Australian Markets

Toll Holdings (TOL) have posted a 32 percent fall in their net profit to $107 million for the first half of the Australian financial year. Toll Holding stocks had a fall of $1.55, bringing the stock price to its 6 month low yesterday. The transport and logistics company blamed a 6 percent fall in revenue on the consequences of the GFC (global financial crisis).

Budget airline carrier Virgin Blue (VBA) posted a better than expected profit for the first half of the financial year, reporting a net profit of $62.5 million (compared to the corresponding period in 2008 where VBA lost $101 million). No interim dividends for Virgin Blue.

Mortgage Choice (MOC) has seen a healthy 22 percent increase of their half year net profit to $7.8 million. Mortgage Choice is an independently owned mortgage broker which offers home loan packages from 23 lenders. Operating revenue fell as trailing commissions from the existing loan book fell. However, the company’s income was buoyed by $28 million worth of new lending as well as a 23 percent increase over the previous 12 months of additional housing finance commitments.

Commonwealth Bank (CBA) has agreed to pay Storm Financial victims more than $200 million. Storm Financial was a Townsville-based financial planner which in 2008 was placed into liquidation after a collapse of their business model which involved investors withdrawing equity from the value of their homes to invest into the (then) booming share market.

Centro Retail Group (CER) have seen a loss of $2.06 billion in the same corresponding period last year turn into a profit of $196.68 million this corresponding period of six profits ending December 2009. CEO of Centro Retail Trust, Glenn Rufrano noted that the net profit was boosted by advantageous foreign exchange movements and slower property valuation declines.

Asciano (AIO), a rail and ports operator, has reported their first company profit since listing three years ago. They have said that their EBITDA (arnings before interest, tax, depreciation and amortisation) to be at the upper end of their previous forecast of $675 million to $700 million. The company’s net profit rose from a net loss of $93.4 million the same period last year to $79.1 million profit for the six months to December.

Pacific Brands (PBG) has seen their first half profit jump to $22.2 million compared to the previous years’ corresponding period where the company lost $150 million. Pacific Brands is a clothing and bedding maker who owns famous Australian brands such as Bonds, King Gee, Mossimo, Clarks and Volley. Last year Pacific Brands put 1850 Australian workers out of work as they announced that most of their manufacturing operations were to move to China.

Suncorp Metway’s (SUN) has cut their interim dividend to 15 cents (down 5 cents on same dividend last year) although the company's first half profit has dramatically risen by 41 per cent to $364 million. The company has reduced their dividend to preserve cash and the profit figure was driven by a recovering insurance market and a reduction in insurance claims.

Australia based Macquarie Group (MQG) Macquarie group is apparently one of the bidders who is currently racing for the stake of Royal Bank of Scotland in RBS Sempra Commodities. According to some sources, as many as three companies placed their bids for that stake for the joint venture with US utility and natural gas company Sempra Energy. JP Morgan and Deutsche Bank are the two other organizations that have placed their bids.

Commonwealth Bank of Australia (CBA) has announced that it will earn $2 billion profit in the first half of 2009. The company said that it would outperform market expectations by as much as 20 per cent with interim cash profit as large as $2 billion. The ASX requires listed companies to make public any information which substantially differs from consensus earnings estimates. CBA's announcement comes ahead of its interim results which are scheduled for February 11th.