Texas Conditions Boost Macquarie's Financial Results, Revises Outlook

Macquarie Group Limited updated its short-term outlook that was recently provided to the market at the Group’s Operational Briefing on 9 February 2021.

"Macquarie now expects the Group’s result for the year ended 31 March 2021 (FY21) to be up approximately 5% to 10% on FY20," Macquarie said, citing recent conditions in Texas for the improvement

"Extreme winter weather conditions in North America have significantly increased short-term client demand for Macquarie’s capabilities in maintaining critical physical supply across the commodity complex and particularly in relation to gas and power," Macquarie said

The short-term outlook is subject to a range of uncertainties including:

• The duration and severity of the COVID-19 pandemic

• The uncertain speed of the global economic recovery

• Global levels of government support for economies

• Completion of period-end reviews including asset impairment and expected credit loss allowances

• The completion rate of transactions

• Geographic composition of income

• The impact of foreign exchange

• Potential tax or regulatory changes and tax uncertainties

• Market conditions including significant volatility events and the impact of geopolitical events

"We continue to maintain a cautious stance, with a conservative approach to capital, funding and liquidity that positions us well to respond to the current environment," Macquarie said