Profits

UK’s biggest supermarket voices caution for year ahead despite annual profits rising 8.5% to £2.4bnBusiness live – latest updatesTesco has warned that profits could fall back in the year ahead amid “increased uncertainty caused by the conflict in the Middle East”.The warning came after the UK’s biggest supermarket hit its highest share of the market in a decade. Continue reading...

Former Treasury secretary says a tax rate was ‘socially optimal’ in submission to a new parliamentary inquiryFollow our Australia news live blog for latest updatesGet our breaking news email, free app or daily news podcastThe former Treasury secretary Ken Henry says “self-serving” claims from gas giants about the risks of a windfall profits and export taxes should be ignored by the Albanese government as it weighs up the intervention ahead of next month’s federal budget.In a submission to a new parliamentary inquiry examining the gas taxation regime, Henry made the case for a 100% windfall profit tax as he rejected the assertion that any changes would heighten perceptions of Australia as a sovereign risk and freeze investment in new projects. Continue reading...

Company earnings expected to soar to between $200m and $700m in first quarterBusiness live – latest updatesShell is expected to report “significantly higher” profits from its commodity trading desks in the first quarter of this year after weeks of market volatility triggered by the Iran crisis.The surge in energy commodity markets over recent weeks is expected to drive up trading results at Shell’s chemicals and products unit, which includes its main oil trading desk. Continue reading...

Government, industry and opposition see growing public support for a new gas tax but the industry is fighting backGet our breaking news email, free app or daily news podcastThe gas industry is mobilising in opposition to a potential new tax on the sector as political momentum builds – including among Labor MPs – for the government to use the May budget to prevent producers profiting from the Middle East war.The Australian Energy Producers (AEP) chief executive, Samantha McCulloch, claimed a new tax would punish the same Asian trading partners Australia was leaning on to supply more fuel amid the global energy crisis. Continue reading...

Exclusive: Speaking with the Australian Politics podcast, the Liberal frontbencher says a sovereign wealth fund would set Australians up for generations to comeFollow our Australia news live blog for latest updatesGet our breaking news email, free app or daily news podcastLiberal frontbencher Andrew Hastie says he is open to a new 25% tax on soaring gas profits as part of a Scandinavian-style sovereign wealth fund to strengthen the federal budget amid the global energy crisis.Budget leaks suggest the Albanese government is modelling the effects of placing a flat 25% tax on gas profits, as well as possible further changes to the petroleum resource rent tax (PRRT) and corporate income tax. Continue reading...

PM’s ‘cost of living champion’ calls for consideration of temporary measure to prevent profiteering from Iran warThe government’s top cost of living adviser has called on ministers to explore a temporary cap on the profits of energy and petrol companies to prevent them from cashing in excessively on the war in the Middle East.Richard Walker – a Labour peer, the chair of Iceland supermarkets and the prime minister’s “cost of living champion” – said he had asked the government to examine limiting how much businesses were able to benefit from higher energy prices after Iran’s blockade of the strait of Hormuz, a crucial shipping route for Europe’s oil and gas, and the wider conflict in the region. Continue reading...

Government faces political fight as industry says mooted 25% levy on exports would hurt Australia’s economy and energy securityGet our breaking news email, free app or daily news podcastGas giants will lobby against any federal government moves to introduce a 25% export levy on windfall profits, as crossbenchers pressure the prime minister to redirect billions of dollars in “wartime profits” to Australians struggling amid the global energy crisis.It comes after the prime minister’s department asked Treasury to model the effects of placing a flat 25% tax on gas exports, the ABC reported on Friday, along with any further changes to the petroleum resource rent tax (PRRT) and corporate income tax. Continue reading...