It also manages all aspects of shopping centre development, from design and construction through to management and marketing.

FY12 results

Today WDC reported an 18.3% rise in FY12 net profit to $1.7 billion. Funds from operations – which strip out asset revaluations – climbed 6% to $1.5 billion.

Net property income rose 7%, with the UK contributing a large part of the growth as the London Olympics led to an increase in shopping centre traffic.

There was positive 2H momentum in the US, with net operating income growth exceeding previous guidance as specialty sales rose due to a record number of shops opened.

Another highlight was the high occupancy rates. Global occupancy was 97.8%, up 30 basis points on-year with most of the growth coming from the US portfolio.

Buyback extended

WDC declared a final distribution of 24.5 cents, bringing the full year distribution to 49.5 cents. This was a 2.3% increase on FY11’s distribution. The group forecast an FY13 distribution of 51 cents, representing a yield of 4.5% at current prices.

Although this is not as high as some other high yielding stocks in the market, WDC did extend its share buyback for another 12 months, a move likely to provide a good degree of support for the share price.

Outlook

WDC commenced $1.4 billion in new projects during 2012, and forecast another $1.25 – $1.5 billion in new projects during 2013. The overall development pipeline now stands at $12 billion, providing plenty of scope for WDC to continue delivering steady profit growth.

With the US economy continuing to heal from the GFC, we expect stronger retail activity in the group’s largest market. In our view that will help drive the share price higher in the near-to-medium term.

This article was distributed to our members on February 27th, if you would like further information you can sign up for FREE 7day recommendations and access all our research files on not only WDC but all our current trading ideas. Simply click here and starting trading today.

The Westfield Group WDC Share To Watch is a post from: Australian Stock Report Share Tips

Related posts:

1. Share To Buy Mirvac Group MGR

The Edikan Gold Mine in Ghana has 5.6Moz of Measured and Indicated gold resources, including reserves of 3.4 million ounces of gold, and 1.7Moz Inferred gold resources. Production began at the mine in the 3rd Quarter of 2011.

The Sissingue Gold Project which is part of the Tengrela Gold Project. It is the group’s most advance non-producing project.

Quarterly Production

As mentioned, EGM has been producing gold since the third quarter of 2011.  Since the initial ramp of production PRU has reported four quarters worth of production numbers.

The first two quarters were within guidance, however the last two set of figures released have missed. The December 2012 quarterly production result was the more disappointing of the two misses.

Gold production over the quarter was 51,090 ounces, 13% below the lowered guidance provided in November and also below the previous quarter’s production of 52,610 ounces.

Cash costs for the December quarter was $588 per ounce, 2.3% higher than the revised guidance and much higher than the $475 per ounce in the September quarter. The group blamed the production short-fall principally on lower crusher output since its initial downgrade on 23 November 2012.

The Sissingue Gold Project

The Sissingue Gold Project located in the Ivory Coast is the project PRU is planning on getting to production. The group is targeting a mid-2014 commissioning date, but given its 12-month build time from the start of construction we see this timeframe as unrealistic.  PRU still needs to:

 
Finally PRU will need to approve development of the project, which it has put on hold pending clarity of the some of the aforementioned tasks.

Outlook

PRU has missed two quarterly production results in a row. The production issue of late is relating to a mechanical issue to do with the drive shaft for the crusher, which has results in poor mill utilisation.

The drive shaft is scheduled to be replaced in February, but given the downtime that will be required for the replacing and testing of the new shaft we can’t see the group meeting its previous guidance range of between 127,000 to 143,000 ounces.

PRU offers long-term value at these levels, but until the company can stick to its guidance we have too many short-term concerns.

This article was distributed to our members on February 8th, if you would like further information you can sign up for FREE 7day recommendations and access all our research files on not only PRU but all our current trading ideas. Simply click here and starting trading today.

Perseus Mining (PRU) Share Tip Sell is a post from: Australian Stock Report Share Tips

No related posts.

QBE First State Negotiations For two Bolt On Acquistions

QBE Insurance Group Limited is an insurance company which underwrites most forms of commercial and industrial insurance policies, as well as individual policies.

QBE also manages Lloyds syndicates and provides investment management services. The Company provides its services both domestically and internationally.

Financial Stock QBE Insurance announced that it is in the final stages of negations to acquire two ‘bolt on’ acquisitions.

The acquisitions are expected to contribute up to US$500 million in annual written premium to the QBE business.

The company which recently raised $450 million from an institutional capital raising said that it will pay for the acquisitions from internal resources.

To Access FREE Daily Trading Recommendations, Click Here!

QBE First State Negotiations For two Bolt On Acquistions is a post from: Australian Stock Report Share Tips

No related posts.

Seven Group Holdings (SVW) 1H FY12 profit of $52.1 million

Seven Group Holdings (SVW) is a diversified operating and investment group listed on the Australian Stock Exchange. The operating business encompasses WesTrac, a global top five Caterpillar dealership. It also is a minority holder in Seven West media and major shareholder National Hire.

Seven Group Holdings announced a 1H FY12 profit of $52.1 million, a 57.8% fall on the previous corresponding period.  The result was better than the market expected.

Despite the fall in profit, revenue grew 29.3% to $2 billion over the same period.

The result was spoiled by $165.2 million impairment charge on the carrying value of its investment in Seven West Media.

The company will pay an interim dividend of 18 cents a share, fully franked.

Receive Daily FREE Trading Recommendations, click now.

Seven Group Holdings (SVW) 1H FY12 profit of $52.1 million is a post from: Australian Stock Report Share Tips

No related posts.

Stocks To Buy: Ausdrill (ASL)

Ausdrill (ASL) is an international mining services group who provides specialist drilling services to the mining sector. The company’s operates mainly in Australian and Africa, but does have offices in the United Kingdom.

ASL has a five main business segments; Contract Mining Services Australia, Contract Mining Services Africa, Manufacturing, Supply and Logistics and Diamond Communication.

Over the past few years, ASL has made a conscious decision to diversify its business and offer more services then its traditional, drill, blast and exploration drilling business.

Click Now for FREE Trading Recommendations

The diversification has seen the company being able to become ‘the complete service company’ to the mining industry in both Australia and Africa.

ASL continues to able to win key contracts, with an aim to make these contracts as long-term as possible for income stability.

Projects

The company has completed a raft of acquisitions over the last few years, in line with their strategy to become ‘the complete service company’.

The last acquisition was of Connector Drilling in early 2011, with the deal increasing the company’s presence in Western Australia and in particular the growing Pilbara region.

ASL has also been able to secure key contracts from some of the biggest miners in Australia, including Fortescue and BHP Billiton.

The contracts are not all Australian-based either, with ASL winning several gold contracts in African.

As at the company’s last update, ASL had approximately $1.84 billion work in hand for FY12 onwards in the mining services business alone.

With the mining sectors growing in Australia and across Africa, ASL is in position to take advantage of this growth and build upon its already strong relationships.

Financial Position

ASL has achieved solid growth over the last few years and profits are hitting record levels.

Profit jumped 52% to a record $73.3 million in FY11, on the back of 32.3% growth in revenue to $834.6 million.

The company provided earnings guidance in December, expecting to report a first-half profit of $48-$50 million on revenue of approximately $500 million.

Stocks To Buy: Ausdrill (ASL) is a post from: Australian Stock Report Share Tips

No related posts.

Atlas Iron (ASX:AGO) is an emerging iron ore producer and explorer.

With a growing number of high quality iron ore projects and one of the largest landholdings in the lucrative Pilbara region, AGO is now one of the area’s largest iron ore producers.

The company has a significant number of direct shipping ore (DSO) projects in WA. DSO projects are those that are in close proximity to ports, which helps to significantly lower capital costs.

One of the more recent ones, the Mount Dove DSO Project, is expected to contribute to AGO’s shipping tonnes later this calendar year.

Iron ore in spotlight

Iron ore miners have been in focus over the past few weeks due to a combination of factors. Among these is the improving prospect for iron ore.

We don’t believe the current spot price around $142 a tonne reflects what is still a favourable supply/demand dynamic for Aussie miners.

The European debt crisis forced some of the higher cost iron ore miners to cut back production last year.

This is likely to ensure the iron market remains in a supply deficit for a few more years yet, which not only supports prices but provides an opportunity for low-cost producers like AGO to fill the breach.

Also, the Glencore/Xstrata merger proposal has thrown the spotlight on pure play iron ore miners. Given the commodities giants’ lack of iron ore assets, the merger may encourage existing iron ore companies to either consolidate or potentially be the subject to an offer.

Output hit by cyclone

For the December quarter, Atlas Iron reported an 11% quarter-on-quarter fall in iron ore mined.  This was due to Tropical Cyclone Heidi, which impacted mining operations and damaged the Utah Point ship loading facility at Port Hedland.

As a result, AGO downgraded its FY12 production target to 5.5 – 5.7 million tonnes, from the previous 6 million tonnes.  However cash costs were within AGO’s targeted $42/ton-$45/ton range for FY12.

AGO, like other iron ore miners, suffered from a fall in iron ore prices during the quarter. However it also positioned itself to take advantage of a recovery in prices.

The company moved from quarterly pricing of its contracts towards shorter term reference points. This means it is more directly exposed to spot prices, which have trended higher in recent months.

Outlook

Despite last quarter’s operational issues, AGO managed to grow its cash pile from $373 million to $380 million.

With strong operating cash flows and competitive cost of production, AGO has significant capacity to fund development projects such as the Mt. Dove mine.

Although AGO faced a number of headwinds in the December quarter, we think it is well placed to take advantage of a recovery in iron ore prices. Atlas Iron (AGO) is an emerging iron ore producer and explorer.

With a growing number of high quality iron ore projects and one of the largest landholdings in the lucrative Pilbara region, AGO is now one of the area’s largest iron ore producers.

The company has a significant number of direct shipping ore (DSO) projects in WA. DSO projects are those that are in close proximity to ports, which helps to significantly lower capital costs.

One of the more recent ones, the Mount Dove DSO Project, is expected to contribute to AGO’s shipping tonnes later this calendar year.

Click to Receive FREE Daily Trading Recommendations!

Iron Ore Shares to Buy: Atlas Iron (AGO) is a post from: Australian Stock Report Share Tips

No related posts.

Australian Stock Report presents the 2012  Portfolio Review.

Have you ever wanted to know what the “must-have” stocks are that should be in your portfolio? Do you know what 2012 has in store for the markets? Our Panel Does! Come and hear them present a review of your portfolio!

Here’s how the Portfolio Review works: List 5 stocks from your portfolio, or in which you are thinking of investing. Our panel of experts will tally the requests and select the 12 most popular stocks (and a few of their own) to thoroughly analyse and present their results live at the Review. The experts will then host a Q & A session to discuss current market valuations, trends, and their expectations for local and international markets in 2012.

Even if you don’t get all of your picks reviewed, you’ll get the benefit of comprehensive research on no less than 12 of the most interesting stocks on the Australian share market for 2012: What to buy, what to hold, and what to get rid of!

The Panel consists of:

Geoff Saffer
Head of Corporate Research
Australian Stock Report
Fundamental Analysis

Carl Capolingua
Head of Education
Australian Stock Report
Technical Analysis

Kel Butcher
Professional Trader, Author, Trading Coach
World Markets

Your 2012 Portfolio Review Ticket Includes:
>> a copy of Kel Butchers’ latest book
>> sumptuous buffet lunch
>> refreshments on arrivals

Portfoio Review Locations and Dates:

Sydney - Saturday, February 18, 2012 @ Sir Stamford at Circular Quay, 93 Macquarie Street.

Registrations: 8:30 AM, Duration: 9:00 AM – 13:30 PM. Click now to reserve your seat.

Melbourne - Saturday, February 25, 2012 @ Crowne Plaza, 1-5 Spencer Street.

Registrations: 8:30 AM, Duration: 9:00 AM – 13:30 PM. Click now to reserve your seat.

Brisbane - Saturday, March 3, 2012 @ Brisbane Convention & Exhibition Centre, cnr Merivale & Glenelg Streets.

Registrations: 8:30 AM, Duration: 9:00 AM – 13:30 PM. Click now to reserve your seat.

Perth - Saturday, March 10, 2012 @ The Studio Room, Level 2, Burswood Convention Centre
Bolton Ave & Great Eastern Hwy.

Registrations: 8:30 AM, Duration: 9:00 AM – 13:30 PM. Click now to reserve your seat.

Tickets for the Portfolio Review are only $44 (single) of $66 (double). Click now to learn more about this must attend event.

2012 Stock Trading Portfolio Review is a post from: Australian Stock Report Share Tips

No related posts.

Downer EDI Ltd (ASX:DOW), provides engineering and infrastructure management services to the public and private rail, road, power, telecommunications, mining and resources sectors in Australia, New Zealand, Asia and the Pacific.

Industrials stock Downer EDI today announced it has been awarded a six year magnetite mining contract with Karara Mining for provisions of services at its iron ore project in Western Australia.

The contract which commences this month has total estimated revenue of approximately $570 million over the six years.

CEO Mr Grant Fenn said the contract will enhance Downer’s exposure to the expanding iron ore sector and also increase its geographical presence in Western Australia.

To receive FREE Trading Recommendations, Click Here!

Industrials Stocks News: Downer EDI (DOW) is a post from: Australian Stock Report Share Tips

No related posts.

CSG Ltd. (ASX:CSV) offers computer and other technology services.

Small cap stock, CSG today announced that is expects NPAT for the half ending 31 December to be within the range of $9 million – $11 million, down from the $19.2 million in same half in FY11.

The company said the NPAT included a one off cost of $2.1 million in the last quarter of CY12.

CSG cited challenging trading conditions, but did expect an improved performance in the second half.

To receive FREE Trading Recommendations, Click Here!

Small Caps Stocks News: CSG Ltd (CSV) is a post from: Australian Stock Report Share Tips

No related posts.

Mirabela Nickel (ASX:MBN) is a mining company focused on the production and sale of nickel concentrate.

The miner’s key asset is the Santa Rita nickel operation in Bahia, Brazil.

MBN achieved its production ramp up goals in 2011, successfully upgrading the Santa Rita’s plant capacity to 7.2Mtpa of ore milled, from 4.6Mtpa in 2010.

However the ramp up was also accompanied by rising cash costs, which detracted significantly from an otherwise solid set of December 2011 quarter production numbers.

Costly cash

Mirabela Nickel announced its December quarter production report today.

Nickel output climbed 9% from the previous quarter, helping MBN to meet its 2011 production target of 15,854 tonnes.

However the production numbers were overshadowed by a disappointing rise in cash costs.

Cash costs jumped 11% on the quarter to US$7.42, as the higher output was accompanied by higher plant costs and lower productivity.

Additionally, mining costs rose amid increased expenses relating to drilling activity.

The ramp up in quarterly production was thus poorly executed due to the company’s own efficiencies as well as industry cost pressures.

Risk on

Another concerning aspect of the production release was the almost 50% fall in MBN’s cash holdings from the prior quarter.

A significant part of that outflow was due to the closing out of the company’s nickel and copper hedges.

The lower cash balance in addition to a new US$50 million debt facility entered into by a Brazilian subsidiary, raises MBN’s risk profile in a period of economic uncertainty.

Outlook

MBN has raised its 2012 production guidance, targeting 20,000 – 22,000 tonnes of nickel output.

As mentioned, however, greater output is not necessarily a good thing when it is accompanied by higher cash costs.

Mirabela Nickel has commenced a cost reduction program, which aims to lower cash costs towards US$6/lb by the end of the year. However that is largely dependent on the proper implementation of the program.

Although a return to steady state production may help, cost reductions will also be linked to the favourable renegotiation of MBN’s major contracts.

Having recently closed out of its nickel hedges, MBN is now fully exposed to the movement in commodity prices.

Unfortunately, there is also considerable uncertainty surrounding nickel prices, with brokers Morgan Stanley and Goldman Sachs recently downgrading their forecasts amid concerns about oversupply.

We at Australian Stock Report believe these headwinds are likely to weigh on MBN’s share price for a while yet.

Click to Receive FREE Daily Trading Recommendations!

Mining Shares to Sell: Mirabela Nickel (MBN) is a post from: Australian Stock Report Share Tips

No related posts.