Byron Kaye, Roshan Thomas and Himanshi Akhand
SYDNEY (Reuters) - Australian investment bank Macquarie reported that its shares were raised and re-focused on its domestic market as U.S. President Donald Trump's policies have enhanced the world order.
Macquarie, from companies that own infrastructure to trade oil and gas, makes two-thirds of its money abroad, abandons its Australian retail banking as a safe harbor because of Trump’s tariff fuel inflation and global Roil exchange rates.
"Australia will be one of the more resilient economies," Macquarie CEO Shemara Wikramanayake said in an interview.
"Our trade with the United States is insignificant, but it can stimulate China. So, it can be very resilient," she told Reuters.
Annual profits for the Sydney-based company grew 5.5% over the year to $3.72 billion ($2.38 billion) in March, reaching a $3.7 billion agreement at $3.7 billion just before a helicopter rental business was sold.
Profiting from its BFS division, the unit quickly grew its share of Australia's $2 trillion mortgage market, jumping 11%.
Macquarie shares rose 4.3% after trading, helping to drive the broader index up 0.6% as analysts cheered on one of Australia’s most popular companies to boost the strong results of the global economy.
Citi analysts call profits "online results."
Wikramanayake said in an interview that Macquarie's investment banking division could suffer a slowdown in the merger because "people will be cautious" and that the company may need a longer equity position than expected.
But banks may benefit from volatility in energy commodity trading because “people will need more of our services to provide services”, she said.
Macquarie strategically re-aligned its North American operations and sold its U.S. and European public assets divisions to Nomura in April.
MacQuarie said the growth in the average loan and deposit portfolio is partially offset by the continued change in the imposition of rigid loan competition and portfolio mix.
The company reported assets under management at $941 billion at the end of the year, slightly higher than $938.3 billion a year ago.