Australian Stocks Extend Weekly Advance, Woolworths Net Drops 13%

Marcus Jacob
28 Aug, 2015
New York City

Australian market indexes gained and extended weekly advance. For the week, the ASX 200 index closed up 0.8%. Furniture and electronics retailer, Harvey Norman said annual net soared. Woolworths said full-year profit plunged 12.5%.

[R]5:30 PM Sydney, Australia – Australian market indexes gained and extended weekly advance. For the week, the ASX 200 index closed up 0.8%. Furniture and electronics retailer, Harvey Norman said annual net soared. Woolworths said full-year profit plunged 12.5%.[/R]

Australian market indexes extended weekly advance after falling sharply in the first two days of trading.

Indexes advanced after commodities stabilized and markets in New York and in Europe advanced for the second day.

Australian dollar closed at 71.67 U.S. cents and in stock trading turnover rose to 1.08 million shares worth $7.4 billion.

At close, the ASX 200 Index jumped 30.30 or 0.6% to 5,263.60 and the broader All Ordinaries Index increased 32.10 to 5,274.70.

For the week, ASX 200 rose 0.8%.

In commodities trading, gold declined US$21 to US$1,132 an ounce and Brent crude future for immediate month delivery closed unchanged at US$42.56 a barrel.

IPO

Beston Global Food Company Limited plunged 10% to 31.5 cents after the food investment company priced its stock at 35 cents.

The stock opened at 30 cents and closed at 31.5 cents.

Australian Stock Movers

Harvey Norman Holdings Limited slipped 2.2% to $4.42 after the furniture and consumer products retailer reported revenues in the year ending in June jumped 7.3% from a year ago to $1.62 billion.

Net profit in the year surge 26.7% to $268.9 million compared to $212.2 million and diluted earnings per share increased to 24.48 cents form 19.68 cents in the same period a year ago.

IOOF Holdings Limited ((IFL)) gained 1.7% to $9.11 after the financial services provider said revenues in the year ending in June soared 27% to $938.3 million from a year ago to $740.2 million.

Net profit in the year jumped 36.6% to $138.4 million compared to $101.3 million and diluted earnings per share rose to 47.4 cents form 43.1 cents in the same period a year ago.

Telstra Corporation Ltd decreased 1.4% to $5.82 after the phone company confirmed that it is in talks to invest in a wireless joint venture in the Philippines-based San Miguel Corporation.

Woolworths Limited increased 1.3% to $27.40 after the supermarket operator reported revenues in the year ending in June slid 0.2% to $60.68 billion from a year ago.

Net profit in the year tumbled 13% to $2.14 billion compared to $2.46 billion and diluted earnings per share dropped to 170.3 cents form 195.6 cents in the same period a year ago.