we already got the up and another up .... away this afternoon and the rest of the week .... be patient
Printable View
Yes pleasing to see non-core assets being dealt with.
A very good result with nett profit before tax increasing from $5.6mil to $14.9mil.Getting traction.Core loan book stronger.The reduction in mortgage loan book means they are not chasing this market,but would rather put the money to more profitable loans,which makes sense to me.Great that they are already achieving lower funding costs.NTA at 90cents.EPS at 3cents is improving as we expected.2 cents dividend was a big surprise.I take it they passed on the "opportunities"that they were offered.Maybe they are paying the higher dividend as they are confident in their future earnings. Well done HNZ,New Zealand's only listed bank is on course to deliver all we hoped for.
Updating for the half year 2013 result. EBIT is not recorded in the released pdf. So we need to do some 'deconstructive analysis' on the released results to estimate what it might be. We start using the "interest income" from the income statement, and subtract from that "selling and administration expenses."
EBIT (high estimate) = $103.280m-$31.943m= $71.337m
Interest expense is listed as $56.250m.
So (EBIT)/(Interest Expense)= ($71.337)/($56.250)= 1.27 > 1.20
Result: PASS TEST (a first for HNZ)
SNOOPY
Updating this number for the half year HY2013 release.
Equity Ratio = (Total Equity)/(Total Assets)
Using numbers from the Heartland FY2012
= $381.091m/$2350.101m = 16.2%
This is a slight improvement on the full year position, achieved by continuing to modestly shrink the loan book and build some equity. This half year marked the payment a maiden first half special dividend. It is encouraging that the equity ratio has continued to improve despite this.
SNOOPY
The half year report last year did not provide the same level of disclosure as the full year report. This has proved to be the case again in HY2013.
Under note 12 and as of 31st December 2012, the percentage of deposits from the Canterbury region has reduced from 42% six months previously down to 36%. Overall I see this as a good thing, even if some market share in Canterbury must continue to be sacrificed to improve the overall term deposit risk profile.
Note 17c re-emphasises that the credit provision as reached with RECL (the real estate credit limit mangement agreement) has been fully utilised. This in turn means any further writedowns will directly hit the HNZ balance sheet.
I get the impression that rebalancing the account risk is still a work in progress.
SNOOPY
Maybe not the disenfranchised but those awful nasty traders who bought a month or so ago and now taking their profits ....good on them
Or maybe some who think result wasn't that good and decided to move on to something better as prospects might be better elsewhere
Maybe these disenfranchised are just a myth anyway!!!!