Category: Stock Market

After copping a pretty ordinary financial report in the morning, Ramsay Health Care Limited (ASX: RHC) shareholders have more to worry about Friday afternoon.

The healthcare shares were put in a trading halt in the morning but were released at 1:32pm after the company updated the ASX on KKR & Co consortium’s takeover proposal.

The letter received overnight indicated the consortium is withdrawing from the $88 per share offer first floated in April.

At the time of writing, Ramsay shares have fallen 4% to $70.02.

How do you handle a problem like Ramsay Santé?

The cancellation of the takeover offer comes after the consortium ran into difficulties performing due diligence on Ramsay’s European subsidiary Ramsay Generale De Sante SA (EPA: GDS).

Ramsay Health owns about 53% of the shares in the listed company commonly known as Ramsay Santé. Ramsay chief Craig McNally is chair of the European arm.

The trouble is Ramsay Santé did not want to open up its books to KKR & Co, because it owns its French rival Elsan.

The stalemate had gone on for the last four months, but now it seems the consortium has run out of patience.

“The Consortium has advised Ramsay that it has elected to no longer seek due diligence access from Ramsay Santé and has advised the board of Ramsay Santé accordingly,” Ramsay stated to the ASX on Friday afternoon.

“Ramsay Santé due diligence was required to progress the indicative proposal and the Consortium has now informed Ramsay that it has withdrawn the indicative proposal.”

Could there be a third offer?

Due to the difficulties with Ramsay Santé, the consortium had already put up an alternative offer where the first 5,000 shares for each shareholder would receive $88. Then for each stock above that the investor would receive $78.20 plus 0.22 Ramsay Santé shares.

Perhaps anticipating the consortium’s rejection of the original $88 offer, on Thursday night the Ramsay board stated the alternative proposal was not acceptable.

“The Ramsay Board has considered the alternative proposal and is unanimously of the view that it is meaningfully inferior to the consortium’s indicative proposal of $88.00 cash per share,” the company stated.

“In forming this view, the Ramsay board had regard to both the lower implied value relative to the allcash proposal, as well as structural challenges, execution complexity and the low liquidity of Ramsay Santé shares.”

So the original proposal has been killed by the buyer and the alternative offer was ruled out by Ramsay.

This might not be the end of the story though.

The healthcare provider announced on Friday afternoon that it would still keep the door open for a different, third, offer.

“Ramsay is prepared to engage with the consortium to determine whether it can put forward an improved binding proposal that is capable of recommendation by the Ramsay board.”

The post Ramsay share price plunges 4% after suitor withdraws takeover offer appeared first on The Motley Fool Australia.

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More reading

• Ramsay shares halted after earnings slashed and takeover letter lands
• Earnings preview: Here are the ASX shares reporting today
• 5 things to watch on the ASX 200 on Friday
• What’s been impacting the Ramsay Health share price this week?
• 5 things to watch on the ASX 200 on Monday

Motley Fool contributor Tony Yoo has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Ramsay Health Care Limited. 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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The Australian Finance Group Ltd (ASX: AFG) share price is currently up 6.33% today after the company posted a bullish FY22 earnings card this morning.

Shares in the mortgage broking and lending group are currently trading at $2.02 each. They touched a high of $2.05 shortly after the market opened this morning.

Let’s go over the highlights of the ASX financial company‘s report.

What did the company report?

• Fully franked dividend of 9.6 cents per share
• Total revenue up 24.35% year-over-year (YoY) to $928.98 million
• Normalised underlying net profit after tax and amortisation (NPATA) up 12% YoY to $55.8 million
• Balance sheet of net cash and short-term investments of $217 million
• Trail book net assets up 223.52% YoY to $5.5 million.

Australian Finance Group CEO David Bailey attributed its earnings growth primarily to diversification into additional different business lines, including AFG Securities.

This is claimed to have led to a 20% group earnings increase from the corresponding reporting period and buoyed the final dividend amount by 30%. Settlements for AFG securities doubled in FY22, with especially strong performance observed in 2H FY22.

Its direct lending product line experienced the most growth in FY22, with settlements up 102% to $2.7 billion. Still, Bailey notes that aggregation remains the company’s most important business, with its loan book expanding to a record value of $182.2 billion and recording $59.4 billion worth of settlements throughout the year.

The fully franked dividend of 9.6 cents has a record date of 6 September and a payment date of 22 September. Total dividends for FY22 ended at 16.6 cents per share, representing a payout ratio of 80% and a dividend yield of roughly 9%.

What else happened in FY22?

Australian Finance Group mentioned the performance from its strategic investments into Thinktank, Fintelligence, and BrokerEngine, saying they contributed to its earnings and helped the company achieve its strategic priorities of expansion and diversification.

Thinktank contributed $6.1 to the company’s earnings, and Fintelligence contributed $3.6 million in FY22.

Some opportunities these investments allow the company to tap into include the reportedly under-served asset finance market. BrokerEngine’s financial technology will also synergize with its offering to brokers and customers.

The company notes that its efforts in expansion and diversification have been largely successful, with AFG securities contributing 26% of gross profit for FY22, behind its leading aggregation segment at 46%. By comparison, AFG Securities is claimed to have only contributed 4% in FY2015.

What did management say?

Bailey welcomed the FY22 results, saying:

AFG Securities settlements more than doubled in the year, significantly outperforming the strong 36% growth in both white label (distributed on behalf of ADIs) and aggregation settlements.

This outperformance was maintained throughout the year, with settlements in the second half exceeding the first half period.

What’s next?

In its outlook for FY23, Australian Finance Group noted that interest rates were in the process of moving to “more neutral levels” by the Reserve Bank of Australia (RBA).

However, the company added that the big picture was that these rate hikes remained at “historically low levels” and that the broader economy was still performing strongly, noting the low unemployment levels. The company estimates that demand for mortgage and broking services will likely remain high.

Alongside a more neutral backdrop, the company also said it had a solid pipeline of fixed-rate residential mortgages that were due for renewal over the next few years, valued at roughly $46 billion. The impact of these loans is that they will provide the company with future settlements as well as cross-selling opportunities to expand its loan book further.

Australian Finance Group share price snapshot

The Australian Finance Group share price is down 23.96% year to date. Comparatively, the S&P/ASX 200 Financials Index (ASX: XFJ) is doing better. It’s down 4.01% over the same period.

The company’s market capitalisation is around $540 million.

The post Australian Finance Group shares rally 6% as company posts $55 million profit appeared first on The Motley Fool Australia.

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More reading

• Here are the 3 most heavily traded ASX 200 shares on Friday
• Ramsay share price plunges 4% after suitor withdraws takeover offer
• Polynovo share price plummets 15% despite surging full-year revenue
• TerraCom share price rockets on 900% dividend upgrade
• Why are Core Lithium shares seeing so much action in August?

Motley Fool contributor Matthew Farley has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. 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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The Polynovo Ltd (ASX: PNV) share price is tumbling following the release of the company’s financial year 2022 results.

After opening 3.5% higher at $2.09, the medical device developer’s stock plummeted to a low of $1.715, marking a 15% fall.

It has since posted a slight recovery to trade at $1.72, 14.85% lower than its previous close, at the time of writing.

Polynovo share price plunges as revenue lifts to $41.9m

 Here are the key takeaways from the company’s full-year results:

• Revenue lifted 42.8% on that of the prior corresponding period (pcp) to $41.9 million
• Posted a $1.2 million after-tax loss – an improvement on the pcp’s $4.6 million loss
• Revenue from the company’s NovoSorb Biodegradable Temporising Matrix (BTM) product lifted 47.6% to $37.6 million
• Revenue from the US grew 55.1% to $32.1 million
• Ended the year with $6.1 million in cash, down from $7.7 million at the end of the pcp

Most of the company’s revenue last financial year came from its NovoSorb BTM product. The product is a dermal scaffold for the regeneration of the dermis.

Thus, COVID-19‘s significant impact on hospital trauma, burn, and elective surgery activity took its toll on the company in the first half.

The company’s full year loss also includes the reversal of $4.7 million in share-based payments expense and an unrealised foreign exchange gain of around $500,000.

Excitingly, its monthly revenue reached a record $4 million in January.

What else happened in FY22?

There was plenty of exciting news from the medical devices company last financial year.

The Polynovo share price lifted 1.5% when the company announced it had enrolled its first patient in a Biomedical Advanced Research and Development Authority (BARDA) funded burn study in September.

It also lurched 15% on news of record monthly US sales in October and November.

What did management say?

Polynovo chair David Williams and CEO Swami Raote commented on the company’s results, saying:

The FY22 effects of COVID-19 lockdowns and healthcare staff shortages on hospital trauma, burn and elective surgery is well known. As the year progressed, lockdowns ended, and as we learned to live with COVID-19, sales improved significantly.

Sales growth in each of our direct markets continued throughout the year … Monthly sales have consistently exceeded $3 million since December 2021 and are edging closer to consistently exceeding $4 million. Growth in sales has been driven by organic growth in established accounts together with new customer account acquisition.

The market available to PolyNovo is significant and we will continue to invest cash flows to accelerate capturing this market and growing top line revenue.

What’s next?

The company is currently spinning many plates, with plenty set to come to fruition in the near future.

Firstly, it’s working to optimise its distribution model in Europe after achieving its first sales in Denmark, Cyprus, Poland, Greece, and Turkey last financial year.

Back to North America, it submitted its Canada BTM licence application late in FY22, with approval expected in the second quarter.

It’s also planning to double down on the US and Australia and New Zealand markets, with a focus to expand beyond burns.

On that note, many of the company’s products are undergoing numerous clinical trials and studies to assess their ability to treat various ailments.

Polynovo share price snapshot

The Polynovo share price has been outperforming in 2022 so far despite today’s tumble.

The stock has gained 15% since the start of the year. Though, it has fallen 11% since this time last year.

For context, the All Ordinaries Index (ASX: XAO) has slipped 7% year to date and 5% over the last 12 months.

The post Polynovo share price plummets 15% despite surging full-year revenue appeared first on The Motley Fool Australia.

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More reading

• Why City Chic, Macquarie Telecom, Polynovo, and Smartgroup shares are sinking
• Earnings preview: Here are the ASX shares reporting today
• How did the Polynovo share price respond last time the company reported?
• 3 ASX 300 shares having a cracking session today
• What’s with the Polynovo share price on Wednesday?

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended POLYNOVO FPO. The Motley Fool Australia has no position in any of the stocks mentioned. 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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The TerraCom Ltd (ASX: TER) share price is going skywards this afternoon, up 13% to $1.11 after the coal miner revealed a nine-fold increase in its dividend.

The company declared a final dividend of 10 cents per share for the 12 months to 30 June 2022 today.

This comprises an ordinary dividend of 7.5 cents per share and a special dividend of 2.5 cents per share. The payment will be unfranked.

The last time TerraCom paid a dividend was in 2019. That was an interim dividend of 1 cent per share unfranked.

Why has the TerraCom dividend gone up so much?

The company has decided to update its dividend policy and distribute more of its profit to shareholders.

TerraCom will adopt a new dividend payout ratio of 60% to 90% of net profit after tax (NPAT).

The company will pay dividends on a quarterly basis and those dividends will be franked.

The ASX mining share will go ex-dividend on 2 September. Shareholders will receive the dividend on 19 September.

TerraCom is reviewing its overall capital management program “with the intention to further improve working capital in the business and tax effective ways to make returns to shareholders”.

The miner said the review “will contemplate numerous value accretive initiatives”.

What did management say?

Non-executive TerraCom chair, Graeme Campbell, said:

On behalf of the Board and Management, I am extremely pleased with the ongoing consistent performance of the Company which has enabled this dividend to be declared and an update to our distribution policy.

We have a strong forward outlook on the coal market and look forward to providing income and capital to our shareholders on a regular basis.

TerraCom is an emerging resources explorer with a large portfolio of operating assets in Australia and South Africa.

The post TerraCom share price rockets on 900% dividend upgrade appeared first on The Motley Fool Australia.

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More reading

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• 1 bear market blunder investors are still making
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Motley Fool contributor Bronwyn Allen has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. 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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Core Lithium Ltd (ASX: CXO) shares are certainly getting plenty of attention this month.

Just three hours after market open today, more than 9.5 million shares have changed hands, with a value of more than $13.3 million. A figure that’s sure to rise significantly before market close.

At time of writing, Core Lithium shares are down 1.1% at $1.38 apiece.

What’s driving ASX investor interest in August?

The biggest day of trading so far this month saw more than 55 million shares change hands on 16 August. Though that wasn’t the only day that trades topped 50 million this month.

So, why are Core Lithium shares seeing so much action in August?

On a company-specific level, the company kicked off the month well.

On 1 August the explorer reported “world-class high-grade lithium intersections” at its Finniss Lithium Project, located near Darwin in the Northern Territory.

On a broader level, a large part of ASX investor interest in Core Lithium shares looks to be driven by the strong global outlook for lithium.

According to Trading Economics data, lithium carbonate prices in China extended their rally in the final full week of August.

Lithium prices remain right near all-time highs, just off their March 2022 records.

Supplies for the light weight, highly conductive metal remain tight while demand is soaring.

Lithium is a crucial component in EV and grid storage batteries. And as the world looks to decarbonise, EV growth is rocketing. Growth that’s led by China, the world’s most populous nation and number two economy.

In August, the China Passenger Car Association (CPCA) reported a total of 571,000 EV sales for the month of June, up 141% year on year and setting a new monthly record high. CPCA is forecasting an 84% increase in EV sales in China, to 5.5 million vehicles for all of 2022.

Atop record sales in China, August also saw the United States extend tax credits for new EV purchases as part of US$347 billion earmarked for climate and energy spending. News that likely spurred fresh interest in Core Lithium shares.

How have Core Lithium shares been tracking?

While there have been some significant downswings in 2022, the bullish momentum has seen Core Lithium shares charge 119% higher since the opening bell on 4 January. By comparison, the All Ordinaries Index (ASX: XAO) is down 7% year-to-date.

The post Why are Core Lithium shares seeing so much action in August? appeared first on The Motley Fool Australia.

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More reading

• Could Pilbara’s inaugural profit signal good times ahead for ASX lithium shares?
• Here are the 3 most heavily traded ASX 200 shares on Monday
• Down 16% in a week, what’s next for the Core Lithium share price?
• Could ASX battery minerals shares be in for a boost next month?
• Why has the Core Lithium share price rocketed 50% in a month?

Motley Fool contributor Bernd Struben has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. 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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This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

A lot has changed in the past year in the stock market as growth stocks have been crashing hard, with the Nasdaq dropping by 15%. Even the more stable S&P 500 has fallen 6%. Concerns about inflation and a possible recession are weighing on investors.

But despite these fears, many investors are still making potentially costly mistakes by focusing on current trends and hopping on stocks that simply aren’t good buys. Here’s what I mean.

Investors are taking on too much risk

Billionaire investors Warren Buffett and Charlie Munger have compared the markets to a gambling parlor. This could explain why a struggling retailer like Bed Bath & Beyond, which has incurred losses of more than $866 million over the trailing 12 months, can skyrocket more than 45% within a single trading session as it did last week.

Another example of that gambler mentality is the desire to invest in companies that have monkeypox treatments or vaccines. Shares of SIGA Technologies, which makes a monkeypox treatment, have jumped close to 260% in just the past six months. Bavarian Nordic is up 64% during that period as investors are hopeful about its monkeypox vaccine. Meanwhile, the S&P 500 has declined 4% over that stretch.

While some investors are earning quick profits on this short-term trading, buying at the wrong time could lead to significant losses. There’s also the danger of hanging on too long with these types of stocks.

What’s hot today could be a dud next year

If you end up buying a stock based on a short-term trend, the risk is that when the frenzy calms down, you could be left holding the bag, with an investment that doesn’t look nearly as exciting as it once did.

COVID-19 vaccine maker Moderna (NASDAQ: MRNA) is a good example. Last year, its stock price jumped 143% as rising COVID case numbers made the healthcare stock a hot buy. This year, the company expects to generate $21 billion in revenue from its vaccine.

But beyond that, there are big question marks surrounding the business. Moderna’s focus on COVID has resulted in a lack of diversification for the company, and that has made investors wary of the stock. It’s down 40% year to date.

It’s a similar story for rival COVID vaccine maker Novavax, which in 2020 jumped by a whopping 2,700%. But with its COVID vaccine not obtaining Emergency Use Authorization until just last month and the company slashing its sales forecast for 2022 in half, its shares are down 75% this year.

Investors shouldn’t overlook fundamentals

The key takeaway for investors is to focus on long-term trends and a company’s business prospects beyond just the short term. While SIGA Technologies might be a hot buy this year, it could give back many of its gains if monkeypox cases subside and the disease doesn’t derail the global economy the way COVID has over the past few years.

More stable healthcare stocks, such as Merck and AbbVie, have proved to be sound investments and have outperformed the markets this year, with returns of 19% and 4%, respectively. Although they might not generate sky-high returns in the short term, they also won’t jeopardize your savings and put your portfolio at great risk.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

The post 1 bear market blunder investors are still making appeared first on The Motley Fool Australia.

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More reading

• Prediction: This bear market will test your resolve in (at least) 3 ways
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David Jagielski has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Moderna Inc. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

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The IPH Ltd (ASX: IPH) share price is edging higher during Friday afternoon.

This comes despite the announcement by the intellectual property services company that its CEO has offloaded some of his shares.

At the time of writing, IPH shares are swapping hands at $9.60 apiece, up 2.13%.

IPH CEO sells shares to ‘satisfy personal tax obligations’

Investors appear to be unfazed by the company’s latest news, sending the IPH share price into positive territory.

According to the release, IPH managing director and CEO, Andrew Blattman sold a parcel of his shares through an on-market trade.

In total, 400,000 IPH shares were disposed on 24 August.

While the average price per share sold isn’t listed, we do know that $3.64 million went into Blattman’s pockets. This would suggest that each share that was sold was around $9.10 per share.

The company listed the reason for the sale was “to satisfy personal tax obligations arising from the issue of shares under the company’s long term incentive plan.”

It’s worth noting that this is not uncommon, as directors and CEO’s alike sell for various reasons over time.

A catalyst for the IPH shares remaining afloat today despite the sell down can be attributed to some recent broker notes.

According to ANZ Share Investing, the team at Macquarie raised its price target by 45% to $11.95 for IPH shares. Based on the current share price, this implies an upside of roughly 25%.

Furthermore, Canaccord Genuity also bumped up its rating by 15% to $11.65 per share.

It seems that both brokers believe that the IPH shares are undervalued from where they trade today.

IPH share price summary

IPH shares have travelled in circles over the last 12 months, registering a slight gain of 3.7%.

Although, when looking at year to date though, its shares are up 9%.

In particular, the past month has been extremely positive for shareholders with its shares 16% higher following the company’s full-year results.

Based on today’s price, IPH commands a market capitalisation of approximately $2.08 billion, with 218.82 million shares on hand.

The post Guess which ASX 200 CEO just sold $3.64 million worth of his company’s shares? appeared first on The Motley Fool Australia.

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Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended IPH Ltd. The Motley Fool Australia has recommended IPH Ltd. 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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Newcrest Mining Ltd (ASX: NCM) shareholders might be wondering why the share price is looking to finish the week lower.

The gold miner posted its FY2022 results last Friday, reporting losses across key financial metrics.

Subsequently, the board elected to slash its final dividend to US 20 cents per share.

At the time of writing, the Newcrest share price is down 2.43% to $18.44 apiece.

Let’s take a look below at why its shares are falling during trade on Friday.

What’s weighing down Newcrest shares?

Following the release of the company’s full-year results last Friday, investors are offloading Newcrest shares as they go ex-dividend today.

The ex-dividend date is particularly important as it determines which shareholders will receive the company’s latest dividend.

If you held Newcrest shares at yesterday’s market close, you will be eligible for the fully franked final dividend.

Typically, when a company’s shares trade ex-dividend, the share price tends to fall in proportion to the dividend paid out. However, this can vary depending on how the market is tracking for the day as well as investor sentiment.

For those eligible for Newcrest’s final dividend, you will receive a payment of US 20 cents per share on 29 September.

This brings the total FY2022 dividend to US 27.5 cents per share, reflecting a 50% cut from the US 55 cents per share declared in the prior corresponding year.

Under the capital management framework, Newcrest is targeting a total annual dividend payout of 30-60% of free cash flow generated for the financial year. The annual total dividends are expected to be at least US 15 cents per share on a full-year basis.

You can also elect for the dividend reinvestment plan (DRP) which will add a portion of shares to your portfolio instead. This will be based on a 5-day volume-weighted average price (VWAP) from 31 August to 6 September.

There is no DRP discount and the last election date to opt in is on 30 August.

Newcrest share price summary

In 2022, the Newcrest share price has come under strong selling pressure as the price of gold continues to retreat. Its shares are down 25% year-to-date.

In comparison, the S&P/ASX 200 Resources (ASX: XJR) sector has treaded the other way, up 9% over the same period.

Based on today’s price, Newcrest commands a market capitalisation of approximately $16.47 billion and has a dividend yield of 3.56%.

The post Why is the Newcrest share price having such a lowsy end to the week? appeared first on The Motley Fool Australia.

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More reading

• 5 things to watch on the ASX 200 on Friday
• Hoping to bag the next Newcrest dividend? Here’s what you need to do
• These ASX 200 shares will trade ex-dividend tomorrow
• Can the gold price outshine sticky inflation?
• Why did the Newcrest share price just slump to a 6-year low?

Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. 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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Shares in Bega Cheese Ltd (ASX: BGA) are rocketing higher today following news of the company’s latest earnings and dividend.

The dairy giant declared a higher final dividend despite its financial year 2022 profits tumbling 69% year over year.

Right now, the Bega share price is up 11.5% to trade at $4.17.

Let’s take a closer look at today’s news from the company and the next dividend investors will be receiving from it.

Bega offers 5.5-cent final dividend

The company revealed it will pay shareholders a 5.5-cent fully franked final dividend for financial year 2022.

That brings the company’s full-year payout to 11 cents per share, a 10% increase on that of financial year 2021. It’s also on par with the highest ever offered by the company.

It also leaves its stock trading with a 2.6% trailing dividend yield at the time of writing.

The increase in dividends came despite Bega posting just $24.4 million of after-tax profits for the 12 months ended 30 June, representing a 69% year-over-year fall, as my Fool colleague Zach reports.

Its earnings before interest, tax, depreciation, and amortisation (EBTDA) also slipped 19% to $149 million. Though, its revenue rose 45% to $3 billion.

Bega is operating its dividend reinvestment plan (DRP) for its latest payout. Investors interested in receiving new shares in the company rather than a cash dividend have until 2 September to subscribe to the DRP.

The stock will trade ex-dividend from 31 August. Of course, that will likely see the Bega share price fall relatively in line with the value of the company’s final dividend. Anyone buying into the company from then on will miss out on the payment.

Finally, the offering will begin to hit investors’ accounts on 23 September.

The post Here’s everything you need to know about the latest Bega dividend appeared first on The Motley Fool Australia.

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More reading

• Why Bega Cheese, Jumbo, Pilbara Minerals, and Qantas shares are rising
• Bega Cheese share price soars as net profit slides 69% year on year
• Here are the top 10 ASX 200 shares today

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. 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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The Splitit Payments Ltd (ASX: SPT) share price won’t be going anywhere today.

This comes as the ASX buy now, pay later BNPL company requested that its shares be placed in a trading halt.

The payment solution provider’s shares are now frozen at yesterday’s closing price of 20.5 cents apiece.

Why is the Splitit share price halted?

Before market open today, the company requested the Splitit share price to be halted while it prepares to make an announcement.

According to its release, Splitit plans to update the market regarding a proposed capital raising by a way of a placement.

Splitit has asked that the trading halt remain in place until Tuesday 30 August or following the release of its announcement, whichever comes first.

What does this mean?

While details remain unknown about the capital raise, it appears the company may be seeking to fund its growth strategy.

In its Q2 FY22 quarterly report, Splitit CEO Nandan Sheth said:

Our differentiated business model that unlocks existing credit for merchant funded instalments is becoming the most viable alternative to the high friction and high-risk legacy BNPL services. The industry is starting to recognize that Splitit’s unique model stands apart in a crowded space of players extending unsecured loans to subprime consumers.

Our new strategy will continue to mature over the next 12 months. As we re-balance our existing merchant portfolio, focusing more on acquiring large profitable merchants, the benefits of this pivot will continue to be realised through 2022, and beyond.

About the Splitit share price

A rollercoaster of the past 12 months has seen the Splitit share price tank almost 60% for the period.

Ultimately, this has led the company’s shares to register a loss of 18% year-to-date.

Splitit has a market capitalisation of $96.64 million with around 471 million shares outstanding.

The post Why is the Splitit share price frozen on Friday? appeared first on The Motley Fool Australia.

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More reading

• 3 ASX tech shares surging more than 10% today
• Why is the Sezzle share price surging 8% on Wednesday?

Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. 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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