3 ASX All Ords shares getting hammered on disappointing results

The S&P/ASX All Ordinaries Index (ASX: XAO) is in the green today, up 43%. But investors are dumping these three ASX All Ords shares following the release of their quarterly results today.

Let’s take a look at the detail.

Praemium Ltd (ASX: PPS)

The Praemium share price is down 4.72% to 75.8 cents at the time of writing after falling as low as 73 cents this morning.

The ASX All Ords share opened at 75 cents following the release of its 1H FY23 results before the market began trading. This was a 6.25% fall on yesterday’s closing price.

Praemium provides administration software, investment platforms, and financial planning tools to the wealth management industry.

The company reported unaudited figures showing total funds under administration (FUA) increased by 6% to $42.7 billion over the six months ending 31 December 2022. However, there was a big dip in net inflows, down 53% to $1,016 million compared to the half-year ending 31 December 2021.

Praemium CEO Anthony Wamsteker said:

Investor sentiment has been very subdued in the wake of three successive previous quarters of negative markets and high volatility.

The Praemium share price is down 46% over the past 12 months.

Alumina Limited (ASX: AWC)

The Alumina share price is down 7.35% to $1.575 at the time of writing. The ASX All Ords share opened at $1.64 following the pre-open release of its joint venture partner’s 4Q 2022 results. This was a 3.5% fall on yesterday’s closing price.

Alumina has a 40% equity share of Alcoa World Alumina and Chemicals (AWAC), which owns substantial global bauxite reserves and operates alumina refineries.

Alcoa reported a substantial decline in adjusted earnings before interest, tax, depreciation, and amortisation (EBITDA) for its alumina segment over the December quarter. Alumina’s EBITDA was $27 million, down from $69 million in 3Q 2022.

Bauxite EBITDA was $24 million, an increase from $15 million in 3Q 2022.

This resulted in lower net distributions to Alumina at $4.5 million in the second half of 2022.

Alumina CEO Mike Ferraro hinted the board may not declare a final dividend for 2022 this earnings season. He blamed increased input costs and subdued alumina prices for the poor results.

Ferraro said:

Despite these near-term challenges, AWAC will benefit from an improvement in alumina prices. The re-opening of China, reduction in shipping costs, recent refinery curtailments, and smelter restarts in Europe and the Americas all provide support for alumina prices.

We note that the alumina price has increased since the start of 2023 to $360/t on 18 January 2023.

The Alumina share price is down 23% over the past 12 months.

Carnarvon Energy Ltd (ASX: CVN)

The Carnarvon share price is down 1.61% to 15.3 cents at the time of writing. The ASX All Ords share opened at 15.5 cents after the company released its December quarter activities and cash flow report before the market open. This was level with yesterday’s closing price.

Carnarvon Energy is an oil and gas exploration company. It reported that operating activities over the quarter cost $1.06 million. It reported a cash or cash equivalents balance of $97.9 million with 19.8 quarters of estimated funding available and no debt.

Managing director Adrian Cook said:

The Company remains very focused on delivering several key Dorado based workstreams, all of which are expected to generate substantial value for shareholders and be reflected in the Company’s share
price over time.

First, the Company’s key strategic priority is to reach a Final Investment Decision (FID) for the Dorado development. The Company is also focused on integrating the Pavo North oil discovery which successfully added an additional 43 million barrels resource.

Concurrently, the Company continues to assess the huge exploration upside potential in the Bedout Sub-basin which we plan to progressively capture. This work has identified combined prospective resources of over 1.5 billion barrels of oil equivalent within the top 20 prospects alone.

The Carnarvon Energy share price is down 51% over the past 12 months.

The post 3 ASX All Ords shares getting hammered on disappointing results appeared first on The Motley Fool Australia.

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Motley Fool contributor Bronwyn Allen has positions in Alumina. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Praemium. The Motley Fool Australia has recommended Praemium. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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