Company Results Announcements
By SmallStocks on Aug 15, 2008 in ASX
I thought I would post a brief article about some of the upcoming companies which are going to release their profits announcements next week (11th through 15th August) and provide some general commentary around their performance given the current market conditions.
11 August 2008
Bendigo Bank (BEN.AX) - As with the other banks in combination with the market turbulence in the USA credit and debt markets, I would envisage their margins are going to be thin - with particular focus on their wholesale mortgages book. This is mainly based on their cost of funding having to be quite expensive given they sourced many cheap funds from overseas market “pre-USA-subprime-implosion”. Not sure I can imagine these guys are going to post any sort of “amazing” profit.
United Group  (UGL.AX) – United are heavily into maintenance, facilities management, engineering and construction. In the domestic Australia market I would envisage them posting a pretty good profit, but from the information available on their overseas operations – particularly with a USA exposure around their property services businesses - expect to see substantial downside risk. I would think it’s a lower than expected outlook given mid year results.
12 August 2008
Cochlear Ltd (COH.AX) – Overall, Cochlear should be relatively strong although there may be some turbulence with any sort of Foreign Exchange adjustments they have to make due to overall market turbulence.
13 August 2008
Commonwealth Bank (CBA.AX) – You would think that given the provisioning allocations of the NAB and ANZ, these guys might have something to announcement in relation to their USA exposures. I would think their announcement should be fairly flat with some downside profit potential around their overall operations and particularly around anything related to their funds management division.
ComputerShare Ltd (CPU.AX) – With all their Merger and Acquisition activity (recession anyone ? I don’t think so in Computershare land) in addition to related interest rate income – it would make sense that these guys are going to announcement a pretty good return. Not sure what their outlook for 2009 will be however and this could impact future profit outlooks.
Telstra (TLS.AX) – The telecommunications sector is one sector which has remained quite strong despite the current market conditions, so its fair to assume that Telstra’s results are going to be quite positive and future short-term guidance is going to be strong. I think that overall, the biggest risk regarding Telstra is the regulatory aspect in December. This might have a significant impact on the overall future outlook.
14 August 2008
Leighton Holdings Ltd (LEI.AX) – Not sure there will be much different from the general market consensus on Leighton. You would imagine that the future outlook statements will be cautious (at best) and that they will have thin margins overall. No doubt their management will be providing higher than expected enthusiasm on domestic and overseas market which may influence future outlook.
Stockland (SGP.AX) – Given the current state of the property market – you would think that a more cautious future outlook is going to be released on the back of a slowing residential housing market and higher overall interest costs. Would think that Stockland is going to have its profits inline with market expectation given the numerous indicators pointing to a housing slowdown. Might have some positive Western Australia results, but not sure about the eastern states.
