(Adds forecasts from commodities, securities divisions, share
SYDNEY, July 24 Macquarie Group,
Australia's top investment bank, on Thursday said results for
the year ending March 2015 would be in line with the previous
year, although it warned of short-term challenges such as
foreign exchange and tax uncertainties.
Macquarie's FY14 annual net profit had crossed A$1 billion
($943.7 mln) for the first time in four years, giving investors
confidence in its strategy of "de-risking" from its traditional
investment banking operations.
The bank's commodity trading business, which was the main
driver of earnings in FY14, and annuity-style business are
expected to match last year's performance, it said in a
statement ahead of its annual general meeting.
"The FY15 result for the group is expected to be broadly in
line with FY14, with the potential for a better result if market
conditions improve," the bank said in a statement ahead of its
annual general meeting.
The only division to see a downgrade was securities, which
was likely to earn less than the A$100 million it did the
While the bank did not specify a reason for the downgrade,
it said low volatility, reduced secondary market volumes and
client activity particularly in Asia, had hit the June quarter
results for the division.
The bank's shares have climbed more than 11 percent so far
this year compared with a 4.2 percent rise in the benchmark
S&P/ASX 200 index.
($1 = 1.0597 Australian Dollars)
(Reporting by Swati Pandey; Editing by Stephen Coates)