The BrainChip Holdings Ltd (ASX: BRN) share price is having a strong day on Wednesday.

In morning trade, the semiconductor company’s shares are up 9% to $1.08.

Why is the BrainChip share price charging higher?

The BrainChip share price is racing higher today despite there being no news out of the company.

However, it is worth noting that the tech sector is booming on Wednesday following a very strong night of trade on Wall Street’s NASDAQ index.

The tech-focused index stormed 3.1% higher overnight on the belief that markets have now found a bottom following stronger-than expected corporate earnings.

Today’s gains have been particularly strong among loss-making tech shares like BrainChip which have been hammered in recent months.

For example, the Life360 Inc (ASX: 360) share price is currently up 7%, the PointsBet Holdings Ltd (ASX: PBH) share price has jumped 8%, and the Zip Co Ltd (ASX: ZIP) share price has surged 9% higher.

This has ultimately led to the S&P/ASX All Technology Index rising by a sizeable 4.4% on Wednesday morning.

Time will tell if the market has reached a bottom or if this is another dead cat bounce.

The post Why is the BrainChip share price storming 9% higher? appeared first on The Motley Fool Australia.

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More reading

• Why did the BrainChip Holdings share price leap 14% on Monday?
• Here’s a look at the 5 best ASX All Ords tech shares in FY22
• How Brainchip shares gained 63% in a year when tech stocks nosedived
• Why did the BrainChip share price crash 30% in June?
• Why is the BrainChip share price sliding 4% today?

Motley Fool contributor James Mickleboro has positions in Life360, Inc. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Life360, Inc., Pointsbet Holdings Ltd, and ZIPCOLTD FPO. The Motley Fool Australia has recommended Pointsbet Holdings 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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The Iluka Resources Ltd (ASX: ILU) share price is charging higher in morning trade, up almost 6%.

Shares of the mineral sands explorer and producer closed yesterday at $8.62 and are currently trading for $8.945 each, or 3.77% higher. That’s after the share price hit a high of $9.12 in early morning trade, a jump of 5.8%

This comes as ASX investors digest the miner’s latest figures from its quarterly update for the three months ending 30 June.

What was reported for the June quarter?

The Iluka share price is surging after the company reported a 5% year-on-year increase in its zircon, rutile, and synthetic rutile production. Total production for the quarter reached 189,000 tonnes.

The first half sales of zircon, rutile, and synthetic rutile reached 421,000 tonnes. This exceeded production levels and decreased Iluka’s inventory of the minerals by 53,000 tonnes.

The Iluka share price also could be getting a lift after the miner revealed it had achieved a weighted average zircon price of US$1,910 per tonne, up 25% from the second half of 2021.

The company also said the “weighted average prices for zircon sand increased by approximately US$140 per tonne, effective 1 July, and all of Iluka’s Q3 2022 zircon sales are fully contracted”.

The miner reported mineral sands revenue of $540.9 million, up from $391.1 million in Q2 2021. And total revenue for zircon, rutile, and synthetic rutile sales during the quarter came in at $2.1 billion, compared to $1.5 billion in the corresponding quarter.

Along with increasing revenues, costs were also up. Iluka spent $2.4 million on exploration and evaluation activities during the quarter, compared with $2.1 million in Q2 2021.

The company increased its full-year guidance on cash costs of production by $55 million to $715 million. It attributed 65% of the increase to higher fuel costs.

As at 30 June, Iluka had $600 million in net cash.

Keep an eye out for the miner’s 2022 half-year results on 24 August 2022.

Iluka share price snapshot

The Iluka share price is up 5% over the past 12 months. By comparison, the S&P/ASX 200 Index (ASX: XJO) is down 7% over the full year.

The post Iluka share price leaps 6% on increased mineral sands production appeared first on The Motley Fool Australia.

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More reading

• Why are these ASX 200 mining shares behind the eight ball today?
• Goldman Sachs says Iluka shares are a strong buy with 40% upside
• 5 things to watch on the ASX 200 on Thursday
• Mineral Monday: What you need to know about rare earths and which ASX shares are cashing in on them
• Here’s why analysts rate these ASX 200 mining shares as buys

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.

What happened

Much ado has been made of the recent news that the upcoming Ethereum (CRYPTO: ETH) merge will take place on or around Sept. 19. This catalyst has continued to propel the value of Ethereum higher, with the world’s second-largest cryptocurrency appreciating 3.4% over the past 24 hours as of 11:30 a.m. ET.

However, the token many Ethereum enthusiasts are really focusing on right now is Ethereum Classic (CRYPTO: ETC). The “original” fork of the Ethereum blockchain is up 10.9% over this same 24-hour period and has absolutely skyrocketed over the past week. The seven-day return for this token stands at 77%, which far exceeds Ethereum’s (still not shabby) 41% weekly return. 

So what

Ethereum Classic was formed initially out of a dispute among crypto miners in years past. Essentially, various major upgrades require the approval of all validators on a network. If a number of nodes dissent with the direction an upgrade will take a given project, and fail to upgrade their software accordingly, a fork can take place in which the blockchain is split in two different directions.

Most investors may not necessarily pay attention to Ethereum Classic, due to the reality that most of the action in the Ethereum ecosystem happens on the Ethereum blockchain. However, crypto miners have quietly continued their mining activity with ETC, creating an oasis for Ethereum miners who wish to continue mining in a post-merge world.

The Ethereum merge will usher in a new age of proof-of-stake validation. What this means is that the energy-intensive proof-of-work calculations that are currently needed to secure the Ethereum blockchain and validate blocks will become obsolete. While great for the environment, this isn’t necessarily great for Ethereum miners, who have in many cases invested heavily in the equipment to mine it.

Now what

Given the similarities between Ethereum and Ethereum Classic, miners looking to switch off of Ethereum and support ETC can do so with minimal upgrades. Additionally, should the Ethereum blockchain experience issues with its Beacon Chain merge, investors can always go back to “old faithful,” making Ethereum Classic a quasi safe haven of sorts for those with concerns.

Thus, it appears all this anticipation around the upcoming Ethereum merge could indirectly benefit proof-of-work variant Ethereum Classic to a greater degree, at least in the near term. With more momentum comes more speculation, so this run should be a fun one to watch for investors looking at short-term trading ideas. 

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

The post Ethereum surges, but Ethereum classic up much more on merge anticipation appeared first on The Motley Fool Australia.

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More reading

• Iluka share price leaps 6% on increased mineral sands production
• Pendal share price slides amid ‘potential transaction’
• Beach share price falls despite solid FY22 revenue growth
• Megaport share price explodes 38% on June quarter profit
• Allkem share price falls despite record quarter

Chris MacDonald has positions in Ethereum. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Ethereum. The Motley Fool Australia owns and has recommended Ethereum. 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 Pendal Group Ltd (ASX: PDL) share price is heading south today.

This follows the company’s announcement late yesterday regarding a ‘potential transaction’.

At the time of writing, the fund manager’s shares are swapping hands at $4.36, down 1.53%.

Let’s take a look at what was released to the market.

Pendal in high-level discussions about possible acquisition

In its statement, Pendal advised that it is in talks with Perpetual Limited (ASX: PPT) about a possible acquisition. 

It noted that the meetings are highly confidential and preliminary, and do not guarantee that a transaction will take place.

The Pendal board will keep shareholders informed in accordance with its continuous disclosure obligations.

Earlier in April, Perpetual made a $2.4 billion non-binding offer to take over Pendal.

The $6.23 per share offer, which represented a 35.4% premium at the time, was deemed not in the best interests of Pendal shareholders.

Eventually, the deal fell through.

As reported by The Australian, if the arrangement is on the same terms, then this would value Pendal shares at $5.58 apiece.

Last week, Pendal provided an update on its funds under management (FUM) for the quarter ending 30 June 2022.

The performance wasn’t rosy and led its shares to hit a 52-week low of $3.69 on the day.

Pendal CEO Nick Good touched on the disappointing performance, saying:

During the quarter there have been sustained market challenges. Global equity market volatility increased dramatically with rising inflation worries, ongoing concerns over geopolitical tensions, and fears of economic recession around the world due to aggressive tightening measures by major central banks.

As a result of current market conditions, we remain prudent and flexible in managing costs, focusing on building and strengthening our strategic growth areas…

Pendal share price snapshot

In the past 12 months, Pendal shares have continued to be sold off by investors to fall 44%.

When looking at year to date, its shares have lagged the S&P/ASX 200 Financials Index (ASX: XFJ) – down 20% vs. 8.5%, respectively.

Pendal has a price-to-earnings (P/E) ratio of 7.92 and commands a market capitalisation of roughly $1.69 billion.

The post Pendal share price slides amid ‘potential transaction’ 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 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 Beach Energy Ltd (ASX: BPT) share price is dropping on Wednesday following the release of the company’s quarterly update.

In morning trade, the energy company’s shares are down 2% to $1.74.

Beach share price lower on Q4 update

For the three months ended 30 June, Beach delivered a 9% increase in production to 5.6 MMboe. Management advised that this was driven by higher customer gas demand from the offshore Otway Basin.

This underpinned a 10% increase in quarterly revenue to $504 million. This comprises oil revenues of $195 million and gas and gas liquids revenue of $309 million.

Full year guidance achieved

For the full year, the company achieved its guidance with production of 21.8 MMBoe.

This led to total revenue coming in at $1,749 million, which represents a 15% increase year on year and was largely in line with consensus estimates for the year.

Another positive is that its unit field operation costs are expected to come in at the low end of its guidance range of $11.50 to $12.50 per boe. So, with the company commanding an average realised price of $78.2 per boe for all its products, it looks set to report strong free cash flow and earnings next month.

In fact, at the end of the quarter, the company had a net cash position of $165 million, which was up from $7 million three months earlier.

Management commentary

Beach Energy’s chief executive officer, Morné Engelbrecht, was pleased with the final quarter and full year. He commented:

A key plank of the Beach strategy is to continue investing in new gas supply to support the east coast market. Our results this quarter against the backdrop of the current energy crisis validate this strategy. This quarter Beach supplied an additional 3.5 PJ (0.6 MMboe) of gas from the Otway Gas Plant to Australian domestic retailers, thanks in part to recent commissioning of two Geographe development wells.

Engelbrecht appears confident on the company’s prospects for the year ahead. He said:

We enter FY23 with strong momentum as we complete our major development projects and deliver more new gas to the domestic market. In the Otway Basin, we will connect four offshore Thylacine development wells and the Enterprise discovery to the Otway Gas Plant to bring production rates back to full capacity. In the Perth Basin, Waitsia Stage 2 is developing material gas volumes for both domestic and global LNG markets.

Beach remains focused on delivering our major Otway and Perth Basin development projects. We are also planning for our next phase of growth, including exploration in the Perth, Otway, and Cooper basins, and we do so with a Balance Sheet capable of supporting our growth aspirations.

The post Beach share price falls despite solid FY22 revenue growth appeared first on The Motley Fool Australia.

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• 5 things to watch on the ASX 200 on Wednesday
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Motley Fool contributor James Mickleboro 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 Megaport Ltd (ASX: MP1) share price is soaring today after the company delivered EBITDA profit for the first time.

The technology company’s share price is currently swapping hands at $8.00, a 23.65% gain. That’s after hitting a high of $8.96 in early trade, up 38% on yesterday’s close. For perspective, the  S&P/ASX 200 Index (ASX: XJO) is 1.26% higher at the time of writing.

Let’s take a look at what Megaport reported today.

Megaport delivers profit

Highlights of the Megaport’s unaudited financial results presented in the quarterly report include:

• Monthly Recurring Revenue (MRR) grew 13% on the previous quarter to $10.7 million
• Underlying MRR jumped 10% to $10.7 million
• Total revenue jumped 10% on the previous quarter to $30.6 million
• Annualised recurring revenue of $128 million
• Normalised EBITDA of $1 million, up 126% on the previous quarter
• Profit after direct costs and partner commissions of $19.9 million, up 14% on the third quarter
• Cash position of $82.5 million

What else did the company report?

Megaport delivered EBITDA profit in the fourth quarter, a first for the company. This compared to a loss of $3.8 million on the third quarter of FY22. Canada and Japan becoming profitable earlier than scheduled contributed to this result.

Underpinning the strong monthly recurring revenue growth was strong port sales and a 7% boost in the average revenue per port to $1,120 per month. Net new port sales jumped by 6% to 9,545.

Customers also increased 4% during the quarter to 2,643. Megaport sold 1,447 new services during the quarter, up 6% on the prior quarter.

Multi-cloud connections on the Megaport platform also increased, with 9% more Megaport Cloud Routers (MCR) sold in the June quarter. In total, 14% of the company’s customers have now taken up the MCR offering.

During the quarter, Megaport also launched in Mexico, a market the company describes as the “second largest IT spending market in Latin America”.

Megaport enabled 16 new data centres during the quarter, and four of these were in Mexico.

Overall, monthly recurring revenue leapt 15% in North America, 12% in the Asia Pacific, and 9% in Europe in the fourth quarter of FY22.

Management comment

Commenting on the results, chief executive officer Vincent English said:

During the fourth quarter of fiscal year 2022 Megaport drove steady underlying revenue growth. Uptake of core products, as well as monthly recurring revenue growth, were strong in the quarter.

This is driven by customers continuing to increase the number of service providers they securely connect through our platform as they undertake global digital transformation initiatives.

The underlying Megaport network and business model has strong operating leverage to further increase profit and generate cash as revenue grows.

What’s ahead?

Megaport has a “high degree of confidence” in FY23 and highlighted its solid cash position of more than $80 million.

The company has aligned the business to reduce “cash burn”, enabling it to achieve profit. English added:

Closing fiscal year 2022 with a solid fourth quarter performance across all operating metrics provides excellent momentum going into fiscal year 2023.

Megaport share price snapshot

The Megaport share price has lost 47% in the past year, while it has fallen 55% in the year to date.

However, in the past month, Megaport shares have rocketed more than 62%.

For perspective, the benchmark ASX 200 index has lost more than 7% in the past year.

The post Megaport share price explodes 38% on June quarter profit appeared first on The Motley Fool Australia.

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• What’s in store for the Megaport share price this earnings season?
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Motley Fool contributor Monica O’Shea 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 MEGAPORT FPO. The Motley Fool Australia has recommended MEGAPORT FPO. 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 Allkem Ltd (ASX: AKE) share price is falling on Wednesday following the release of the company’s quarterly update.

In early trade, the lithium miner’s shares are down 1% to $9.72.

Allkem share price falls despite record quarter

The Allkem share price is falling today despite the company revealing that it had a strong finish to the financial year.

During the three months ended 30 June, Allkem delivered record quarterly group revenue of approximately US$337 million and a group gross operating cash margin of approximately US$292 million.

This means that group revenue for FY 2022 (including Mt Cattlin from the merger date of 25 August 2021) was US$762 million and its group gross operating cash margin was approximately US$594 million (excluding corporate and other non-operating costs).

Allkem finished the year with a hefty cash balance of US$663.2 million, which is an increase of US$213.1 million since the end of March.

What were the drivers of its record result?

The key Mt Cattlin and Olaroz operations finished the year strongly.

In respect to the former, the Mt Cattlin operation achieved production of 24,845 dry metric tonnes (dmt) and shipments of 37,837 dmt despite COVID-19 cases impacting the mine site over the quarter.

This led to the company delivering record quarterly Mt Cattlin revenue of US$188.9 million with a gross cash margin of 84% based on average pricing of US$4,992 per dmt.

In light of this strong quarter, Mt Cattlin reported record full-year production of 193,563 dmt.

It was a similar story over in Argentina at the company’s Olaroz Lithium Facility. During the quarter, Allkem reported production and sales of lithium carbonate of 3,445 tonnes and 3,440 tonnes, respectively.

This led to the Olaroz Lithium Facility generating record quarterly revenue of ~US$141 million with a gross cash margin of 90% based on average pricing of US$41,033 per tonne.

Once again, this meant record full year production at Olaroz Lithium Facility of 12,863 tonnes of lithium carbonate. Approximately 47% of this was battery grade material, which was in line with targets.

Outlook

It could be the company’s outlook that is underwhelming investors and weighing on the Allkem share price today.

Allkem revealed that it is targeting Mt Cattlin spodumene production of approximately 160ktpa to 170ktpa. This will be down from 193.5ktpa in FY 2022.

Management also warned that costs will be higher in FY 2023. This is due to ongoing developments, lower production volumes, and labour shortages in Western Australia.

However, with customer demand in the spodumene market remaining robust, the company is expecting spodumene concentrate pricing in the September quarter to be higher than the June quarter.

No real guidance was given for Olaroz other than management expecting the lithium carbonate sales price for the September quarter to remain similar to the June quarter.

The post Allkem share price falls despite record quarter appeared first on The Motley Fool Australia.

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More reading

• 5 things to watch on the ASX 200 on Wednesday
• Is Allkem a top ASX dividend share hiding in plain sight?
• What’s the outlook for Allkem shares in FY23?
• Why Allkem, Kogan, Metcash, and Sezzle shares are sinking
• Why are these ASX 200 lithium shares tumbling today?

Motley Fool contributor James Mickleboro has positions in Allkem Limited. 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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ASX investors don’t need to be told twice that the market is going through turmoil in 2022.

The S&P/ASX 200 Index (ASX: XJO) has sunk more than 12% year-to-date, but many portfolios are in the red far worse than that because the mining and energy sectors have been dragging the index up.

The capitulation is best seen in the initial public offer pipeline. 

According to the HLB Mann Judd IPO Watch Australia mid-year report released this week, there are currently only 15 companies preparing to list on the ASX for a total of $121 million.

That compares to 43 at the end of June last year, seeking to raise $1.25 billion.

This shows it’s not just investors that are frightened. Businesses seeking investment have also gone into their shells.

So far this year, IPOs have raised just $790 million — a minuscule amount against the $2.9 billion harvested in the first half of 2021.

HLB Mann Judd partner and report author Marcus Ohm acknowledged that turbulent market conditions have depressed the IPO market.

“We expect that macroeconomic and capital market conditions will continue to impact the IPO market in the second half of 2022.”

The one shining light, much like the ASX 200, has been the resources sector.

It has dominated IPOs this year, with 44 out of 59 listings representing mining companies.

Even in chaos, these companies have a bright future

So it is no wonder that Ohm reckons the only current reliable thematic is lithium.

“On lithium, there’s just a massive gap between demand and supply at the moment,” he said.

“A few years ago, there was more supply on tap — so that was suppressing growth in the lithium price. But that’s gone now and the sources just can’t meet the demand.”

According to Ohm, just the global transition to electric vehicles (EVs) would see any surge in lithium supply be immediately used up by rising demand.

“Just the EV usage is predicted to go up by 50% over the next two years,” he said.

“All those battery manufacturers and Tesla Inc (NASDAQ: TSLA) have got to pay those prices to lock in the supply. If you don’t have the supply, you have no business, effectively.”

He said this is why it’s important to invest in ASX lithium shares that seek new sources, not just the existing producers.

“If you don’t have a healthy exploration industry, you don’t have a future,” he said.

“I think, lithium, you can confidently predict that’s going to do well.”

Historically, plenty of resources IPOs are for explorers just starting out their journey.

And despite the depressed equities market, those listed this year have done pretty well out of the blocks.

“In terms of share price performance across the materials sector, companies generally outperformed the broader market, recording on average a first-day gain of 19%.”

The post The only certainty in uncertain times: expert appeared first on The Motley Fool Australia.

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• Here are the top 10 ASX shares today
• ‘CBA and Westpac are too big’: One fund manager’s take on the future of ASX 200 bank shares

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 positions in and has recommended Tesla. 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 Bubs Australia Ltd (ASX: BUB) share price is on the move on Wednesday.

In morning trade, the infant formula company’s shares are up almost 4% to 55.5 cents following the release of its quarterly and full year update.

Bubs share price higher amid strong Q4 sales growth

For the three months ended 30 June, Bubs delivered a 278% increase in gross revenue over the prior corresponding period to $48.1 million.

This led to Bubs’ second half gross revenue growing 168% to $65.7 million and its full year gross revenue increasing 123% to $104.2 million for FY 2022.

Management advised that this was driven by gross across all key product segments and all key markets.

A key driver was the company’s US business which was given an almighty boost from the U.S. Government’s Operation Fly Formula.

In order to help with supply issues, Bubs’ infant formula products are now sold in over 5,400 stores across 34 US states. This includes the four largest retailers of infant formula: Walmart, Kroger, Albertsons/Safeway and Target.

In China, the company’s interesting decision to reward a key daigou seller with shares in exchange for sales appears to be working with corporate daigou sales up 1,201% during the fourth quarter.

However, taking some of the shine off the strong top line result was the company’s cash flow. Despite its sales growth, Bubs recorded an operating cash outflow of $6.7 million for the quarter and $10.2 million for the year.

Management commentary

Bubs’s CEO Kristy Carr was very pleased with the final quarter. She commented:

The last quarter has seen the business reach critical mass following exceptional growth across Australia, China, and rapid expansion in the USA with our involvement in the Biden-Harris Administrations’ Operation Fly Formula initiative aimed at helping to mitigate the ongoing infant formula shortage crisis. This business diversification and increased scale of our most profitable products and channels has flowed through to our operating margins, delivering profitability for the full year (excluding non-cash equity compensation expenses).

Carr also appears confident that the company’s US operations aren’t just benefiting from a one-time sugar hit due to supply issues.

We are confident of the long-term growth prospects for the USA now that the Food and Drug Administration has committed to a framework for suppliers like Bubs, who have already been approved to import infant formula products, to remain on shelf beyond November 2022. As a result, we envisage the USA will become a lead export market opportunity on par with China in the future.

Outlook

Bubs continues to expect to report underlying EBITDA of greater than $2.4 million. Though, this excludes non-cash equity compensation expenses such as share based payments and equity linked transactions.

Looking further ahead, Bubs’ executive chair, Dennis Lin, was optimistic on the company’s growth outlook. He said:

Now that we have achieved scale with over $100 million in gross revenue, we expect margin accretive growth to continue, and anticipate FY23 revenue and margin contribution will be largely attributed to growth in China and the USA, and across our portfolio segments, with infant formula forming a significantly higher proportion of revenue than the current 60 per cent.

The USA represents the most dynamic opportunity and long-term growth prospect for the business. The team will be singularly focused on delivering earnings accretive growth in FY23 and beyond for our existing and new shareholders.

The post Bubs share price higher after more than tripling Q4 sales appeared first on The Motley Fool Australia.

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Motley Fool contributor James Mickleboro 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 BUBS AUST FPO. 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 Atlas Arteria Group (ASX: ALX) share price is in the green on Wednesday after the company released an update on its performance in the June quarter.

At the time of writing, the Altas Arteria share price is $8.14, 0.37% higher than its previous close.

Atlas Arteria share price gains alongside quarterly revenue

Here are the key takeaways from the S&P/ASX 200 Index (ASX: XJO) toll road operator’s quarterly update:

• Weighted average toll revenue increased 18.9% on that of the prior comparable period
• That marks a 2.4% increase on that of the same quarter of 2019
• Weighted average traffic on the toll road operator’s assets increased 21.2%
• That was around 1.7% lower than the same quarter of 2019

All four of the company’s toll road assets ­– located in France, the United States, and Germany – recorded higher revenue in the second quarter of 2022 than they did in the same quarter of 2021.

The increases were bolstered by greater tourism and employment in France and Germany and a gradual return to office-based work in the United States.

What else happened in the June quarter?

Of course, the quarter was also a brilliant one for the Atlas Arteria share price. It leapt 23% over the three months ended June.

Most of its gains came on the back of apparent takeover interest.

The IFM Global Infrastructure Fund snapped up 15% of the ASX 200 company’s stock and noted it was considering putting in an acquisition bid last month.

However, Atlas Arteria declined to provide non-public information to help the fund build a bid.  

What’s next?

Atlas Arteria didn’t provide the market with new guidance today. Though, it did provide an insight into how its toll assets have been performing year to date.

Here’s how much revenue its four major assets brought in over the six months ended June compared to the same period of 2021:

• France’s APRR brought in 1,289.6 million euros ­– a 20% increase
• France’s ADELAC brought in 29.55 million euros – a 52% increase
• The US’s Dules Greenway brought in US$32.06 million – a 20% increase
• Germany’s Warnow Tunnel brought in 6.08 million euros – an 11% increase

Atlas Arteria share price snapshot

The Atlas Arteria share price has outperformed the ASX 200 this year so far.

The company’s stock has gained 17% year to date while the ASX 200 has tumbled around 12%.

Additionally, Atlas Arteria’s stock is trading for 28% more than it was this time last year. Comparatively, the index has fallen 8% over the last 12 months.

The post Atlas Arteria share price lifts as revenue spikes 19% appeared first on The Motley Fool Australia.

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• How to beat the market with ‘boring’ ASX shares: fundie
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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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