New Zealand companies were likely to fare better than Australia overall in the December reporting season, which starts this week.
Craigs Investment Partners broker Chris Timms told the Otago Daily Times Australia would probably be affected by the large proportion of resources stocks on the Australian market.
Companies with defensive earnings should fare better than more cyclical stocks, given recent economic conditions had been mixed.
The benefit from a weaker currency should be noticed in company results.
In the six months ended December, the New Zealand and Australian dollars were weaker against the US currency than in the six months ended December 2014, he said.
In New Zealand, Air New Zealand was likely to report a strong result.
Air NZ was a key beneficiary of lower oil prices, as well as increased inbound tourism.
Recent operating trends had been positive, with the company successfully filling the extra seats it had been adding to the routes.
Any potential capital management would be well received, Mr Timms said.
One of the main beneficiaries of a weaker oil price on the New Zealand market was Refining New Zealand.
"We expect the company to report a strong result, with falling oil prices as well as company initiatives resulting in the gross refining margin lifting above long-term averages.''
Scales recently upgraded its forecast earnings for the year to December.
All divisions had traded ahead of expectations and Scales benefited from price increases, he said.
In Australia, more "defensive'' names were expected to report robust results.
Sydney Airport had experienced strong passenger-growth statistics in recent months, driven by a weaker currency, increased airline capacity and exposure to the increasing number of Chinese tourists.
Sydney Airport was an attractive investment despite a strong run of late.
Auckland Airport would probably benefit in a similar vein, Mr Timms said.
Transurban had also experienced strong traffic growth recently, particularly in Sydney and Melbourne, which would have more than offset a weaker performance in the company's developing Queensland network.
Coupled with ongoing efficiency improvements, that should drive a strong earnings performance.
AGL Energy enjoyed favourable conditions during the period.
The Australian summer had been a good one, boosting demand and lifting prices, while the large liquefied natural gas (LNG) plants in Queensland had come on line.
"We will also be watching for news relating to a potential share buyback or an increase in the dividend payout ratio.''
There would also be some weak results, Mr Timms said.
The first place to look for weak results would be in the energy and resources sectors in Australia.
BHP Billiton, Rio Tinto, Origin Energy and Woodside Petroleum were high on the list.
Although shares in those companies had performed very poorly in recent times, valuations were not cheap, as earnings had also fallen substantially.
"We are not positive on the outlook for Australia's key export commodities and believe it is still too early to buy these names.''
Pathology volume data below the long-run average suggested Sonic Healthcare faced moderately challenging conditions in the fourth quarter.
The regulatory uncertainty was likely to hang over the stock and be a key theme in the analyst conference call after the release of the results, he said.
The Wesfarmers result would be interesting.
Wesfarmers' key competitor, Woolworths, was struggling, with recent news indicating Wesfarmers' Coles Supermarket business, along with discounter Aldi, was taking share despite Woolworths investing significantly in reducing pricing.
Recent data suggested Coles had also reduced its prices, which could have affected margins and offsetting share gains, Mr Timms said.
The Bunnings business would have performed well over the second half, benefiting from the strong Australian housing market, while key competitor Masters had struggled.
While making up less than 5% of revenue, Wesfarmers coal operations would have been hit hard by the downturn in commodities during the year.
ANZ Bank had performed poorly lately compared with Commonwealth Bank of Australia and Westpac and Craigs would watch the bank's result with interest, Mr Timms said.
"We expect any positive update on domestic condition for ANZ, and any announcement regarding details on the divestment of the bank's Asian operations, which have been a drag on recent performance, should be well received by the market.''
The results of New Zealand gentailers (electricity generators and retailers) would be watched closely.
The sector had been sold off recently following announcements alluding to intense retail competition.
A solid result would be well received by the market, he said.
