The Business: ABC Television news – Westpac half-year results and Australian election outcomes
Last night, I appeared on ABC News to discuss Westpac’s (ASX:WBC) half-year financial results, where CEO Anthony Miller reported disappointing numbers. A key concern was the bank’s net interest margins (gross profit margin made on their lending activities), which came in one basis point below expectations. Miller attributed this to intense competition in business and institutional lending, as well as deposit-taking. Lower lending volumes in New Zealand also contributed to the weaker results.
I also discussed Labor’s recent election victory and what it could mean for equities. The impact will vary across sectors – with the automotive industry potentially benefitting from stronger financing and leasing demand and the healthcare sector benefitting from boosted Medicare funding and public-sector investment. On the other hand, construction firms could be at a disadvantage as they are likely to face higher costs due to Labor’s union ties.
Listen to the full segment here.
Roger Montgomery is the Founder and Chairman of Montgomery Investment Management. Roger has over three decades of experience in funds management and related activities, including equities analysis, equity and derivatives strategy, trading and stockbroking. Prior to establishing Montgomery, Roger held positions at Ord Minnett Jardine Fleming, BT (Australia) Limited and Merrill Lynch.
He is also author of best-selling investment guide-book for the stock market, Value.able – how to value the best stocks and buy them for less than they are worth.
Roger appears regularly on television and radio, and in the press, including ABC radio and TV, The Australian and Ausbiz. View upcoming media appearances.
This post was contributed by a representative of Montgomery Investment Management Pty Limited (AFSL No. 354564). The principal purpose of this post is to provide factual information and not provide financial product advice. Additionally, the information provided is not intended to provide any recommendation or opinion about any financial product. Any commentary and statements of opinion however may contain general advice only that is prepared without taking into account your personal objectives, financial circumstances or needs. Because of this, before acting on any of the information provided, you should always consider its appropriateness in light of your personal objectives, financial circumstances and needs and should consider seeking independent advice from a financial advisor if necessary before making any decisions. This post specifically excludes personal advice.
