Assore released its results for the year ended 30 June 2017 yesterday. The group reported a 199% increase in headline earnings to R5.2bn, sharply higher than the R1.7bn recorded previously. This surge was primarily due to increased levels of headline earnings from Assmang, as well as a strong performance from Dwarsrivier Chrome Mine. On a per share basis, earnings came in at 4,867 cents, up from 1,491 cents previously, while headline earnings surged by 199% to 5,049 cents. The board declared a final dividend of 800 cents per share, up from 500 cents a year ago, taking the full-year dividend to 1,400 cents.
Best Buy shed a massive 11.93% on Tuesday, despite the group releasing better-than-expected quarterly results. During the period, the group recorded revenues of $8.94bn, 4.8% higher than those reported a year ago and easily surpassing expectations of $8.66bn. In addition, same-store sales grew by 5.4%, sharply higher than estimates of a 2.2% increase, while international stores saw sales increase by 4.7%. Overall, Best Buy saw net income increase to $209mn, or 67 cents per share, up from the $198mn, or 61 cents per share, recorded a year ago. On an adjusted basis, earnings per share stood at 69 cents, beating expectations of 63 cents per share. It seems comments by Best Buy CEO Hubert Joly on the analyst call about the sustainability of the earnings turnaround spooked markets.
On Monday, ExxonMobil confirmed its massive Baytown operation had suffered damages from the impact of Hurricane Harvey. This comes after a roof at the Baytown facility, which is second largest refinery in the US, partially sank due to the heavy rain. Although the group has confirmed the incident, it has not divulged any details as to the extent of the damage. Reports have also surfaced stating the damages may lead to potential chemical releases. ExxonMobil has already reported to the Texas environmental regulator and assured them repairs are underway and any air emissions linked to the damage will end by Friday.
On Friday, MMI released a trading statement for the year ended 30 June 2017. As it stands, the group currently expects diluted core headline earnings per share, which is its main earnings measure to monitor the operational performance of the group, to come in at between 190 cents and 210 cents. As a result, MMI expects this measure to come in between -5% and 5% compared to the 200 cents reported previously. In contrast, basic earnings per share are set to slump by between 20% and 30%, to come in at between 96 cents and 110 cents, down from the 138 cents reported a year ago. The group will release its results for the period on the 6th of September 2017.
On Wednesday, HP released slightly better-than-expected quarterly results. During the period, total revenues increased by 10% to come in at $13.1bn, easily surpassing estimates of $12.31bn. This uptick was mainly due to a 12% increase in revenue from its personal systems unit, which sells notebooks, desktops and workstations. Despite the increase in revenues, net earnings from continuing operations declined to $696mn, or 41 cents per share, down from the $843mn, or 49 cents per share, reported previously. On an adjusted basis, earnings came in at 43 cents per, marginally higher than expectations of 42 cents per share.
On Tuesday, IPL surged 6.11% to close at R200 per share after it released results for the year ended 30 June 2017. In it, revenue increased by 1% to R119.5bn, while operating profit grew by 2% to R6.5bn. However, despite the uptick, the group reported an 18% decline in its profit before tax, negatively affected by foreign exchange losses of R619mn. As a result, earnings per share dropped by 14% to come in at 1,339 cents, while headline earnings per share declined by 10% to 1,390 cents. The board cut IPL’s final dividend to 330 cents, down from 425 cents a year ago, resulting in an 18% slump in the full-year dividend to 650 cents.
On Friday, Deere shed 5.38%, or $6.67, to close at $117.31 per share, weighed down by the release of mixed quarterly results. For the third quarter ended 30 July 2017, the group saw total equipment sales increase to $6.83bn, up from $5.86bn previously but marginally lower than estimates of an uptick to $6.92bn. In contrast, the group managed to beat earnings expectations, with Deere recording net income of $641.8mn, or $1.97 per share. This figure was 31.3% higher than that reported a year ago, helped along by a lower effective tax rate.
On Thursday, Wal-Mart shed 1.58%, or $1.28, as it moved to close at $79.70 per share, despite the group releasing better-than-expected quarterly results. During the previous quarter, Wal-Mart saw revenues come in at $123.36bn, 2.1% higher than reported a year ago and edged the estimates of $122.84bn. This was mainly due to a 3.3% increase in sales from its US-based stores, while online initiatives recorded a 60% increase in the number of transactions processed. Meanwhile, US same-store sales rose by 1.7%, in-line with expectations. The group recorded adjusted earnings of $1.08 per share, surpassing estimates of $1.07 per share.
Yesterday saw Cisco release strong 4th quarter results, with the group meeting expectations for earnings while surpassing estimates for revenues. During the quarter, Cisco recorded revenues of $12.1bn, 4% lower than that reported a year ago but marginally higher than expectations of $12.06bn. As a result, Cisco has now seen its revenue on an annualised basis decline for seven consecutive quarters. This drop was partly due to a 9% decline in revenue in its switching and next-generation routing segment. Adjusted earnings stood at 61 cents per share, in-line with expectations.
On Tuesday, Home Depot shed 2.65% to close at $150.17 per share, despite the group releasing better-than-expected results. During the 2nd quarter, the home improvement retailer saw revenues come in at $28.11bn, beating estimates of $27.84bn. In addition, same-store sales grew by 6.3%, much higher than expectations of a 4.9% increase. This uptick in sales comes as the group continues to benefit from an improving housing market in the US. Overall, Home Depot saw net income for the quarter grow to $2.7bn, or $2.25 per share, up from the $2.4bn, or $1.97 per share, recorded in the previous corresponding period and better than estimates of $2.22 per share.