Retail property giant Westfield Group
(ASX:WDC) has reported a first half loss this morning largely due to asset revaluations.
Net loss for the six months to June 30 was $708 million, compared to a profit of $1.3 million in the first half of 2008.
The result included a non-cash mark to market gains on financial instruments of $932 million and asset revaluations of $2.9 billion.
However Westfield's operating earnings, its preferred measure of profitability, rose 12 per cent to $1.04 billion with operating earnings before interest and tax up 18 per cent to $1.45 billion.
Managing directors Peter Lowy and Steven Lowy say that the company’s Australian portfolio is performing above expectations while conditions are stabilising, albeit at lower levels in the more challenging environments in the U.S, U.K, and New Zealand.
Westfield says assuming no material change in economic conditions or currency exchange rates, guidance for 2009 remains unchanged with operational earnings and distribution forecast to be in the range of 94 cents to 97 cent a security. Westfield Group posted a $2.2 billion loss in 2008.
Toll road operator Transurban Group (ASX:TCL) has reported a narrower loss for the year compared to the year before.
Net loss of $24.6 million, an improvement on the $142 million loss recorded for the same period last year.
The company says its portfolio of prime assets in Australia displayed resilient traffic numbers in the year to June 30, contributing to a 7.6 per cent increase in toll revenue to $778.7 million.
Transurban says cost reductions of $26.6 million were made to the ongoing cost structure of the business, above its target of $21.4 million.
CEO Chris Lynch says the business is well positioned with a more appropriate cost structure and strong capital discipline.
Transurban declared a final dividend of 11 cents a share. Looking at the past five years, Transurban Group is yet to post a net profit.
Gold miner Lihir Gold Ltd (ASX:LGL) says it has made a US$301 million loss for the half year to June 30 due to an impairment charge related to its Ballarat operations.
The result was impacted by a one-off charge of US$409.1 million after tax, associated with the write-down of its Ballarat assets.
The company says underlying profit was a record US$154.9 million, up 130 per cent from $67.4 million the year before.
CEO Arthur Hood says the strong underlying result reflect a continued outstanding performance at the company’s cornerstone asset of Lihir Island in Papua New Guinea.
Lihir says the outlook for the remainder of 2009 is for continued solid production from its three producing mines, taking full year production to between 1 and 1.2 million ounces. Lihir Gold pulled itself out of the red to post a profit of $109.3 million in 2008.
