It’s clear that the company profit-reporting season wasn’t as bad as feared. Companies under promised and over delivered – an old strategy that continues to work.

CommSec has assessed the results of the 138 companies that reported interim earnings (the six months to December 2012) and the 29 companies reporting annual results for 2012. Almost 86 per cent of interim reporting companies reported a profit – the best result since the 2009/10 financial year.

Excluding heavyweight companies (BHP Billiton, Commonwealth Bank and Telstra) aggregate profits were up 17 per cent on a year ago. More companies lifted interim dividends than those that cut or maintained dividends.

To read the report, click here.

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