Hot Stocks: ANZ, Orica, Neuren

U.S. stocks closed higher in a volatile session Wednesday, with the Dow gaining 0.70%, the S&P 500 up 0.43%, and the Nasdaq rising 0.27%, as investors weighed cautious messaging from the Federal Reserve and fresh trade policy developments. The Fed held rates steady at 4.25–4.5% but warned of dual risks from inflation and unemployment, with Chair Jerome Powell highlighting potential long-term effects from newly announced tariffs. Semiconductor stocks rallied after reports the Trump administration may lift restrictions on AI chip exports, boosting Nvidia by 3%. However, tech was mixed, as Alphabet slid 7% and Apple dipped 1% amid speculation Apple may sideline Google in Safari search in favour of AI. Meanwhile, crude and gold prices declined. The Australian dollar is trading at 64.28 US cents. SPI futures suggest a slight gain at the open.

ANZ Group Holdings Limited (ASX:ANZ) reported a statutory profit of $3.64 billion for the half year ended 31 March 2025, up 7% from the prior year, while cash profit remained flat at $3.57 billion. Operating income rose 10% year-on-year to $11.18 billion, marking a record revenue performance. The result includes the first full half-year contribution from Suncorp Bank, acquired in July 2024. ANZ declared an interim dividend of 83 cents per share (70% franked), with a dividend reinvestment plan to be satisfied through newly issued shares. While net interest income grew 12%, other operating income declined and credit impairment charges rose, reflecting economic caution. Return on equity improved to 10.2%, though the Common Equity Tier 1 capital ratio dipped to 11.8% under APRA rules. The bank also entered into an enforceable undertaking with APRA regarding non-financial risk governance and continues to focus on managing costs, advancing its dual digital platforms (ANZ Plus and Transactive Global), and integrating Suncorp Bank to deliver long-term synergies.

Explosives and mining technology company Orica Limited (ASX:ORI) reported a statutory net loss of $89 million for the half year ended 31 March 2025, primarily driven by $340 million in significant items, including a major impairment and restructuring charge in Latin America. Excluding these items, net profit rose 40% to $251 million, supported by strong growth across all business segments. Sales revenue increased 7.7% to $3.94 billion, and EBIT surged 34% to $472 million—the company’s strongest half-year result in over a decade. The company declared an interim unfranked dividend of 25 cents per share, up from 19 cents the prior year. Growth was led by increased demand for premium blasting products, digital mining solutions, and specialty mining chemicals, including contributions from the Cyanco acquisition. Orica also completed the first phase of decarbonisation at its Kooragang Island site, eliminating 1 million tonnes of emissions, and reaffirmed its long-term net-zero ambition. The company maintained a strong balance sheet, initiated a $400 million on-market buyback, and remains confident in delivering improved earnings in the second half.

Neuren Pharmaceuticals (ASX:NEU) reported Q1 2025 royalties of A$13.5 million from DAYBUE (trofinetide) sales, up 17% year-on-year, following Acadia Pharmaceuticals’ US net sales of US$84.6 million. While Q1 revenue showed typical seasonal softness, a record number of patients received shipments and discontinuations declined markedly. Acadia reaffirmed its full-year US sales guidance of US$380–405 million, implying A$62–67 million in royalties to Neuren. International expansion is underway, with Europe approval anticipated in Q1 2026, Japan granting orphan drug status, and named patient supply beginning in multiple regions. Neuren ended Q1 with A$341 million in cash.