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ResMed Inc. (RMD) said revenue for the March quarter was US$278.7 million, a 22% increase over the previous corresponding period. The company said income from operations was US$61.2 million and net income was US$48.8 million, an increase of 16% and 25%, respectively, compared to the pcp.

The healthcare company reported a 24% increased in diluted earnings per share for the quarter to US63c.

ResMed said Selling, General and Administrative Expenses rose 19% to US$84.1 million for the quarter compared to the pcp due to the depreciation of the US dollar against international currencies and “expenses necessary to support sales growth”.

Meanwhile, Research And Development expenses increases 32% in the same period to US$18.3 million.

The company said R&D expenses were negatively impacted by the depreciation of the US dollar against international currencies, particularly the Australian dollar.

Looking at the nine months to 31 March 2010, ResMed said revenue rose 20% to US$800.8 million, while income from operations and net income were US$171.8 million and US$136.9 million, an increase of 30% and 35%, respectively on the pcp.

President and CEO, Kieran T. Gallahue, said the company continued to show strong growth year-over-year in the Americas, as well as in Europe and Asia/Pacific during the quarter.

“Our favourable mix of product sales and market share gains led to a 20% increase in the Americas over the prior year’s quarter, resulting in US$146.8 million in revenue,” Mr Gallahue said.

“Sales outside the Americas increased by 25% to US$131.9 million over the prior year’s quarter, or a 16% increase on a constant currency basis.”

As at 1019 AEDT, ResMed shares were up 30c to $6.99.

Macquarie Group Limited (MQG) announced a net profit after tax attributable to ordinary shareholders for the year to 31 March 2010 of $1.05 billion, an increase of 21% on the previous year and slightly ahead of consensus expectations. The company said the result reflects improved market conditions and the diversification and global reach of the businesses.

Assets under management at 31 March 2010 increased to $326 billion, which the company said predominantly reflected the acquisition of Delaware Investments in January 2010.

Meanwhile, group capital at 31 March 2010 was $11.8 billion, which was $4 billion in excess of the group’s minimum regulatory capital requirement. Macquarie Bank’s tier 1 capital ratio was 11.5%, up from 11.4% a year earlier.

The company said return on equity rose from 9.9% in FY09 to 10.0% in FY10.

Managing director and CEO, Nicholas Moore, said each of the company’s operating businesses delivered improved results on the prior year, while the company remains very well funded.

”Our term assets are covered by term funding and equity and we have continued to grow our deposit base,” Mr Moore said.

Macquarie said retail deposits increased to $15.5 billion at March 2010 from $13.9 billion at September 2009 and funds under management in the Macquarie CMT as at 31 March 2010 were $9.5 billion.

Chief financial officer, Greg Ward, said cash equities were well up on the prior year due to improved equity markets and there were strong contributions from debt markets and the new credit trading business.

“The metals and energy capital business was up on the prior year and the Corporate and Asset Finance Division recorded significant growth in corporate lending activities,” Mr Ward said.

The company said there were one-off gains realised from initiatives undertaken by the listed funds, including the internalisation of the management of Macquarie Airports, Macquarie Leisure Trust and Macquarie Media Group, the restructure of Macquarie Infrastructure Group and the sale of Australian REIT investments to Charter Hall Group.

Writedowns, provisions and net equity accounted losses totalled $96 million in the second half, down from $758 million in the first half, Macquarie said.

”As foreshadowed at last year’s result, the compensation ratio is returning to historical levels, rising to 43% for the year from 41% in the 2009 year,” the company said.

Looking ahead, Mr Moore said the company currently expects improved operating results for all of its businesses in FY11 compared to FY10.

“Over the medium-term, we continue to be well placed due to the global depth and reach of our businesses, the diversification of business mix, a strong committed team with interests aligned to shareholders, a strong balance sheet, capital and funding position and effective risk management,” he said.

“Subject to economic activity continuing to increase across all major markets, we expect continued growth in revenue and earnings across most businesses over time and continued growth in our global businesses driven by expanding our strong client franchise.”

The group declared a final dividend of $1.00 per share unfranked, up from the 86c per share dividend unfranked paid in the first half.

At the close of trade yesterday, Macquarie shares were trading at $48.35.

The planned takeover of Arrow Energy Limited (AOE) by Royal Dutch Shell and Petrochina moved one step closer after Arrow said it had been given the green light by the Foreign Investment Review Board to go ahead with the deal. The deal now moves to authorities in China for approval. Under the deail, Arrow shareholders would receive $4.70 cash and a share in the demerged company, Dart Energy Limited.

Atlas Iron Limited (AGO) said it has secured final Government approval allowing for the commencement of mining at the Wodgina DSO Iron Ore Project. The company said a mining fleet would now mobilise to site immediately, with mining due to start in early June 2010. Atlas said it is now on target to achieve iron ore exports at a combined rate of 6 million tonnes per annum from its Wodgina and Pardoo DSO mines in Western Australia by December 2010. The company also advised that it has commenced drilling at the Wodgina North iron ore prospect. Yesterday, Atlas announced it would tap the market for up to $63.5 million to fund an increase in production and shipments in the second half CY10. 

Wall Street rallied Thursday as better than expected quarterly results continue to be released. Investors appear to have left the debt crisis in Europe behind in the last two days and instead have focused on earnings figures.

In employment news, new unemployment claims dropped 11,000 to a slightly worse than expected 448,000 last week according the government’s weekly report.

The Dow Jones jumped 122.05 points, or 1.11%, to 11,167.32, the S&P's 500 gained 15.41 points, or 1.29%, to 1,206.77 and the NASDAQ climbed 40.19 points, or 1.63%, to 2,511.92.

Exxon Mobil lost 0.8% after the oil giant reported a jump in first quarter earnings that missed estimates.

Chevron put on 2.1%, while ConocoPhillips added 0.9% to a 12-month high after more than doubling net income and beating estimates.

NYMEX light crude oil for June delivery rose US$1.95 to settle at US$85.17 a barrel.

Yet again the financials were among the major movers, this time in a positive direction. Wells Fargo, Citigroup and Bank of America closed between 2.4% and 2.9% higher.

Morgan Stanley rallied 3.2%.

Hewlett-Packard dipped 0.8% as the tech giant revealed it would buy Palm for US$1.2 billion. Palm shares spiked 26.1%.

Apple gained 2.7%, while Microsoft and IBM both added 0.3%.

Procter & Gamble fell 1.5% despite reporting eanrings that just beat expectations.

Aetna rose 2.4% after the diversified health care benefits company easily beat quarterly earnings forecasts.

Larger rival UnitedHealth Group rose 2.8%.

Viacom advanced 1.7% after the entertainment company after reporting a 38% rise in quarterly profit compared to the previous corresponding period.

Walt Disney and New Corp advanced 2.6% and 1.3%.

COMEX gold for June delivery fell US$3 to end at US$1,168.80 an ounce.

European Markets

European stocks bounced as positive earnings results outweighed debt concerns in the region. Downgrades of Greece, Portugal and Spain in the past couple of days sent markets tumbling.

The UK benchmark FTSE 100 rose 31.23, or 0.56% to 5,617.84. The French CAC40 gained 53.62, or 1.42% to 3,840.62, while the German DAX added 60.57, or 1.00% to 6,144.91.

Among the financials Barclays, BNP Paribas and Royal Bank of Scotland advanced 2.6%, 2.2% and 2.3% respectively. Deutsche Bank rallied 3.2%.

Banco Santander climbed 4% after the Spanish bank beat analyst profit expectations, while National Bank of Greece and EFG Eurobank Ergasias spiked 18% and 14% on optimism Greece is closer to a bailout deal.

Insurer Standard Life added 4.4% after easily beating first quarter revenue estimates.

Oil heavyweight BP slumped 6.5% as one of its wells in the Gulf of Mexico continues to leak as rates five times higher than originally estimated.

Royal Dutch Shell shed 0.5%.

Spain oil company Repsol YPF jumped 4.1% after the company said production at its upstream division would increase 3-4% a year through 2014.

The world’s largest miner BHP Billiton gained 1.5%, while Aussie peer Rio Tinto weakened 0.4%.

Pernod Ricard rose 1.9% as the distiller increased its profit forecasts.

Japanese Markets

Japanese markets were closed for a public holiday.

Hong Kong Markets

The Hang Seng slumped again Thursday as concerns over Greece debt continued. Losses were widespread, with around 80% of the companies on the Hang Seng closing lower.

The Hang Seng fell 170.48, or 0.81% to 20,778.92.

ICBC, China’s largest lender, retreated 1.1%. Bank of Communications was 0.6% below the line.

Bank of China lost 0.5% and HSBC was flat.

European clothing brand, Esprit, tumbled 4.7%. Foxconn lost 0.7%.

In IPO news, O-Net Communications surged 38% on its debut.

Off-shore oil producer Cnooc was 0.4% down, while PetroChina retreated 1.6%.

Jiangxi Copper shed 0.4%, as metal prices continued to soften.

The Australian market closed lower for the fifth consecutive day to be 4.7% down from the high of two weeks ago. Miners and banks led falls as debt concerns in Europe and what affect they will have on the global economy continue to weigh on the market.

At the close, the All Ords fell 38.1 to 4,816.1, while the ASX/200 dropped 37.2 to 4,785.6. Around 2.4 billion shares worth around $6.2 billion had changed hands.

The Banks and Financials sector lost 0.9%

Among the big banks, ANZ delivered a 36% rise in half-year statutory profit to $1.93 billion, reflecting lower bad debt provisions and a stronger economy. The result was in line with expectations, but couldn’t stop the bank’s share price dropping 65c, or 2.6% to $24.20.

NAB lost 1.4% to $28.01, while CBA and Westpac weakened 0.3% and 0.5%.

Investment bank Macquarie Group fell 92c, or 1.9% to $48.35.

Challenger Financial Group shares lost 9c to $4.16, with the company’s share price rise having stalled since mid-November 2009.

AMP and QBE led the decline in the insurance sector, with 1.1% and 1.8% falls.

The Property Trusts sector slid 0.1% despite a modest 0.6% rise to $12.46 from Westfield.

Mirvac slumped 2.5c, or 1.7% to $1.41 as the property group moves closer to buying Westpac Office Trust.

The Materials and Resources sector was down 1.3% as heavyweights BHP Billiton and Rio Tinto shed 57c and $1.85 to $40.50 and $72.59.

Fortescue, Australia’s third-largest iron ore producer, lost 11c or 2.3% to $4.73 after saying it would pay a US$78 million payment to a shipping company follow a dispute in the courts.

Mid-cap miners were also lower, with Cudeco and Western Areas both down 4.7%.

Atlas Iron lost 6.7% to $2.51 as it announced a capital raising.

The Energy sector retreated 0.7%. Woodside gave up 40c, or 0.9% to $45.35. Santos was 19c lower to $13.53.

Uranium miners were weaker, with ERA and Paladin down 2.6% and 2.1% respectively.

Origin bucked the trend with a 10c gain to $16.09.

The Consumer Discretionary sector was up 0.2%, with a broad mix of gainers and losers.

Myer and JB Hi-Fi tacked on 1% and 2.1% to $3.18 and $19.51.

Crown gained 11c, or 1.4% to $8.21. This was somewhat countered by a 0.2% decline in slot machine maker Aristocrat as broker’s warned of headwinds in its key markets.

Among media stocks Newscorp lost 1% to $19.36.

Consumer Staples stocks also gained 0.2%, led by an 8c gain to $26.91 by Woolworths.

Foster's added 5c to $5.44 despite negative comments by broker’s in their broker reports.

The Industrials sector was flat as heavyweight Leighton retreated 42c to $36.57 and internet job board Seek gained 20c, or 2.5% to $8.22.

Asciano fell 0.6% despite Deutsche Bank upgrading the stock to a ‘buy’.

Telstra lost 3c to $3.16, while the broader Telecommunications sector was down 0.9%.

Around the region, the Nikkei 225 was closed, while the NZSE50 added 1.7 to 3,282.3. The Strait Times Index rose 27.7 to 2,959.7. The Hang Seng edged 1.0 higher to 20,950.4.

Spot gold was trading at US$1,166.00 per ounce, while the Aussie was buying US$0.9249. 

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Woodside JV decides on floating LNG facility
Woodside Petroleum said the Sunrise Joint Venture (JV) have opted for a floating liquefied natural gas facility as the preferred processing option for Greater Sunrise gas. The company said the fields, which have a total contingent dry gas resource of 5.13 Tcf and 225.9 MMbbls of condensate, are partly located in a Joint Petroleum Development Area (JPDA) administered by the governments of Timor-Leste and Australia.

At the end of the day, Woodside shares were down 40c to $45.35.

ANZ half-year profit jumps 36%
Australia and New Zealand Banking Group delivered a 36% rise in half-year statutory profit to $1.93bn, reflecting lower bad debt provisions and a stronger economy. The company said underlying profit was driven by an 8% growth in profit before provisions excluding Global Markets and a 32% reduction in the credit impairment charge.

By close, ANZ shares were down 65c to $24.20.

Fortescue takes US$78m hit
Fortescue Metals has been slapped with US$78m in damages after litigation proceedings in the UK resulted in a judgment being handed down in favour of Zodiac. The litigation revolves around Fortescue suspending a number of charter contracts in 2008 as international freight and iron ore markets slumped.

At the final whistle, Fortescue shares were down 11c to $4.73.

Asciano to continue cautious view
Asciano Group said it is yet to see signs of a sustained underlying recovery and would continue to take a cautious view on the remainder of this financial year. In its March quarter operating update, the company said overall volumes for the quarter were in line with management expectations.

At the close, Asciano shares were down 1c to $1.71.

Skilled Group downgrades profit, CEO resigns
Skilled shares slumped more than 8% in early trade after the labour provider downgraded its expected EBITDA to between $60m and $65m, from a previously forecast $71m. The group has been hit by an unexpected downturn in its non-staffing services division, particularly its Offshore Marine Services business, as well as a slow recovery across its staffing divisions.

By the finish, Skilled shares were unchanged at $1.36.

API profit climbs on 6.7% rise in sales
Australian Pharmaceutical Industries reported a 54.5% rise in first half net profit. The $10.3 million profit was on the back of a 6.7% rise in sales to $1.85 billion.

At the end of the day, API shares were unchanged at 58c.

Westpac Office Trust recommends Mirvac offer
Westpac Office Trust recommended shareholders accept Mirvac Group’s offer to buy all the shares in WOT. Mirvac offered 0.597 of its own shares for every one WOT unit held or 0.597 Mirvac Instalment Receipts (IR) for every one WOT IR held, valued at 86c per WOT unit.

At the final whistle, Westpac Office Trust shares were up 3c to 85c, while Mirvac shares were down 2.5c to $1.41.

The Australian market closed lower for the fifth consecutive day to be 4.7% down from the high of two weeks ago. Miners and banks led falls as debt concerns in Europe and what affect they will have on the global economy continue to weigh on the market.

At the close, the All Ords fell 38.1 to 4,816.1, while the ASX/200 dropped 37.2 to 4,785.6. Around 2.4 billion shares worth around $6.2 billion had changed hands.

The Banks and Financials sector lost 0.9%

Among the big banks, ANZ delivered a 36% rise in half-year statutory profit to $1.93 billion, reflecting lower bad debt provisions and a stronger economy. The result was in line with expectations, but couldn’t stop the bank’s share price dropping 65c, or 2.6% to $24.20.

NAB lost 1.4% to $28.01, while CBA and Westpac weakened 0.3% and 0.5%.

Investment bank Macquarie Group fell 92c, or 1.9% to $48.35.

Challenger Financial Group shares lost 9c to $4.16, with the company’s share price rise having stalled since mid-November 2009.

AMP and QBE led the decline in the insurance sector, with 1.1% and 1.8% falls.

The Property Trusts sector slid 0.1% despite a modest 0.6% rise to $12.46 from Westfield.

Mirvac slumped 2.5c, or 1.7% to $1.41 as the property group moves closer to buying Westpac Office Trust.

The Materials and Resources sector was down 1.3% as heavyweights BHP Billiton and Rio Tinto shed 57c and $1.85 to $40.50 and $72.59.

Fortescue, Australia’s third-largest iron ore producer, lost 11c or 2.3% to $4.73 after saying it would pay a US$78 million payment to a shipping company follow a dispute in the courts.

Mid-cap miners were also lower, with Cudeco and Western Areas both down 4.7%.

Atlas Iron lost 6.7% to $2.51 as it announced a capital raising.

The Energy sector retreated 0.7%. Woodside gave up 40c, or 0.9% to $45.35. Santos was 19c lower to $13.53.

Uranium miners were weaker, with ERA and Paladin down 2.6% and 2.1% respectively.

Origin bucked the trend with a 10c gain to $16.09.

The Consumer Discretionary sector was up 0.2%, with a broad mix of gainers and losers.

Myer and JB Hi-Fi tacked on 1% and 2.1% to $3.18 and $19.51.

Crown gained 11c, or 1.4% to $8.21. This was somewhat countered by a 0.2% decline in slot machine maker Aristocrat as broker’s warned of headwinds in its key markets.

Among media stocks Newscorp lost 1% to $19.36.

Consumer Staples stocks also gained 0.2%, led by an 8c gain to $26.91 by Woolworths.

Foster's added 5c to $5.44 despite negative comments by broker’s in their broker reports.

The Industrials sector was flat as heavyweight Leighton retreated 42c to $36.57 and internet job board Seek gained 20c, or 2.5% to $8.22.

Asciano fell 0.6% despite Deutsche Bank upgrading the stock to a ‘buy’.

Telstra lost 3c to $3.16, while the broader Telecommunications sector was down 0.9%.

Around the region, the Nikkei 225 was closed, while the NZSE50 added 1.7 to 3,282.3. The Strait Times Index rose 27.7 to 2,959.7. The Hang Seng edged 1.0 higher to 20,950.4.

Spot gold was trading at US$1,166.00 per ounce, while the Aussie was buying US$0.9249. 

---

Woodside JV decides on floating LNG facility
Woodside Petroleum said the Sunrise Joint Venture (JV) have opted for a floating liquefied natural gas facility as the preferred processing option for Greater Sunrise gas. The company said the fields, which have a total contingent dry gas resource of 5.13 Tcf and 225.9 MMbbls of condensate, are partly located in a Joint Petroleum Development Area (JPDA) administered by the governments of Timor-Leste and Australia.

At the end of the day, Woodside shares were down 40c to $45.35.

ANZ half-year profit jumps 36%
Australia and New Zealand Banking Group delivered a 36% rise in half-year statutory profit to $1.93bn, reflecting lower bad debt provisions and a stronger economy. The company said underlying profit was driven by an 8% growth in profit before provisions excluding Global Markets and a 32% reduction in the credit impairment charge.

By close, ANZ shares were down 65c to $24.20.

Fortescue takes US$78m hit
Fortescue Metals has been slapped with US$78m in damages after litigation proceedings in the UK resulted in a judgment being handed down in favour of Zodiac. The litigation revolves around Fortescue suspending a number of charter contracts in 2008 as international freight and iron ore markets slumped.

At the final whistle, Fortescue shares were down 11c to $4.73.

Asciano to continue cautious view
Asciano Group said it is yet to see signs of a sustained underlying recovery and would continue to take a cautious view on the remainder of this financial year. In its March quarter operating update, the company said overall volumes for the quarter were in line with management expectations.

At the close, Asciano shares were down 1c to $1.71.

Skilled Group downgrades profit, CEO resigns
Skilled shares slumped more than 8% in early trade after the labour provider downgraded its expected EBITDA to between $60m and $65m, from a previously forecast $71m. The group has been hit by an unexpected downturn in its non-staffing services division, particularly its Offshore Marine Services business, as well as a slow recovery across its staffing divisions.

By the finish, Skilled shares were unchanged at $1.36.

API profit climbs on 6.7% rise in sales
Australian Pharmaceutical Industries reported a 54.5% rise in first half net profit. The $10.3 million profit was on the back of a 6.7% rise in sales to $1.85 billion.

At the end of the day, API shares were unchanged at 58c.

Westpac Office Trust recommends Mirvac offer
Westpac Office Trust recommended shareholders accept Mirvac Group’s offer to buy all the shares in WOT. Mirvac offered 0.597 of its own shares for every one WOT unit held or 0.597 Mirvac Instalment Receipts (IR) for every one WOT IR held, valued at 86c per WOT unit.

At the final whistle, Westpac Office Trust shares were up 3c to 85c, while Mirvac shares were down 2.5c to $1.41.

Atlas Iron Limited (AGO) said it would tap the market for up to $63.5 million to fund an increase in production and shipments in the second half CY10.  The company said the proceeds would enable Atlas to accumulate a significant ore stockpile in the lead-up to the start of exports from the Utah Point port facility in Port Hedland, allowing Atlas to maximise the number of shipments of iron ore. Atlas said the ore to be stockpiled would come from its Pardoo operations and the start of production at Atlas’ second mine, Wodgina, both of which are in the Pilbara. The company said shares under the placement would be issued at $2.49 per share. The placement is expected to be completed on 7 May 2010, with 25.5 million shares to be issued.

Arrow Energy limited (AOE) reported a 2.3% drop in gas production to 4,979 terajoules in the March quarter compared to the previous quarter. The company said net gas sales for the same period were down 3.6% to 2,138 terajoules. Arrow said year-to-date production was 15,288 terajoules, up 19% the previous corresponding period. The company said net electricity sales were down 15% to 533,006 megawatt hours compared to the December quarter.

Woodside Petroleum Limited (WPL) said the Sunrise Joint Venture (JV) have opted for a floating liquefied natural gas facility as the preferred processing option for Greater Sunrise gas. The company said the fields, which have a total contingent dry gas resource of 5.13 Tcf and 225.9 MMbbls of condensate, are partly located in a Joint Petroleum Development Area (JPDA) administered by the governments of Timor-Leste and Australia.

The Greater Sunrise fields are located about 450 km north of Darwin.

Woodside CEO, Don Voelte, said that the International Unitisation Agreement (“IUA”) signed by the governments of Timor-Leste and Australia three years ago required the Sunrise JV to develop the Greater Sunrise fields to best commercial advantage consistent with good oilfield practice.

Mr Voelte said a floating LNG processing facility best satisfies the key development requirements outlined by the IUA.

“We expect that the selection of a floating LNG processing option will, in addition to generating significant long-term petroleum revenue, provide a broad range of social investment, employment and training opportunities for Timor-Leste,” he said.

Woodside has a 33.4% interest in the JV and is also the operator. The other participants are ConocoPhillips, Shell and Osaka Gas  

As at 1415 AEST, Woodside shares were down 39c to $45.36.

A Transfield Services Limited (TSE) and WorleyParsons Limited (WOR) – Transfield Worley Power Services (TWPS) – has secured a five-year contract with anticipated revenue to TWPS of $185 million. WorleyParsons said TWPS would provide power station and mine maintenance services to Loy Yang A power station in Victoria and the adjacent mine from July 2010.

Shares in the heavyweights banks and the miners led the broader Australian ASX/200 down 0.7% through to lunch, despite gains seen on Wall Street and the SPI pointing up prior to the open. It is the fifth straight session of declines, with the stock market now trading around the same levels as seen in mid-October 2009.

At midday, the All Ords fell 36.4 to 4,817.8, while the ASX/200 dropped 37.0 to 4,785.8. Around 1.1 billion shares worth around $3 billion had changed hands.

The Banks and Financials sector lost 1%

Among the big banks, ANZ delivered a 36% rise in half-year statutory profit to $1.93 billion, reflecting lower bad debt provisions and a stronger economy. The result was in line with expectations, but couldn’t stop the bank’s share price dropping 41c, or 1.6% to $24.44.

NAB and Westpac lost 1.4% and 0.9% respectively to $28.03 and $26.90 respectively.

CBA retreated 38c to $57.35.

Challenger Financial Group shares lost 13c to $4.12, with the company’s share price having stalled since mid-November 2009.

AMP and QBE led the decline in the insurance sector, with 1.4% and 1.7% falls.

The Property Trusts sector fell 0.2% despite a modest 0.4% rise to $12.44 from Westfield.

Mirvac slumped 2.5c, or 1.7% to $1.41 as the property group moves closer to buying Westpac Office Trust.

The Materials and Resources sector was down 1.1% as heavyweights BHP Billiton and Rio Tinto shed 43c and $1.00 to $40.64 and $73.44.

Fortescue, Australia’s third-largest iron ore producer, lost 8c or 1.7% to $4.76 after saying it would pay a US$78 million payment to a shipping company.

Mid-cap miners were also lower, with Mirabela Nickel and Western Areas down 3.8% and 4.9% respectively.

Atlas Iron lost 6.3% to $2.52.

The Energy sector retreated 0.4%. Woodside gave up 24c, or 0.5% to $45.51. Santos was 14c lower to $13.58.

Uranium miners were weaker, with ERA, Extract and Paladin down 2.8%, 1.7% and 1.6% respectively.

Origin bucked the trend with an 8c gain to $16.07.

The Consumer Discretionary sector was flat, with a broad mix of gainers and losers.

Myer and JB Hi-Fi both tacked on 0.6%, while David Jones and Harvey Norman went down by the same amount.

Crown gained 10c, or 1.2% to $8.20. This was countered by a 0.7% decline in slot machine maker, Aristocrat as broker’s warned of headwinds in its key markets.

Among media stocks Newscorp lost 1.1%.

Consumer Staples stocks gained 0.4%, led by a 20c gain to $27.03 by Woolworths.

Foster's added 3c to $5.42 despite negative comments by broker’s in their broker reports.

The Industrials sector declined 0.3% as heavyweight Leighton retreated 41c to $36.58.

Asciano fell 2% despite Deutsche Bank upgrading the stock to a ‘buy’.

Internet job board Seek gained 13c, or 1.6% to $8.15.

Telstra lost 3c to $3.16, while the broader Telecommunications sector was down 1.2%.

Around the region, the Nikkei 225 shed 287.9 to 10,924.8, while the NZSE50 retreated 2.4 to 3,278.1. The Strait Times Index rose 16.6 to 2,948.7. 

Spot gold was trading at US$1,165.34 per ounce, while the Aussie was buying US$0.9233. 

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ANZ half-year profit jumps 36%
Australia and New Zealand Banking Group delivered a 36% rise in half-year statutory profit to $1.93bn, reflecting lower bad debt provisions and a stronger economy. The company said underlying profit was driven by an 8% growth in profit before provisions excluding Global Markets and a 32% reduction in the credit impairment charge.

At midday, ANZ shares were down 46c to $24.39.

Fortescue takes US$78m hit
Fortescue Metals has been slapped with US$78m in damages after litigation proceedings in the UK resulted in a judgment being handed down in favour of Zodiac. The litigation revolves around Fortescue suspending a number of charter contracts in 2008 as international freight and iron ore markets slumped.

At lunch, Fortescue shares were down 9c to $4.75.

Asciano to continue cautious view
Asciano Group said it is yet to see signs of a sustained underlying recovery and would continue to take a cautious view on the remainder of this financial year. In its March quarter operating update, the company said overall volumes for the quarter were in line with management expectations.

At noon, Asciano shares were down 4c to $1.68.

Skilled Group downgrades profit, CEO resigns
Skilled shares slumped more than 8% in early trade after the labour provider downgraded its expected EBITDA to between $60m and $65m, from a previously forecast $71m. The group has been hit by an unexpected downturn in its non-staffing services division, particularly its Offshore Marine Services business, as well as a slow recovery across its staffing divisions.

At lunchtime, Skilled shares were down 7.5c to $1.285.

API profit climbs on 6.7% rise in sales
Australian Pharmaceutical Industries reported a 54.5% rise in first half net profit. The $10.3 million profit was on the back of a 6.7% rise in sales to $1.85 billion.

At midday, API shares were unchanged at 58c.

Westpac Office Trust recommends Mirvac offer
Westpac Office Trust (WOT) recommended shareholders accept Mirvac Group’s offer to buy all the shares in WOT. Mirvac offered 0.597 of its own shares for every one WOT unit held or 0.597 Mirvac Instalment Receipts (IR) for every one WOT IR held, valued at 86c per WOT unit.

At noon, Westpac Office Trust shares were up 2.5c to 84.5c, while Mirvac shares were down 3c to $1.405.