☕️ Hearing (downgr)Aids

Cochlear sinks 40% on ‘staggering’ earnings downgrade.

April 23, 2026

Good morning.

Cochlear stunned investors on Wednesday, slashing its FY26 underlying profit guidance by 23.5% at the midpoint, cratering its shares more than 40% to its lowest price in more than a decade, shedding more than $4 billion from its market capitalisation.

The company articulated a long list of factors driving the downgrade, one of which was the risk of order cancellation and delivery delays in the Middle East, Capital Brief reports.

The response by Cochlear chief executive Dig Howitt was less than reassuring: “What we’re seeing from a consumer sentiment perspective is extreme, based on history, particularly in the US. I don’t know if anyone knows, certainly not us, how quickly that’s going to change.”

ASX as at market close. Commodities and crypto in USD.

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Market movers

Shares in wine producer Treasury Wine Estates jumped on Wednesday after the company announced a major restructure that will see its flagship Penfolds brand no longer operate as a standalone division, making it the top performer on the ASX for the session.

The quick sync

  • Australian quantum startups are integrating Nvidia's Ising AI models to accelerate the path to commercial viability. (Capital Brief)

  • Australia's illicit tobacco trade to blow a $65b hole in the budget by decade's end, as tsar warns no magic bullet. (Capital Brief)

  • Westpac boss Anthony Miller axes bank's entire customer and corporate services division, redistributing thousands of staff across organisation. (Capital Brief)

  • Health Minister Butler calls NDIS a honeypot for fraudsters as he unveils the biggest overhaul of the scheme since its creation. (Capital Brief)

  • Treasury Wine's former COO Robert Foye says the company's restructure does not go far enough. (Capital Brief)

  • After its lavish AI launch, Canva faces the question every software company must answer: how much intelligence to own and how much to rent. (Capital Brief)

Trading floor

M&A

  • US could own up to 90% of Spirit Airlines in USD500m rescue plan. (Bloomberg)

  • TMX Group acquires Cboe Australia for $409m. (Capital Brief)

  • Volkswagen selects shortlisted bidders for the next round of selling its Everllence unit, as part of restructuring. (Reuters)

  • LSKD signs sustainability deal with Samsara Eco. (Capital Brief)

  • ExxonMobil explores a sale of its Hong Kong gas station business valued at up to USD600m to streamline operations. (Reuters)

  • Coronado Global Resources is expected to join coal sector M&A activity following major deals. (AFR)

  • Commerzbank CEO rejects a potential tie-up with UniCredit, citing lack of a convincing strategy. (Reuters)

  • Steel Dynamics says BlueScope has not engaged after rejecting its takeover offer, keeping the bid situation unresolved. (The Australian)

  • Intertek receives an improved takeover offer from EQT, signaling continued deal momentum. (Reuters)

  • A Ray-Ban heir, Leonardo Maria Del Vecchio, advances talks for a USD10b buyout of family stakes, aiming to consolidate control. (Bloomberg)

  • Fermi Energia rejects calls from a former CEO to sell the company, opting to remain independent. (Reuters)

  • United Airlines downplays merger speculation, while US officials signal skepticism toward airline consolidation. (Reuters)

Capital Markets

  • Bank of Queensland reports falling profit and prepares for slower growth. (Capital Brief) (Capital Brief)

  • Edible Blooms seeks private equity investment to support growth. (AFR)

  • Blackstone considers selling high-grade bonds from a private credit fund. (Bloomberg)

  • Corporate Travel Management confirms $223m revenue reversal after accounting review. (Capital Brief)

  • Blackstone and KKR work to restructure a USD1.4b private loan. (Bloomberg)

  • Carsome, backed by Temasek and Qatar Investment Authority, considers an ASX listing. (AFR)

  • Hastings Technology Metals expects USD53m revenue from a Thai rare earths plant. (SMH)

  • A potential merger between Deutsche Telekom and T-Mobile US could accelerate transatlantic M&A activity. (Bloomberg)

  • Cochlear cuts guidance due to sales decline and Middle East risks. (Capital Brief) (Capital Brief) (Capital Brief)

  • Edge Early Learning faces cash flow issues, creating tension among shareholders. (AFR)

  • The NRF invests $10.1m in semiconductor firm Syenta to boost chip performance. (Capital Brief)

  • Commentary highlights internal dynamics and lesser-known figures behind Firmus’ growth story. (AFR)

  • Former Credit Suisse team plans a USD1b fund targeting data centre-related risks and opportunities. (Bloomberg)

  • Strong investor demand pushed Omega Oil and Gas to upsize its capital raising amid energy security interest. (The Australian)

  • BHP expects copper production at the high end of guidance. (Capital Brief)

  • Herbert Smith Freehills and Ashurst benefit from increased US deal activity, boosting partner promotions. (AFR)

  • EBOS Group downgrades outlook due to rising costs. (Capital Brief)

  • Nvidia backs AI company Vast Data at USD30b valuation. (CNBC)

  • Tesla shares rise after surprise free cashflow beat. (Capital Brief)

  • Tesla sees its battery business growth slow, despite being a key profit driver. (Bloomberg)

  • Woolworths Group defends its pricing rules as necessary to prevent supplier manipulation. (AFR)

  • LinkedIn receives a temporary reprieve from news bargaining rules, amid talks involving Microsoft. (SMH)

  • Dell revives its XPS line, with the XPS 16 marking a strong product comeback. (Bloomberg)

  • Perpetual sees $8.3b drop in assets under management. (Capital Brief)

  • Private credit funds on the ASX are delivering fewer buybacks than expected, raising investor concerns about liquidity. (AFR)

  • Robinhood invests USD75m in OpenAI via its venture fund, signaling continued AI investment momentum. (Reuters)

  • Syrah Resources completes capital raise; AustralianSuper increases stake. (Capital Brief)

  • Scentre Group maintains guidance with strong sales performance. (Capital Brief)

  • Bondi Sands faces a viral TikTok complaint, highlighting reputational risks in social media. (Smart Company)

  • Treasury Wine Estates shares surge after major restructure. (Capital Brief)

    (Capital Brief)

  • SpaceX is selected for an industry group to develop advanced defense-related software systems. (Bloomberg)

  • Qube receives ASX waiver for asset sale structure. (Capital Brief)

  • UBS expects a USD4b capital impact from new Swiss regulations. (Bloomberg)

  • Kaiser Reef prepares for a major gold drilling campaign in Victoria. (SMH)

  • Ampol shares rise on higher production. (Capital Brief)

  • Polymarket loses prediction market lead to Kalshi after delays, blowback. (Bloomberg)

  • DeepSeek is in talks to raise funding at a USD20b valuation, reflecting strong AI investor demand. (Bloomberg)

  • Canva faces post-launch challenges after AI rollout. (Capital Brief)

  • Lindian Resources secures $16m funding to develop its Malawian rare earths project. (SMH)

  • Northern Star maintains production outlook with strong cash flow. (Capital Brief)

  • Goldman Sachs moves to settle a shareholder lawsuit tied to the 1MDB scandal. (Bloomberg)

  • Government plans major NDIS overhaul to reduce growth and costs. (Capital Brief)

  • Microsoft faces a UK class action lawsuit over cloud licensing practices. (Bloomberg)

  • True North Copper launches advanced surveys to expand its Queensland copper discovery. (SMH)

  • Generation Development Group falls after weak FUM growth. (Capital Brief)

  • Santos restructures operations to cut costs and improve efficiency. (Bloomberg)

  • Google launches new AI chips to rival Nvidia. (Capital Brief)

  • Citadel Securities highlights that AI brings both trading advantages and rising costs. (Bloomberg)

  • Boeing narrows losses as aircraft deliveries increase. (Capital Brief)

  • Goldman Sachs settles shareholder lawsuit over 1MDB scandal. (Reuters)

  • Builder.ai founder Sachin Dev Duggal accused of receiving siphoned funds. (FT)

VC 

  • Quantum startups use Nvidia AI to speed up progress. (Capital Brief)

  • Mental Jam wins a startup pitch competition, showing transition from academic research to commercial success. (Startup Daily)

  • Syenta raises $36m Series A to develop AI chips, advancing local semiconductor innovation. (Startup Daily)

People moves

  • Westpac restructures leadership, cutting an executive role. (Capital Brief)

  • Finder cuts 54 jobs globally as part of restructuring. (Smart Company)

  • MA Moelis Australia replaces resources lead after mining head departs. (AFR)

  • Job ads decline slightly, but AI-related roles surge sharply. (Capital Brief)

  • OpenAI hires a former Airbnb executive Emmanuel Marill to lead expansion in Europe, Middle East, and Africa. (Bloomberg)

  • Female barristers in Australia earn record $300m in fees, with the gender pay gap narrowing. (AFR)

  • Hugh Jackman joins Humanitix as head of impact, boosting its social mission profile. (Startup Daily)

  • Goldman Sachs named Akila Raman to head its global alternatives capital markets business. (Bloomberg)

  • JPMorgan hires two top technology bankers from Bank of America, memo says. (Reuters)

☝️ Know about a deal or people move we don’t? Hit reply.

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