Market down on poor earnings results


The market has been rocked early by the release of disappointing earnings results from blue chip companies including Coca-Cola Amatil (ASX: CCL) and QBE Insurance (ASX: QBE), with the S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) down over 50 index points.

Coca-Cola this morning announced a 6.9% fall in earnings before interest and tax (EBIT) – which was marginally better than originally anticipated – whilst QBE announced a 37% drop in first-half profit. The results have sent CCL shares down by 4.2% and QBE’s shares plunged by 8.2%.

Ansell (ASX: ANN), on the other hand, delivered EBIT growth of 11% and sales growth of 9% for the full year to June 30. Sydney Airport (ASX: SYD) and Arrium (ASX: ARI) (formerly OneSteel) are also releasing results today, but the one the market will be waiting for is that of BHP Billiton (ASX: BHP).

It is currently anticipated that the miner will deliver a profit loss of 26% due to diminishing growth in China and deflated commodity prices.

Are you interested in our #1 dividend-paying stock? Discover The Motley Fool’s favourite income idea for 2013-2014 in our brand-new, FREE research report, including a full investment analysis! Simply click here for your FREE copy of “The Motley Fool’s Top Dividend Stock for 2013-2014.”

More reading


Motley Fool contributor Ryan Newman does not own shares in any of the companies mentioned in this article.

HOT OFF THE PRESSES: Motley Fool’s #1 Dividend Pick for 2017!

With its shares up 155% in just the last five years, this ‘under the radar’ consumer favourite is both a hot growth stock AND our expert’s #1 dividend pick for 2017. Now we’re pulling back the curtain for you... And all you have to do to discover the name, code and a full analysis is enter your email below!

Simply enter your email now to receive your copy of our brand-new FREE report, “The Motley Fool’s Top Dividend Stock for 2017.”

By clicking this button, you agree to our Terms of Service and Privacy Policy. We will use your email address only to keep you informed about updates to our website and about other products and services we think might interest you. You can unsubscribe from Take Stock at anytime. Please refer to our https://www.fool.com.au/financial-services-guide">Financial Services Guide (FSG) for more information.