Here are the headlines from the S&P/ASX 200 (INDEXASX: XJO)(ASX: XJO) and Australian finance circles on Friday morning.
But first, here are the data points:
Australian Dollar ($A) (AUDUSD): 73.75 US cents
Dow Jones (DJI): down 0.3%
Oil (WTI): $US66.72 per barrel
Gold: $US1,220 per ounce
Australian Investing News
Making finance news today, National Australia Bank Ltd. (ASX: NAB) has again been caught redfaced following a public round of hearings as part of the Royal Commission. Well, it’s worse than redfaced. We think it’s unacceptable.
As reported by AAP, NAB charged 4,000 dead superannuation clients $3 million in financial advice fees. It is believed ASIC, the financial system regulator, tabled concerns with NAB about how it handled its ‘advice for no service’, which is the concerning practice of charging customers for advice they never receive.
“ASIC is concerned by NAB and its group licensees’ apparent failure to appreciate the extent and seriousness of this issue despite being on notice since at least 2010,” an ASIC document read. NAB isn’t the only bank or finance company to face scrutiny as part of the Royal Commission.
In company-specific news, REA Group Ltd (ASX: REA), the owner of realestate.com.au, released its 2018 financial results to the market today showing a 20% increase in revenue. REA Group’s profit for the period rose 23% and it announced a final dividend of 62 cents per share.
James Hardie Industries plc (ASX: JHX) filed its results for the three months to June 30th 2018 revealing a 28% increase in revenue and a profit of $US90.6 million, up 58%.
“Our North America Fiber Cement Segment delivered solid top line growth of 10% for the quarter,” James Hardie’s CEO Louis Gries said. “While we have returned to growth above our market index in our exteriors business, increased traction will be required to hit our FY19 targeted range.”
Retailer Baby Bunting Group Ltd (ASX: BBN) also published its results for 2018. Baby Bunting reported a 9% uptick in full-year revenue to $303 million and a profit of $8.7 million, down 29%. The company said trading conditions were challenging given the industry’s consolidation and price reductions, but it was able to increase volumes and grow sales.
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