidly through soaring population growth in Sydney and Melbourne and a mountain of demolition rubble from major infrastructure rebuilds. Bingo chief executive Daniel Tartak said costs were rising across the industry because of higher tipping bills at landfill sites, higher energy bills, increases in tolls on major freeways and heavier compliance burdens as governments and authorities sought to improve recycling rates.
Cabcharge Australia Limited (CAB):
Cabcharge has slashed its first-half loss by 95 per cent to $5.1 million after the expansion of its fleet size helped lift revenue, despite stiff competition from ride-sharing service Uber. The company (CAB) has cut its net loss for the six months to December 31 from $106.8 million in the prior corresponding period as organic growth and the acquisition of Yellow Cabs Queensland helped raise revenue 13.8 per cent to $90 million. But Cabcharge has stayed in the red after making a non-cash impairment charge of $12.3 million against the value of taxi licence plates, and it has cut its interim dividend from 10 cents to four cents, fully franked.
Caltex Australia Limited (CTX):
Caltex booked 1.5 per cent full-year after-tax net profit growth to $619 million, above more a conservative estimate by Bloomberg’s analyst survey of $616 million. The company says it aims to take back control of all franchisee stores by mid-2020 based on the findings of a two-year operational review, the process underway with 314 of its 810 retail sites now company operated compared to 152 a year ago. Alongside results, Caltex declared a 17 per cent increase in its final dividend to 61c per share, contributing to a 19 per cent increase in its total full-year distribution to $1.21.
Commonwealth Bank of Australia (CBA):
The corporate regulator has doubled the size of its Federal Court rate-rigging case against Australia’s biggest financial institution, increasing the number of days on which CBA is accused of trying to rig the benchmark BBSW rate from three to six. A further baker’s dozen of alleged breaches that fall before the six-year statute of limitations have also been included in an attempt to show the existence of a pattern of behaviour. Federal Court documents filed by the Australian Securities & Investments Commission set out in detail rate-rigging claims against CBA and name senior banker Lyn Cobley, now at Westpac where she is seen as a potential successor to boss Brian Hartzer, as “engaged” in the CBA’s rate-setting practices. The statement of claim, filed on Friday and made available by the Federal Court yesterday, also shows that CBA traders believed ANZ and Westpac were in “cahoots” to set the BBSW.
Costa Group Holdings Limited (CGC):
Costa Group has lifted underlying first-half profit 14.5 per cent to $28.6 million after a near 10 per cent rise in revenue for the fruit and vegetable grower. Revenue for the six months to December 31 rose 9.8 per cent to $489.4 million, with citrus and tomato the stand out categories for the ASX-listed firm. Net profit jumped more than fourfold to $66.2 million on a $40.1 million non-cash gain in the revaluation of Costa Group’s interest in berry grower African Blue, and the company raised its interim dividend by a cent to five cents, fully franked.
luka Resources Limited (ILU):
Mineral sands miner Illuka resources shrunk a full-year loss to $172m in its most recent fiscal year, provisions from the rehabilitation of closed US sites ultimately dragging it into the red. Annual underlying group earnings (EBITDA) excluding the provisions rose 140 per cent to $361m, while mineral sands revenue rose 40 per cent to $1bn on the same basis. The company booked $127m in provisions relating to rehabilitation for its closed operations after increasing those for sites in Virginia and Florida by US$90 million in December last year.
Longtable Group Limited (LON):
Tough times in retail are even pinching some of the best known and loved food brands, with TV chef and media personality Maggie Beer’s branded groceries suffering a $250,000 loss for the six months to December 31 as it was forced to spend more on promotions to drive sales and shoppers picked up cheaper priced items from the supermarket shelf. While the much loved chef did pick up some deals to sell her ice cream on Etihad and Qantas flights, in the key channel of supermarkets it was a much harder sell for her foods. The financial results for Maggie Beer Products were released as part of the latest financial filings for publicly listed company Longtable Group, which bought a 48 per cent stake in Maggie Beer’s food empire in 2016. Maggie Beer Products, which produces goods including sauces, ice creams and quince pastes and which carry the famous chef’s name, has been struggling for the last few years amid difficult trading conditions in the grocery sector and tough competition between branded foods. The intense competition has forced many branded food groups to slash their prices or invest more in promotions and discounting, which crimps profits. Longtable Group (LON) issued its latest financial results to the ASX this morning, and has revealed that Maggie Beer Products posted a loss of $250,000 for the December half, with Longtable Group’s share of that loss on its own accounts mounting to $120,000.
Oil Search Limited (OSH) & Santos Limited (STO):
The big PNG LNG plant in which Oil Search and Santos have non-operating stakes remains closed after Monday’s 7.5 magnitude earthquake, with staff still being evacuated from gas processing plants in the Highlands region. “A full assessment of the impact of the earthquake on the company’s Highlands facilities is likely to take time, and will be impacted by damage to roads and other infrastructure,” operator Exxon Mobil said in a statement this morning. It said both trains at the PNG LNG export plant near Port Moresby had been safely shut down. “Evacuation of non-essential personnel from the Hides Conditioning Plant will continue today,” the oil giant said. “Specialist engineers are also flying into Hides to join remaining personnel on site to assist with damage and repair assessments.”
Pilbara Minerals Limited (PLS):
The fact that Pilbara Minerals is on track for Pilgangoora commissioning and first shipments by June is good sign for the company according to Macquarie. “Remaining on schedule is important for PLS at the tail end of stage 1 development with wet commissioning to commence early in 4QFY18,” the broker says. “Early cash flows are expected from the imminent sale of DSO, which is set to see PLS take advantage of currently buoyant lithium prices.” Macquarie has an “outperform” rating and $1.20 target price on Pilbara Minerals. Bloomberg’s analyst ratings compilation shows 6 buys, 2 holds and 0 sells. The share price is about 33 per cent off the peak after surging 123pc last year.
Qantas Airways Limited (QAN):
Qantas is set to expand its codesharing network in a deal with American Airlines that could allow the carriers to launch up to 180,000 new trips each year between the US, Australia and New Zealand. Qantas said the tie-up will allow both airlines to launch additional routes between destinations currently not serviced by either carrier while both airlines will be able to offer each other’s fares, discounts and fare classes under the deal.
Rio Tinto Limited (RIO):
Resources giant Rio Tinto says it has received a binding $345 million offer from Hydro to acquire its aluminium assets. The bid is for Rio’s ISAL smelter in Iceland, its 53.3 per cent share in the Aluchemie anode plant in the Netherlands and its 50 per cent interest in the Aluminium fluoride plant in Sweden. Rio says that, subject to consultation with stakeholders and employees, and certain other conditions, it expects to conclude the sale in the second quarter of 2018.
Speedcast International Limited (SDA):
Speedcast booked $24.1m in full-year underlying profit, below a more optimistic consensus estimate by Bloomberg’s analyst survey of $44.6m. SDA swung down 10.4 per cent on the release of results after the open, since recovering near half the ground after bargain hunters stepped in.
Vocus Group Limited (VOC):
Vocus chairman Vaughan Bowen hopes the immediate departure of former boss Geoff Horth will help the market focus on the telco’s solid fundamentals and “cut the noise” around the ongoing integration challenges that have shredded Vocus’s bottom line. Having presided over the tortuous merger between Vocus and M2 Group, during which Vocus’s share price sank from a high of $9.41 in May 2016 to $2.37 last week, Mr. Horth stepped down yesterday, a move immediately welcomed by the market. Vocus shares broke their losing streak, ending the session 1.69 per cent higher at $2.41. Mr. Bowen said: “The noise after the latest results hadn’t helped the business despite some solid numbers.
Westpac Banking Corporation (WBC):
Plans for a sale or float of Westpac’s $5 billion dealer finance and auto loans business is now thought to be slated for around March next year at the earliest, with the bank believed to be outlaying about $180 million to prepare for a divestment. Westpac is understood to be working to introduce a new IT system at a cost of about $90m to manage a fixed commission environment when strict new laws are introduced for car loans in November. Previously, car dealers could have flexible commissions and pay themselves large amounts — potentially as much as 70 per cent — of the value of a deal. But as of November, commissions must be fixed.
(Source: AIMS)
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