At lunch on Thursday the S&P/ASX 200 Index (ASX: XJO) is on course to end the day with a disappointing decline. The benchmark index is currently down 0.55% to 6,098.4 points.
Here’s what is happening on the market today:
Telstra maintains its dividend.
The Telstra Corporation Ltd (ASX: TLS) share price is tumbling lower on Thursday despite delivering a full year result in line with its guidance and maintaining its dividend. The telco giant reported a 5.9% decline in total income to $26.16 billion and underlying earnings before interest, tax, depreciation and amortisation (EBITDA) of $7.4 billion. This allowed the company to declare a final dividend of 8 cents per share, bringing its full year dividend to 16 cents per share. Investors may be concerned by its guidance for a negative COVID-19 impact of $400 million in FY 2021.
Treasury Wine Estates shares shoot higher.
The Treasury Wine Estates Ltd (ASX: TWE) share price has been on fire today following the release of its FY 2020 results. The wine company posted a 6% decline in net sales revenue to $2,649.5 million and a 22% decline in EBITS to $533.5 million. The decline in its earnings was largely due to challenging conditions in the US wine market and the COVID-19 pandemic. The latter impacted the sales of high margin luxury products. Positively, management revealed that its China business rebounded strongly in June.
AMP announces capital return.
The AMP Limited (ASX: AMP) share price is racing higher today after the financial services company released its half year results. AMP revealed an underlying profit of $149 million and plans to return $544 million to shareholders. This comprises $344 million via a fully franked special dividend of 10 cents per share and up to $200 million via an on-market share buy-back.
Best and worst ASX 200 shares.
The best performer on the ASX 200 on Thursday has been the Treasury Wine share price with a 12% gain. This follows the release of its aforementioned full year results. The worst performer has been the AGL Energy Limited (ASX: AGL) share price with a 9% decline. This morning the energy company reported a 22% decline in underlying profit after tax of $816 million. Things are expected to get worse in FY 2021, with AGL Energy expecting underlying profit after tax to drop to $560 million and $660 million.