The Australian share market closed 0.7 per cent lower today, dragged down by the heavyweight miners and major banks. Investor sentiment was affected by mixed profit results from corporate’s and civil unrest in the Middle East.
The S&P/ASX200 Index closed 37 points weaker at 4,900. On the futures market, the SPI is down 27 points.
Company news: Challenger Ltd (ASX:CGF) has posted a half year net profit of $117.9 million, down 33 per cent from the same time the year before. The cash operating earnings jumped 25 per cent to $192 million, and the total assets under management, grew by eight per cent to $25.8 billion. Challenger upgraded its annual 2011 cash earnings guidance by $15 million to $390 million. The guidance is more than 15 per cent higher than the 2010 full year result. Full year growth targets were also upgraded for life products to 50 per cent for retail sales. Also about 10 per cent for retail net book growth. Shares in Challenger are up 0.99 per cent to close at $5.08
Engineer, UGL Ltd (ASX:UGL) has posted a half year net profit $65.03 million, up 18 per cent from the same time the year before. It says maintenance related work, plus major construction and engineering projects, will position the business well for the second half of the year. UGL expects to deliver 10 to 15 per cent profit growth in 2010 to 2011. Revenue for the half year rose 3.2 per cent to $2.14 billion. The company declared an interim dividend of 32 cents per share, fully franked. Shares in UGL are down 0.45 per cent to close at $15.33
NIB Holdings Ltd (ASX:NHF) has upgraded its full-year guidance despite a 9 per cent fall in first-half net profit.
The health insurer predicts the annual pre-tax underwriting profit, to be between 55 and 58 million dollars. The previous guidance was between 50 and 55 million dollars.
Furniture retailer, Fantastic Holdings Ltd (ASX:FAN) expects growth in 2011 after posting a 23 per cent fall in profit, in the second half of 2010.
Fantastic is confident that full year sales, comparable store sales and profit, will rise despite expected ongoing consumer caution and possible interest rate rises.
West Australian Newspapers Holdings Ltd (ASX:WAN) reported a 1.3 per cent rise in its first half net profit. It also outlined plans to conduct a capital raising to fund its purchase of Seven Media Group. Oil and gas company, Woodside Petroleum Ltd (ASX:WPL) has posted a 7 per cent improvement in net profit to $1.6 billion for the 2010 financial year.
In the best and worst performers: The best performing sector at close was Consumer Discretionary, with the index rising 3 points to close at 1,558. The worst performing sector was Telco Services, falling 51 points to close at 960. The best performing stock in the S&P/ASX200 was Caltex Australia. Shares rose 7.05 per cent to close at $15.33. Today the company announced a 49 per cent jump in full year net profit. Shares in Austar United Communications and Kingsgate Consolidated also lifted today. The worst performing stock was Murchison Metals. Shares fell 5.5 per cent to close at $1.375. Shares in Telsta and White Energy Company also dropped.
In commodities, gold is trading at $US1,395 an ounce. Light crude is up $1.03 at $US87.23 a barrel.
