Here are the headlines from the S&P/ASX 200 (INDEXASX: XJO)(ASX: XJO) and Australian finance circles on Friday morning.
But first, here are the data points:
Australian Dollar ($A) (AUDUSD): 72.63 US cents
Dow Jones (DJI): down 0.5%
Oil (WTI): $US70 per barrel
Gold: $US1,206 per ounce
Australian Investing News
Making finance news today are a host of ASX 200 companies which release their financial results as part of the last day of Reporting Season.
Reece Limited (ASX: REH), Australia’s leading plumbing supplies company, released its 2018 financial results to the market today revealing an 11% jump in revenue to $2.69 billion with a profit of $225 million, up 6%.
“We’ve achieved a record financial performance this year and realised a transformational opportunity by completing the acquisition of MORSCO in July 2018,” CEO Peter Wilson said.
As we reported here, Reece recently announced the $1.9 billion acquisition of US-based MORSCO Inc to enter the $US80 billion USA market.
“Key priorities for the year ahead are the combination of MORSCO with the Reece Group and continuing to provide our customers with leading products and a customised service,” Mr Wilson noted.
In a separate announcement, Reece announced the resignation of directors Bruce W.C. Wilson and Ronald Pitcher, who served for a combined 63 years. Andrew Wilson, son of Bruce Wilson, will take up a non-executive directorship.
Harvey Norman Holdings Limited (ASX: HVN) released its 2018 annual report showing a 17% fall in profit before tax and a final dividend of 18 cents per share fully franked. (click here to learn what franking means)
“From humble beginnings when we introduced the Harvey Norman brand to overseas markets in 1997, the Harvey Norman brand has grown to become a strong global player with solid results achieved by the 89 company-operated stores across seven countries,” Chairman Gerry Harvey said.
“We fully intend to capitalise on this excellent performance overseas, and plan to invest substantially in growing our offshore Harvey Norman store network, particularly in South East Asia.”
Construction business MACA Limited (ASX: MLD) has been awarded a ‘life of mine’ contract with Carabella Resources for mining services at the Bluff Coal project in Queensland.
MACA said the project is expected to generate $700 million of revenue over 10 years. MACA will finance a portion of the initial works using a working capital facility of up to $25 million with contracted works expected to commence in the second quarter of FY19.
“The project will broaden MACA’s commodity exposure and geographical footprint,” the company said. “The contract takes MACA’s WIH position to $1.982B and The Company reaffirms the revenue guidance of approximately $620M.”
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