CSG Confident of new record Computer services company CSG delivered a 36 per cent increase in net profit for the half-year ended December 31 thanks to new contract wins despite the slowing economy. The Darwin-based company lifted net profit to $11.06 million from $8.13 million a year ago, and also notched up a 45 per cent increase in revenue to $85 million during the half. But management steered clear of providing guidance for the second half as it awaits news of several government tenders. Nonetheless, based on first-half trading, management was confident the second-half result would be another record. The contracts include some federal government agreements that CSG picked up when it acquired the managed services arm of Commander Communications. A dividend of 2¢ was declared, steady on a year ago. Close 55¢ Peter Wells WAM Active Safety in cash strategy Hedge fund WAM Active had already watched the credit crunch start to unfold when it listed in January 2008 at $1 a share, but rather than short-selling, it opted to preserve capital. It held 69 per cent of its portfolio in cash and fixed interest in January this year, and has delivered a loss of 11.2 per cent since inception against a benchmark loss of 43.3 per cent over the past 13 months. While it has been criticised for charging fees for this strategy, its directors point to high portfolio turnover in the invested portion of the fund. Its top holdings are in the financial sector, including the ASX, National Australia Bank, Everest Financial Group and Westpac. Like all listed financials, WAM's share price has faltered over the past year, although the fall has been minor in comparison to many peers. Close 70¢ Jane Searle Suncorp Future under a cloud Suncorp shares are up on talk it will sell off its banking arm. But there are also rumours it could be taken over and split into banking and insurance parts. This month's $1 billion capital raising, at just $4.50 a share, was at a 33 per cent discount to the close on February 4. With the raising came news that profit for the six months to December 31, 2008 was likely to fall by 32 per cent, well below market estimates, and of chief executive John Mulcahy's exit. But when the trading halt ended the shares did not hit the raising price. On analyst estimates, $4.50 a share is well below Suncorp's book value and, in effect, values its banking arm at zero. Management has said it is not "actively engaged" in a banking sale and the extra $1 billion capital gives it the buffer needed to get through a jump in bad loans in 2009. But if that does not work, there is always plan B - break up and sell off. Close $5.49 Matthew Drummond Automotive Holdings Car sales remain slow Falling interest rates and lower fuel costs haven't been enough to prevent Automotive Holdings, Australia's largest car dealership, from forecasting vehicle sales will tumble further in the second half of fiscal 2009. The forecast came as the Perth-based company booked a 23 per cent dip in underlying net profit, which fell to $18.2 million for the six months to December 31, after an 18 per cent of drop in revenue. But the company has been more resilient than other car dealers, experiencing a 6 per cent deterioration in new vehicle sales against the average plunge of 12 per cent. Its share price lost more than 70 per cent value, reaching a 52-week low of 42¢ on November 24. Since then the stock has traded relatively flat. Fund manager Perpetual dropped its stake by over 1 per cent to 12.8 per cent on February 9. Close 69¢ David Ciampa Novogen Research funds lacking Biotech group Novogen, which announced cost-reduction measures last Friday, has been struggling to raise funds to develop its anti-cancer therapies. The company, whose shares plunged this week on the news, said lack of access to credit markets forced it to rely on internal resources to propel the commercialisation of its oncology research and development program. The cost-reduction measures include outsourcing the manufacturing of clinical-stage compounds, reducing worldwide staff numbers and implementing fee and income reductions of 20 per cent for board and executive management. Novogen advised that its cash balance at December 31 was $44 million, and that the group's most advanced anti-cancer compound, phenoxodial, was in advanced clinical trials. Close 60¢ Khia Mercer