Australia Extends Rebound to Day Three; Billabong, Ausdrill in Focus

Marcus Jacob
27 Aug, 2015
New York City

Australian market indexes gained for the third day in a row in the back of resurgent international markets. Australian dollar weakened to 71 U.S. cents. Billabong, the sportswear retailer swung to annual net profit. Ausdrill annual loss widened.

[R]5:30 PM Sydney, Australia – Australian market indexes gained for the third day in a row in the back of resurgent international markets. Australian dollar weakened to 71 U.S. cents. Billabong, the sportswear retailer swung to annual net profit. Ausdrill annual loss widened.[/R]

Australian market indexes rebounded on the back of higher closings in New York and in Europe in overnight trading.

Markets in Shanghai indexes gyrated wildly for the eighth day in a row and dropped in the negative but managed to surge in the final thirty minutes to soar 5% at close.

Australian dollar closed at 71.03 U.S. cents and in stock trading turnover slipped to 923 million shares worth $6.4 billion.

At close, the ASX 200 Index jumped 60.50 or 1.2% to 5,233.30 and the broader All Ordinaries Index gained 63.70 to 5,242.60.

In commodities trading, gold plunged US$26 to US$1,153 an ounce and Brent crude jumped US$1.20 cents to close at US$44.34 a barrel.

Australian Stock Movers

Ausdrill Limited soared 7.1% to 22.5 cents after the diversified mining services reported sales revenues in the year ending in June dropped 7.3% from a year ago to $767.6 million from $827.9 million.

Net loss in the year widened to $175.6 million compared to $42.6 million and diluted loss per share increased to 56.24 cents from 13.64 cents in the same period a year ago.

The diversified mining services company take a loss to impairment charges of about $202.8 million.

Billabong International Limited gained 2.4% to 64.5 cents after the surf, skate and sports apparel retailer said revenues in the year ending in June increased 2.9% from a year ago to $1.06 billion from $1.03 billion.

Net in the year swung to profit $4.15 million compared to a loss of $233.7 million and diluted earnings per share swung to 0.5 cents form a diluted loss per share of 28.6 cents in the same period a year ago.

Nine Entertainment Co Holdings Limited jumped 3.5% to $1.50 after the media and entertainment reported revenues in the year ending in June rose 4.5% from a year ago to $1.38 billion from $1.32 billion.

Net in the year swung to a loss of $593.3 million compared to profit of $55.3 million and diluted loss per share swung to a 64 cents from a diluted earnings per share of 3 cents in the same period a year ago.

The media company write-downs non-cash charges of about $732 million on licence and goodwill values.

Northern Star Resources Ltd advanced 2.1% to $1.95 after the gold producer said revenues in the year ending in June surged 184.7% from a year ago to $845.7 million from $297 million.

Net profit in the year surged 327% to $94.8 million compared to $22.2 million and diluted earnings per share jumped to 15.5 cents from 4.5 cents in the same period a year ago.

Ramsay Health Care Limited soared 5.5% to $63.68 after the private hospitals operator reported revenues in the year ending in June jumped 49.5% to $7.37 billion from a year ago to $4.93 billion.

Net profit in the year surge 27% to $385.5 million compared to $303.8 million and diluted earnings per share increased to 183.5 cents form 143 cents in the same period a year ago.