AusGroup    Last:0.009   -

AUSGROUP: 1H09 revenue up 28.8% to reach A$260.5 m

when  PAiD  cOverage  Is  dIscOntInued

tIme  tO  CHERRY  PiCK

accUmUlatIOn  nEEds  tO  bE

lOw kEy  fOr  maxImUm  EffEct

pharoah88      ( Date: 24-Aug-2010 10:05) Posted: AusGroup Ltd: Discontinuing coverage on low visibility Summary: While AusGroup Ltd’s 4Q10 revenue of A$123.2m actually rose 4.3% YoY, these gains were more than erased with gross margin falling a whopping 12.9 percentage points versus 4Q09 to 7.7%. 4Q’s loss after tax of A$5.3m compares to a profit of A$6.9m in 4Q09. We note that even if we strip out the Cactus impairment charge, AusGroup is running at a net loss for the quarter. For FY11, AusGroup expects higher revenue levels compared to FY10 but earnings are expected to remain weak. While management expects stronger tendering activity in 2H11, the key caveat is that the Resource-Tax overhang and global macro uncertainties have made “it difficult to accurately predict project opportunity timings”. At the same time, the group is moving to “rationalize” its Australian manufacturing & fabrication business. This entails both scaling back capacity and selling off equipment; our concern is this could further impact earnings in the coming quarters. With continued lack of visibility on earnings recovery and ongoing restructuring activity at Cactus and the fabrication business, a concrete turnaround in performance looks a long way off. As such, we are DISCONTINUING COVERAGE on the group [prev: HOLD, FV:S$0.45].  (Meenal Kumar)

 

BHP profit more than doubles to $12.7b

SYDNEY

Net profit for the year to June 30 was US$12.7 billion ($17.2 billion),up from US$5.9 billion the year before, the Melbourne-based company said in a statement. Net debt fell to US$3.3 billion, down 41 per cent from last year.

Revenue for the year was US$52.8 billion, up 5.2 per cent from US$50.2 billion a year earlier amid record sales of iron ore, metallurgical coal and petroleum.

Despite the strong result, the company said it remained “cautious” on the short-term outlook for the global economy.

The company declared a final dividend of 45 cents a share, up from 41 cents the year before.

Last week, BHP launched a hostile US$38.5 billion takeover offer for Canadian fertiliser company Potash Corp of Saskatchewan Inc. On Monday, Potash said its board voted unanimously to reject the bid.

Shares of BHP closed down 10 cents, or 0.3 per cent, to AU$37.44 ($45.1) on the Australian stock exchange yesterday. — BHP Billiton, the world’s biggest miner, said yesterday its full year earnings more than doubled, as the company slashed its debt and enjoyed record demand for iron ore.AP

 

AusGroup Ltd: Discontinuing coverage on low visibility

Summary: While AusGroup Ltd’s 4Q10 revenue of A$123.2m actually rose 4.3% YoY, these gains were more than erased with gross margin falling a whopping 12.9 percentage points versus 4Q09 to 7.7%. 4Q’s loss after tax of A$5.3m compares to a profit of A$6.9m in 4Q09.

We note that even if we strip out the Cactus impairment charge, AusGroup is running at a net loss for the quarter.

For FY11, AusGroup expects higher revenue levels compared to FY10 but earnings are expected to remain weak.

While management expects stronger tendering activity in 2H11, the key caveat is that the Resource-Tax overhang and global macro uncertainties have made “it difficult to accurately predict project opportunity timings”.

At the same time, the group is moving to “rationalize” its Australian manufacturing & fabrication business. This entails both scaling back capacity and selling off equipment; our concern is this could further impact earnings in the coming quarters. With continued lack of visibility on earnings recovery and ongoing restructuring activity at Cactus and the fabrication business, a concrete turnaround in performance looks a long way off.

As such, we are DISCONTINUING COVERAGE on the group [prev: HOLD, FV:S$0.45].  (Meenal Kumar)

 

Need to see whether the drop is caused by One-Off event or regular operations ?

Need to see whether SUPER PROFIT TAX will be REMOVED after the Election ?

Those who it is the bOttOm [like when Genting was S$0.850], they will CHEERY  PiCK  now.

The FACT that AUSGROUP declares DIVIDEND at this UNCERTAIN TIME is a SIGN of MANAGEMENT's CONFIDENCE that this is their bOttOm.

Otherwise,  MANAGEMENT would nOt  WASTE its CASH nOw.

stkoh78      ( Date: 24-Aug-2010 00:57) Posted: So will Ausgroup rally or drop tomorrow drop on this news => The Group’s net profit attributable to equity holders for FY2010 decreased by 89.2% to AU$2.4 million.  or rally on this news => Proposed final cash dividend of 0.64 Singapore cents per share pharoah88      ( Date: 23-Aug-2010 19:44) Posted:   Latest News 23 August 2010 AusGroup FY2010 earnings at AU$2.4 million  Net cash flow of AU$37.3 million from operating activities  Cash and cash equivalents of AU$26.4 million as at 30 June 2010  Order Book stands at AU$362 million (as of end July 2010)  Proposed final cash dividend of 0.64 Singapore cents per share AusGroup Limited (‘AGL’ or ‘AusGroup’ or the 'Group') today announced its results for the three/twelve months ended 30 June 2010 (‘4Q FY2010/ FY2010’).

 

So will Ausgroup rally or drop tomorrow

drop on this news => The Group’s net profit attributable to equity holders for FY2010 decreased by 89.2% to AU$2.4 million.

 or rally on this news => Proposed final cash dividend of 0.64 Singapore cents per share

pharoah88      ( Date: 23-Aug-2010 19:44) Posted:   Latest News 23 August 2010 AusGroup FY2010 earnings at AU$2.4 million  Net cash flow of AU$37.3 million from operating activities  Cash and cash equivalents of AU$26.4 million as at 30 June 2010  Order Book stands at AU$362 million (as of end July 2010)  Proposed final cash dividend of 0.64 Singapore cents per share AusGroup Limited (‘AGL’ or ‘AusGroup’ or the 'Group') today announced its results for the three/twelve months ended 30 June 2010 (‘4Q FY2010/ FY2010’).

 

 

Latest News

 

 

Thanks for the posting.

benjitan      ( Date: 13-Aug-2010 14:10) Posted: AusGroup Awarded New Contracts AusGroup Limited is pleased to announce the award of several contracts across the AusGroup business including fabrication, construction and scaffolding services projects. The first contract is the award of a AU$25 million contract by Rio Tinto. AusGroup’s subsidiary, AGC Industries Pty Ltd, was awarded the contract for the Cape Lambert Port A Sustaining Works Project comprises of the implementation of a replacement iron ore product screen building located at Cape Lambert in North Western Australia. The scope of work includes the fabrication and construction of a new screen building, feed and discharge conveyors and associated transfer station consisting of 840 tonne of structural steel, platework, conveyor systems and installation of 150 tonnes of client supplied mechanical equipment. Completion is expected in May 2011. AusGroup also secured a AU$12 million contract for scaffolding installation services for BHP Billiton Worsley Alumina Pty Ltd. The contract was awarded to MAS Australasia Pty Ltd, a subsidiary of AusGroup Limited, who will undertake the provision of scaffolding installation services to support construction works for BHP Billiton Worsley’s Efficiency and Growth Project, located in South Western Australia. Completion is scheduled for August 2011. AusGroup’s Managing Director John Sheridan said “We are delighted to secure these contracts and look forward to delivering these projects to the complete satisfaction of our clients.” With these new major awards and other various project awards, the Group’s order book now stands at AU$362million.

 

AusGroup Awarded New Contracts

AusGroup Limited is pleased to announce the award of several contracts across the AusGroup business including fabrication, construction and scaffolding services projects.

The first contract is the award of a AU$25 million contract by Rio Tinto. AusGroup’s subsidiary, AGC Industries Pty Ltd, was awarded the contract for the Cape Lambert Port A Sustaining Works Project comprises of the implementation of a replacement iron ore product screen building located at Cape Lambert in North Western Australia. The scope of work includes the fabrication and construction of a new screen building, feed and discharge conveyors and associated transfer station consisting of 840 tonne of structural steel, platework, conveyor systems and installation of 150 tonnes of client supplied mechanical equipment. Completion is expected in May 2011.

AusGroup also secured a AU$12 million contract for scaffolding installation services for BHP Billiton Worsley Alumina Pty Ltd. The contract was awarded to MAS Australasia Pty Ltd, a subsidiary of AusGroup Limited, who will undertake the provision of scaffolding installation services to support construction works for BHP Billiton Worsley’s Efficiency and Growth Project, located in South Western Australia. Completion is scheduled for August 2011.

AusGroup’s Managing Director John Sheridan said “We are delighted to secure these contracts and look forward to delivering these projects to the complete satisfaction of our clients.”

With these new major awards and other various project awards, the Group’s order book now stands at AU$362million.

 

...it was an impairment loss by its subsidiary & reflected as an expense thus contributing to its loss for the 4th.quarter. But it is expected to be still profitable for the full year ended 30 June 2010.

 

10 August 2010

Profit guidance for fourth quarter ended 30 June 2010

The Board of Directors of AusGroup Limited (the 'Company' and together with its subsidiaries, the 'Group') deems it appropriate to announce that the Group is expected to report a loss for the fourth quarter ended 30 June 2010.

 

On Thursday, AusGroup re-test its major resistance at $0.54 and closed at $0.525 with high volume of 7.81 million shares traded.

Separating lines occurred.  If the lines occur during an uptrend and the first line is black and the second is white then this suggests that the uptrend should continue. However we would like to highlight that we do not like the long upper shadow which indicates profit taking at resistance level.

Both RSI & MACD are turning bullish as MACD lines about to perform a golden cross.

Important Resistance of AusGroup: $0.54

Immediate Support of AusGroup: $0.515

Currently the prices are resisted by the technical/100 days MA at $0.54.

We would not encourage any long term investors to enter this stock as prices are trending in a long term falling channel since Sept 2009.

As of now, AusGroup are supported by the short term rising line and prices tried to break out of $0.54 with high volume today but failed.

SEE ANALYSIS FOR SMRT


If Ausgroup managed to break out of the major resistance at $0.54 with high volume, it could be a sign of bullish and more upside will be expected.

 

down trend channel

REVERSAL ?

pharoah88      ( Date: 26-Jul-2010 08:39) Posted:

 

Thanks for this Interesting news. Let's see if it will do good for ausgrp.

benjitan      ( Date: 05-Aug-2010 10:30) Posted: Perhaps due to the recent news (yesterday) on renewed interest in spending/investment by mining giants. Rio Tinto plans to invest an additional US$790m (375 million dollars for marine works related to the construction of a new wharf at its Cape Lambert port, in the iron-rich Pilbara region, and 415 million dollars for equipment and infrastructure) to expand the capacity of its iron ore operations in Western Australia's Pilbara region (Western Australia). Rio Tinto and BHP Billiton are hoping to get regulatory approval to combine their operations at Pilbara into a joint venture. Both RT and BHP are already clients of AusGroup. And the super tax (Australia) is likely to be scrapped by the opposition Liberal-National coalition who edged ahead of the Labor party in the polls for the first time (the election will take place on 21 August)...

 

Perhaps due to the recent news (yesterday) on renewed interest in spending/investment by mining giants. Rio Tinto plans to invest an additional US$790m (375 million dollars for marine works related to the construction of a new wharf at its Cape Lambert port, in the iron-rich Pilbara region, and 415 million dollars for equipment and infrastructure) to expand the capacity of its iron ore operations in Western Australia's Pilbara region (Western Australia). Rio Tinto and BHP Billiton are hoping to get regulatory approval to combine their operations at Pilbara into a joint venture. Both RT and BHP are already clients of AusGroup.

And the super tax (Australia) is likely to be scrapped by the opposition Liberal-National coalition who edged ahead of the Labor party in the polls for the first time (the election will take place on 21 August)...

 

Ausgrp is active today. Not sure, someone buying or selling? hope to see .60c again : )

 

 

 

(RTTNews) - That outlook appeared to be under threat, however, by former Prime Minister Kevin Rudd's plans for a 40% tax on miners' profits. Several mining giants threatened to pull out investment from the country and halt projects because of the resource super tax, which they said seriously risked Australia's competitiveness.

But a compromise agreement reached by Rudd's successor, Julia Gillard, has now reduced the tax rate to 30% for coal and iron ore miners. Petroleum and gas operation firms will still pay a 40% tax rate.

Last month, a government agency forecast commodity exports to rise strongly in the current financial year.

The Australian Bureau of Agricultural and Resource Economics said commodity export earnings are set to rise by 23.4% in 2010/11 to A$202.5 billion.

by RTT Staff Writer

For comments and feedback: contact editorial@rttnews.com

 

 

Rather slowing moving but looks like accumulating now, may see improvement soon. Be patient, chart looks healthy, it will come.

 

quite disappointing this counter. was one of my fav but sold it when it fell to 60cent. all the contracts never make it?? hmmm

pharoah88      ( Date: 08-Jul-2010 12:08) Posted: AusGroup is a clOwn AusGroup is an Australian that Australian corporate do not tRUST AusGroup did not get any of the GORGON Gas Project cOntracts iNstead  Malaysian cOntractors gOt the Gas cOntracts