NVDA gained a massive 197% since our AI first added it in November - is it time to sell? 🤔Read more

BRIEF-Suncorp Group Sees FY20 Regulatory Project Costs Of $155 Mln

Published 07/08/2019, 10:10 am
Updated 07/08/2019, 10:20 am
© Reuters.  BRIEF-Suncorp Group Sees FY20 Regulatory Project Costs Of $155 Mln
SUN
-

Aug 7 (Reuters) - Suncorp Group Ltd SUN.AX :

* PROJECT SLATE WILL BE INCREASED FROM $180M IN FY19 TO $260M IN FY20

* SUNCORP SEES FY20 REGULATORY PROJECT COSTS OF $155M TO ADDRESS ROYAL COMMISSION RECOMMENDATIONS, APRA SELF-ASSESSMENT ACTIONS, AMONG OTHERS

* NEW ZEALAND'S STRONG PERFORMANCE WILL CONTINUE INTO FY20 HOWEVER GROWTH IS EXPECTED TO RETURN TO LOWER SINGLE-DIGIT LEVELS

* ANNUAL REGULATORY PROJECT COSTS EXPECTED TO PEAK IN FY20 AND DECLINE TO APPROXIMATELY $100M IN FY21

* WILL BE DIFFICULT TO ACHIEVE AN ROE TARGET OF 10% IN FY20

* LOWER RUNNING YIELDS DUE TO LOWER RISK-FREE RATES, CREDIT SPREADS WITH ABSENCE OF MARK-TO-MARKET GAINS, LIKELY TO IMPACT INSURANCE RESULTS

* BANKING & WEALTH DIVISION NIM EXPECTED TO REMAIN UNDER PRESSURE IN MEDIUM DESPITE WHOLESALE FUNDING COSTS STARTING TO EASE

* INCREASE IN NATURAL HAZARD ALLOWANCE & COST OF STOP LOSS COVER TO IMPACT ABILITY TO ACHIEVE TARGET OF AT LEAST 12% UNDERLYING ITR IN FY20

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.