News: Suncorp hikes dividends as FY profit soars, page-10

The SUN came up today in Briz after the Ekka holiday, and I think the broking fraternity took a look at the results and got a bit excited, and why wouldn't they. Cash earnings of $1.3b, a 126% improvement on FY13, with forecasted revenue growth for FY15 of 5 to 6% and further simplification benefits/savings of $225m. I would suggest the $1.05/share dividend will at least continue for the foreseeable future and may well increase. On a 5% yield we are looking at $21; on a 6% yield we are looking at $17.50. I think it will definitely trend to $20, which is the previous high. This company had some tough years, but seems to be well and truly back on track. That's my take anyway.