Mac Bank earnings forecast downgraded
(8 February 2010 – Australia) Macquarie Group has said today that the bank’s second-half profit most likely will be down 5 percent on last year.
The Australian newspaper reported that the new guidance indicates that the group's full-year results would roughly be 9.8 percent below the 2010 result.
Macquarie Bank said that across the business conditions had improved, however Macquarie Securities was an exception.
Last year, Macquarie Securities contributed 23 percent to the investment bank’s bottom line.
In the last financial year, Macquarie's compensation ratio, which represents the percentage of compensation to income, was 43 percent.
'Our December quarter result reflected improved market conditions across all groups except Macquarie Securities Group, where equity market volumes remain subdued,' Mr Moore said.
'Subject to market conditions continuing to return to more normal levels, as well as other factors including the timing of completion on transactions and normal year end procedures, we currently anticipate the second half result to be approximately 35 per cent up on the subdued first half and the second half result to be approximately 5 per cent down on the previous corresponding period,' he said.
Macquarie Bank said that across the business conditions had improved, however Macquarie Securities was an exception.
Last year, Macquarie Securities contributed 23 percent to the investment bank’s bottom line.
In the last financial year, Macquarie's compensation ratio, which represents the percentage of compensation to income, was 43 percent.
'Our December quarter result reflected improved market conditions across all groups except Macquarie Securities Group, where equity market volumes remain subdued,' Mr Moore said.
'Subject to market conditions continuing to return to more normal levels, as well as other factors including the timing of completion on transactions and normal year end procedures, we currently anticipate the second half result to be approximately 35 per cent up on the subdued first half and the second half result to be approximately 5 per cent down on the previous corresponding period,' he said.
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