Analysts drop expectations
(10 February 2010 – Australia) Macquarie Group has said that it expects its second-half profit to be ten percent higher than the A$480 million reported in the investment bank’s first-half results, falling below market expectations.
Analysts had expected Macquarie to deliver a full-year profit of A$1.04 billion before the announcement, but now they estimate the bank’s full-year profit will be A$1.01bn.
The investment bank’s chief executive said, speaking at an operational briefing in Sydney, that economic conditions continue to trend back to normal but strong market conditions experienced in the first half have moderated in certain areas including Australian equity capital markets and credit businesses.
Mr Moore also said that despite improving trends in a number of major markets, Macquarie will continue to maintain a conservative approach to funding and capital.
A strong balance sheet, strong team and encouraging market conditions provide opportunities for medium term growth, Mr Moore highlighted.
Mr Moore said Macquarie, along with the Australian retail banks, were still uncertain of the extent of the regulatory changes that would be imposed on the domestic financial sector.
The bank will watch this space in terms of what is happening in Australia and globally with Basel, but it's a sure bet that there will be the requirement to have more regulatory capital, Mr Moore said.
The impact on the bank will remain uncertain until more is revealed, Mr Moore added.
The investment bank’s chief executive said, speaking at an operational briefing in Sydney, that economic conditions continue to trend back to normal but strong market conditions experienced in the first half have moderated in certain areas including Australian equity capital markets and credit businesses.
Mr Moore also said that despite improving trends in a number of major markets, Macquarie will continue to maintain a conservative approach to funding and capital.
A strong balance sheet, strong team and encouraging market conditions provide opportunities for medium term growth, Mr Moore highlighted.
Mr Moore said Macquarie, along with the Australian retail banks, were still uncertain of the extent of the regulatory changes that would be imposed on the domestic financial sector.
The bank will watch this space in terms of what is happening in Australia and globally with Basel, but it's a sure bet that there will be the requirement to have more regulatory capital, Mr Moore said.
The impact on the bank will remain uncertain until more is revealed, Mr Moore added.
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