ASX edges down as miners weigh; WiseTech gains
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The news: The Australian market closed lower as sliding iron ore prices saw mining heavyweights Fortescue, Rio Tinto and BHP extend losses.
Embattled software group WiseTech Global was once again in focus after it reinstated founder and former CEO Richard White to its board, before the securities regulator confirmed it is conducting preliminary inquiries into the company.
The ASX 200 fell 0.14% to end at 8,240.7, with 5 out of 11 sectors finishing in red.
ASX 200 declines:
- Kelsian Group (-15.2%) — Reported a 29% drop in first-half net profit, driven by subdued demand in its marine and tourism business.
- SiteMinder (-11.8%) — Extended its first-half net loss from $13.9 million to $14.9 million, dragged down by nearly $5 million in restructuring costs.
- Materials (-1.6%) — Iron ore giants Fortescue (-6.2%), Rio Tinto (-3.4%) and BHP (-1.5%) extended losses from Tuesday as prices weakened for a third straight session.
ASX 200 gains:
- Bapcor (13.4%) — Recorded lower first-half profit and slashed its interim dividend, but outstripped market estimates for the period.
- Worley (10.3%) — Increased first-half profit by 55.4% and unveiled an on-market buyback of up to $500 million.
- Energy (1.3%) — The sector's largest stock Woodside Energy (3.4%) secured upgrades from Citi, Morgans and Jarden on the oil giant's plans to sell equity in its new Louisiana LNG project.
Earnings news:
- Woolworths (-3%) — Cut dividend payments as sales and profit for the first half of fiscal 2025 were hit by industrial action.
- WiseTech Global (2.1%) — Saw a 38% rise in first-half net profit and hiked its interim dividend, boosted by organic revenue growth at its flagship logistics platform Cargowise. The software giant also re-appointed founder Richard White to its board as executive chairman, four months after he stood down as a director and CEO.
- Flight Centre (-10.2%) — Posted a 31% fall in first-half profit amid falling airfares, but reaffirmed its full-year profit guidance on expectation of growth in volumes in the second half.
- Scentre Group (-3.3%) — Reported a jump in full-year profit on the back of revaluations of its assets and stronger demand in its malls.
- Light & Wonder (7.8%) — Recorded a stronger-than-expected Q4 profit, and said it is considering "both a dual primary and a sole listing on the ASX" to enhance its Australian listing.
- Regal Partners (-6.7%) — Lifted its full-year profit and dividend, but saw a drop off in performance fee revenue towards the end of the year.
- Platinum Asset Management (-20%) — Reported a 55% fall in first-half net profit after market close on Tuesday, and announced the departures of co-chief investment officers Andrew Clifford and Clay Smolinski.
- Lynas Rare Earths (-1.7%) — First-half net profit tumbled 85%, impacted by subdued demand from China and lower rare earths market prices.
- Tyro (5.6%) — Doubled first-half profit on an expanded reach for its banking products and reaffirmed full-year guidance.
- Paladin Energy (-4.4%) — Swung to a $15.1 million loss during the six months to December, after completing its $1.27 billion outlay for Canadian explorer Fission Uranium during the period.
- Appen (-33.3%) — Trimmed its full-year net loss, but the termination of its Google contract saw revenue slide 14% during the period.
- National Storage REIT (-2.2%) — Improved its first-half net profit and reaffirmed full-year guidance, but occupancy fell to its lowest level since June 2020.
Other news:
- Pointsbet (32.5%) — Received a $360 million takeover offer from rival wagering group Bluebet, a day after agreeing to a $353 million bid by Japanese sports and entertainment giant Mixi.
- Viva Energy (0.9%) — Rallied after receiving $2.4 million in government funding for a study to develop renewable fuel alternatives for the airline industry.
- Michael Hill (-5.4%) — Announced that its chief executive Daniel Bracken died overnight.
The Australian dollar is buying 63.27 US cents.
What’s ahead: Companies due to report on Thursday include Qantas, Coles, Medibank, Endeavour Group and Ramsay Health Care.
