Amex local profit results

[Mal]

At last Amex will have something to show for its efforts

According to Amex Australia's just-filed results with the Australian Securities and Investments Commission, the local business made a net profit of just $8.2 million in calendar 2011 on a turnover of $1.15 billion. Sad as that might look, it made only $2 million in 2010 and before that had not earned a profit here since 2005.

I suspect there is some very creative accounting and cross-business costs/transfers affecting the result, but still figures like that are pretty sobering!

 

[delfredo]

Not uncommon. Australia has a very high corporate tax rate and multinationals like Amex will channel profits offshore (through intercompany charges). The ATO controls this through the transfer pricing regime.

 

[Stephen65]

Not uncommon. Australia has a very high corporate tax rate and multinationals like Amex will channel profits offshore (through intercompany charges). The ATO attempts to control this through the transfer pricing regime.

Fixed for you

 

[markis10]

Not uncommon. Australia has a very high corporate tax rate and multinationals like Amex will channel profits offshore (through intercompany charges). The ATO controls this through the transfer pricing regime.

I bet the local promos have been costed in as a significant local expense.