Argo sees positive signs next year
October 26, 2009
Argo Investments Limited (ARG) said it was expecting a modest improvement to guidance offered in September for the full-year to 30 June 2009. The investment house reaffirmed guidance that the half-year profit to 31 December 2009 would be between 25% and 28% lower than the prior corresponding period, however a stronger second half would see an upturn in results.
The company said the result was based on lower dividend and interest income, however added that there were two conditions for cautious optimism.
”The result for the previous corresponding period was a record first half for the company – whereas the result, on the same basis, for that full year ended 30 June 2009 was down 10.4%,” the company said.
”In our letter to shareholders dated 3 August 2009 we mentioned that we expected continued downward pressure on company profits and dividends in the half-year ending 31 December 2009, before a modest improvement expected in the first half of calendar 2010,” the company added.
For the half-year to the end of December, the company said it expected a dividend of 12c per share, down from 14c per share last year.
The company said the result was based on lower dividend and interest income, however added that there were two conditions for cautious optimism.
”The result for the previous corresponding period was a record first half for the company – whereas the result, on the same basis, for that full year ended 30 June 2009 was down 10.4%,” the company said.
”In our letter to shareholders dated 3 August 2009 we mentioned that we expected continued downward pressure on company profits and dividends in the half-year ending 31 December 2009, before a modest improvement expected in the first half of calendar 2010,” the company added.
For the half-year to the end of December, the company said it expected a dividend of 12c per share, down from 14c per share last year.
At 1114 AEDT, Argo Investments shares were up 2c to $6.84.
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