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The Alumina Limited (ASX: AWC) share price has tipped 1.52% higher to $1.675 this morning after the company released its half-year FY21 result.

The company invests worldwide in bauxite mining, alumina refining and aluminium smelting through its 40% ownership of Alcoa World Alumina and Chemicals (AWAC).

Alumina share price higher on solid dividends and positive outlook

The first half proved to be a challenging period for the Alumina share price as record bauxite and alumina outputs were offset by higher freight costs. Key financial highlights include:

• Net profit after tax (NPAT) of US$73.6 million, down 19% on the prior corresponding period
• Free cash flow available for dividends of US$98 million, up 21%
• Closing debt US$5.7 million (1H20: US$77.4 million)
• Interim dividend of 3.4 US cents per share, up 21%

What happened to Alumina in 1H21?

AWAC’s refineries performed strongly in the first half, achieving record production of 6.4 million tonnes. Cash costs of alumina production increased half on half due to a combination of factors including currency movements, new energy contracts and higher raw material costs, which was partially offset by an increase in the average realised price of alumina.

Alumina flagged that higher freight costs have had a negative impact on the Chinese alumina import parity price, which has caused a decline in prices over the latter part of the first half.

The company believes that when the factors such as disrupted shipping schedules, COVID protocols and low availability of ships is resolved, prices are likely to improve.

Overall, the decline in profit was largely a result of higher cash costs of production, partially offset by higher realised alumina prices.

Management commentary

Alumina’s CEO Mike Ferraro commented on the first half performance saying:

In challenging market conditions, Alumina Limited has been able to increase its dividend to shareholders by 21 percent.

AWAC’s low-cost assets were able to produce record bauxite and alumina outputs for a half year. Realised alumina prices were higher but API was constrained by significantly higher freight costs contributed to by global shipping disruptions. In addition, returns were offset by higher costs due to currency movements and unplanned outages. However, AWAC’s cash costs continue to remain in the lowest quartile of the global cost curve and our alumina refinery portfolio has the lowest CO2 emissions intensity amongst major refiners.

What’s next for Alumina

The Alumina share price has struggled to make headway this year, down 9.84% year-to-date.

The company is optimistic about the outlook of the global aluminium market, saying:

Global aluminium demand is now back to pre-virus levels, largely due to economies recovering post-COVID, helped by Government stimulus packages. This is expected to grow with further economic recovery and greater demand for aluminium in a decarbonising world, largely due to its lightweight properties and recyclability.

Investors can look forward to a solid dividend, with an ex-dividend date of Friday, 28 August.

The post Lower profits but higher dividend, Alumina (ASX:AWC) share price lifts on 1H21 results appeared first on The Motley Fool Australia.

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Motley Fool contributor Kerry Sun 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 Bruce Jackson.

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The Scentre Group (ASX: SCG) share price is off to a strong start on Tuesday, up 4% in early trade.

This comes as the ASX 200 retail property group released its half-year financial results for the 6 months to 30 June earlier today.

Scentre share price lifts off on half-year results

Here are the highlights:

• Operating Profit increased 28.0% from the prior corresponding period (pcp) to $460.1 million (8.88 cents per security)
• Funds From Operations (FFO) increased 28.4% from the pcp to $463.4 million (8.94 cents per security)
• Statutory Profit of $400.4 million
• Dividend of 7 cents per share (no dividend was declared in the pcp)

What happened during the reporting period for Scentre Group?

During the 6 month period, Scentre reached annual sales through its platform of $23.4 billion, despite numerous lockdowns across Australia’s major cities.

Scentre’s share price could also be getting a lift after the company reported that demand for space in its Westfield Living Centres continued to be strong.

It completed 1,515 lease deals over the 6 month reporting period, signing on 619 new merchants. 98.5% of Scentre’s portfolio was leased as at 30 June.

The company will pay the dividend (a total payout of $362.9 million) to eligible shareholders on 31 August.

What did management say

Commenting on the half-year results, Scentre Group’s CEO Peter Allen said:

We have delivered strong operating performance even with a number of government restrictions in place. In those locations impacted less by lockdowns, we have seen trading conditions better than those experienced in the first half of 2019.

We collected $1.2 billion of gross rent during the first half of 2021, representing an increase of 37% or $325 million compared to the first half of 2020. Visitation rapidly rebounded when restrictions were eased. Customers want to return to our Westfield Living Centres as what we offer is integral to their lives.

Addressing the viral elephant in the room, Allen added:

All Westfield Living Centres have remained open during the period, operating with COVID Safe protocols and in line with the latest health and government advice. We are facilitating community access to COVID-19 vaccinations across all of our Westfield centres.

What’s next for Scentre Group?

Looking ahead, Scentre said it’s on track to launch its “aggregated click and collect platform” in the second half of 2021.

It expects to complete work for Cbus on the construction of a residential and office tower in Sydney in 2023.

Scentre’s $55 million entertainment, leisure and dining precinct development at Westfield Mt Druitt is expected to open in the first quarter of 2022.

The company said it has available liquidity of $5.7 billion, which is enough to cover all its debt maturities to early 2024. Scentre Group maintains “A” grade credit ratings with S&P, Fitch and Moody’s.

Management is aiming for a 14 cent per share full-year dividend payout for 2021, noting this is based on government virus restrictions “substantially” easing by the end of October.

The Scentre share price is down 5% over the past 6 months.

The post Scentre (ASX:SCG) share price leaps higher on 28% profits boost appeared first on The Motley Fool Australia.

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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 Bruce Jackson.

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It’s no secret the Afterpay Ltd (ASX: APT) share price has had some magnificent days on the ASX. Hence why it’s a favourite among many investors.

But when would you say was Afterpay’s shares’ best day ever?

Some might think it was 2 August 2021 when Afterpay and Square Inc announced they were to merge. Or, perhaps, it was way back when the market was only just cottoning onto Afterpay’s potential as many investors did on 19 July 2018.

However, they’d be wrong. The Afterpay share price’s best day ever was actually spurred by…. nothing. Seriously. On Afterpay’s best day ever on the ASX, the company hadn’t released a single piece of price-sensitive news for nearly a month. Oh, and did I mention, it came in the middle of a recession?

Keep reading on to find out more.

Afterpay’s best day on the ASX

The Afterpay share price’s best day on the ASX was Wednesday, 25 March 2020.

On Tuesday, 24 March 2020, Afterpay’s shares finished the day trading for $11.21. Then, on 25 March 2020, they closed at $15.00. That’s a whopping 33.81% gain.

Interestingly, the best day ever for Afterpay shareholders came only days after the company’s worst day ever. That was on March 18 2020 when Afterpay’s shares fell from $18.40 to $12.76 – or by 33.05% – for no obvious reason.

While The Motley Fool Australia had some theories as to why the Afterpay share price was soaring at the time, we couldn’t have predicted what would come next.

Over the 12 months following 25 March 2020, the Afterpay share price gained a massive 603% to reach $105.46.

Perhaps the lesson might be that hard financial times, like those visited on the ASX with the onset of COVID-19, tend to trigger volatility.

However, as Afterpay’s CEO and managing director Anthony Eisen told shareholders when Afterpay’s shares were at their lowest point in years, companies that are ready for tough times are more likely to push past them.

Afterpay share price snapshot

The Afterpay share price’s growth has slowed since early 2020. However, it’s still moving forward.

It has gained 11% year to date. It’s also 60% higher than it was this time last year.

Currently, shares in the buy now, pay later giant are going for $133.00 a piece.

The post When was the best ever day for the Afterpay (ASX:APT) share price? appeared first on The Motley Fool Australia.

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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. owns shares of and has recommended AFTERPAY T FPO and Square. The Motley Fool Australia owns shares of and has recommended AFTERPAY T FPO. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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The Austal Limited (ASX: ASB) share price is falling heavily on Tuesday morning. This comes after the shipbuilder released its full-year results for the 2021 financial year.

At the time of writing, Austal shares are down 13.55% to $2.17. It’s worth noting the Austal share price touched a four-month high of $2.51 last Friday.

Austal share price plummets on disappointing revenue hit

The Austal share price is sinking today following the company’s FY21 results for the 12 months ending 30 June, 2021. Here are some of the key results:

• Total revenue of $1,572 million, down 24.6% on the prior corresponding period (FY20 $2,086 million);
• Earnings before interest and tax (EBIT) of $114.6 million, down 12.1% (FY20 $130.4 million);
• Net profit after tax (NPAT) of $81.1 million, up 9.7% (FY20 $89 million); and
• Unfranked final dividend of 4 cents per share, bringing full-year dividend to 8 cents apiece.

What happened to Austal in FY21?

Austal advised that its financial results, predominantly revenue and EBIT, were in line with previous guidance estimates.

The company’s numbers were affected by an appreciation of the United States dollar, which translated into a negative impact for EBIT. In addition, the Littoral Combat Ship (LCS) program decline, COVID-19-related border closures and travel restrictions, and resourcing challenges also weighed in.

Nonetheless, the EBIT, despite the fall, was driven by enhanced shipbuilding margins, particularly in the US and Australasia operations.

This led Austal to achieve its second-highest NPAT in its history. Furthermore, 19 ships were delivered to customers, a record amount in a year. However, this didn’t stop the Austal share price from plunging this morning.

What did management say?

Austal CEO Paddy Gregg commented on the milestone achievement, saying:

I’m very pleased that Austal has delivered strong profit and earnings, as we strengthen our position to unlock significant long-term opportunities in the shipbuilding industry and broader defence sector.

…This is a testament to the durability of our operations and our ability to maintain a robust financial base, even amidst the challenges of a COVID-19 impacted environment in FY2021.

Importantly, the momentum we have generated by continuing to successfully deliver for key customers, despite COVID impacts, will enable the company to transition towards the next phase of business growth as our Littoral Combat Ship construction program winds down over the next three years.

What’s next for Austal in FY22?

Looking ahead, Austal expects market conditions for FY22 to remain similar to FY21, with the pandemic having a mixed impact.

Consequently, the company refrained from providing EBIT guidance for FY22. It anticipates the next market update will be given to shareholders at its annual general meeting later this year.

It will be interesting to see what effect that has on the Austal share price.

So far, Austal holds a current order book of $2.5 billion, running through until FY25.

Austal CEO Paddy Gregg also went on to talk about the wind-down of the LCS program for the next 3 years, adding:

Fortunately, we are progressing through this transition period from a position of strength with a healthy balance sheet; opportunities that are real and already visible; and a supportive US Government which is directly investing in the future of our facilities.

The post Austal (ASX:ASB) share price sinks 13% on weak FY21 result 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. owns shares of and has recommended Austal Limited. 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 Bruce Jackson.

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The Nitro Software Ltd (ASX: NTO) share price has edged 0.28% higher to $3.56 in early trade Tuesday after the company released its first-half results.

Nitro is a fast-growing Software as a Service (SaaS) company that provides document productivity solutions for individuals, small businesses and enterprises.

Nitro Software share price flat despite strong growth trajectory

Nitro’s first-half results reiterate a familiar narrative for fast-growing tech companies — you have to spend money to make money. Key highlights include:

• Annual recurring revenue (ARR) of $33.8 million, up 56% against the prior corresponding period (pcp).
• Revenue rose 26% to $24.1 million.
• Sales and marketing expenditure amounted to $14.0 million, up 62%.
• Research and development expenditure of $5.8 million, up 46%.
• General and administrative expenditure was 5.3%, up 22%.
• Operating earnings before interest, taxes, depreciation, and amortisation (EBITDA) improved to a loss of $3.0 million

What happened to Nitro Software in 1H21?

The Nitro Software share price is up 12% year-to-date, performing in line with the broader S&P/ASX 200 Info Tech (INDEXASX: XIJ) index, which is up 6.2% year-to-date.

Nitro delivered “rapid” ARR and subscription revenue growth in the first half as the company continues to scale and bring new products to market.

The company’s key products, Nitro PDF Pro and Nitro Sign, both experienced a significant uplift in demand and usage in the first half.

Nitro PDF Pro reported a 91% increase in total activity by users, with 1.4 billion documents opened in the first half, up 48% year-on-year. Nitro Sign also reported a hefty 336% increase in business users, with over 1 million eSignatures, up 194% year-on-year.

Nitro has been making key investments in FY21, demonstrated by the significant lift in expenditure across sales and marketing, research and development as well as general expenditure.

Management addressed the jump in expenses, saying:

The benefits of the investments we have made – and continue to make – in our people, products and platform are clear in our financial results, with continued strong recurring revenue growth, increasing subscription sales, and industry-leading customer acquisition and retention numbers in a large global market that continues to grow.

The company maintained a strong balance sheet position at the end of the period, with a cash balance of $38.6 million with no debt.

Management commentary

Nitro’s co-founder and CEO Sam Chandler hailed the results, saying:

This was a transformational period for Nitro, with major milestones achieved as we continue to scale to meet accelerating customer demand for digital workflow productivity solutions in a post COVID, work-from-anywhere world.

Demand for our products and services shows no sign of slowing, with a 48% increase to 1.4 billion documents opened in Nitro Pro and over 1 million eSignature requests in 1H2021 – more than the whole of FY2020. There remains significant upside potential, with only 40% of US companies currently utilising eSign capabilities, and only 10% of those using them significantly, and much of the rest of world even further behind.

What’s next for Nitro Software?

The Nitro Software share price is within an arm’s reach of its 11 August all-time high of $3.78.

The company believes it is poised for growth, claiming “from new customers and products, to cross-sell opportunities and M&A, we have multiple avenues for continued growth”.

It was encouraging to see an FY21 guidance, which included:

• ARR between $39 million to $42 million (FY20: $20.2 million)
• Revenue between $47 million to $50 million (FY20: $19.1 million)
• Operating EBITDA loss between $9 million to $11 million (FY20: loss of $1.6 million)

The post Nitro Software (ASX:NTO) share price flat after 1H21 results appeared first on The Motley Fool Australia.

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Motley Fool contributor Kerry Sun 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 Nitro Software Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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The Monadelphous Group Limited (ASX: MND) share price is crashing lower on Tuesday following the release of its full year results.

In morning trade, the engineering company’s shares are down 14% to $10.17.

Monadelphous share price crashes on subdued FY 2022 outlook

• Revenue up 18% to $1.95 billion
• Net profit after tax up 29% to $47.1 million
• Cash flow conversion rate of 35%
• Fully franked final dividend of 21 cents per share, taking the full year dividend to 45 cents per share
• Cash balance of $175.7 million.
• Secured $950 million of new contracts and extensions
• Outlook: Revenues to be lower in FY 2022

What happened in FY 2021 for Monadelphous?

For the 12 months ended 30 June, Monadelphous reported an 18.3% increase in revenue. Management advised that this reflects increased demand for its services as the resources industry recovered from the delays and disruptions experienced during the initial phases of COVID-19.

In addition to this, it notes that its customers were seeking to capitalise on strong commodity prices, especially in the iron ore sector. This supported a 59% increase in revenue in its Engineering Construction division to $979 million.

Demand for maintenance services within the iron ore sector was also strong, with reduced levels experienced in the oil and gas sector.

However, a COVID-related shortfall of available skilled resources was unprecedented and resulted in labour cost and productivity pressures across the industry.

What did management say?

Monadelphous’ Managing Director, Rob Velletri, appeared pleased with the result and remains positive on the future.

In respect to the latter, he commented: “While market conditions are expected to be strong, COVID-19 impacts and the skills labour shortage will continue to be a major challenge for the industry. Our attraction and retention initiatives, strategic approach to targeting new work and collaborative working relationships with our customers will become more important than ever.”

What’s next for Monadelphous?

One thing that appears to be weighing on the Monadelphous share price today is its outlook.

Management has warned that “with several large construction projects all completing in the next six months, full year 2021/22 revenues are likely to be lower than the previous year due to the timing of award and commencement of new major projects.”

It also noted that “the shortage of skilled labour will continue to be the major challenge for the Company’s operations in Australia.”

The Monadelphous share price is down 26% in 2021.

The post FY 2021 results: Monadelphous (ASX:MND) share price crashes 14% on subdued outlook 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 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 Bruce Jackson.

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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.

Last Thursday, Tesla (NASDAQ: TSLA) hosted its AI Day event. Elon Musk has branded these presentations as a recruiting opportunity, a way for the company to attract top talent in the field of artificial intelligence. But they also allow Tesla to showcase its technology, giving investors a glimpse of what the future will hold.

With that in mind, here are two of the most important takeaways from Tesla’s AI Day.

1. Tesla is more than an electric car company

Tesla is the world’s leading manufacturer of electric vehicles (EVs), capturing 15.2% market share through the first half of 2021. But Tesla is not an EV company; it’s an AI company that makes EVs.

Case in point: Tesla introduced the D1 chip last Thursday, the processor that will power its Dojo supercomputer. The D1 represents the second semiconductor designed internally by Tesla, following the in-car supercomputer released in 2019. At the time, Musk called that innovation “the best chip in the world.” But this new technology is even more impressive.

Each D1 packs 362 teraflops (TFLOPs) of processing power, meaning it can perform 362 trillion floating-point operations per second. And Tesla combines 25 chips into a training tile and links 120 training tiles together across several server cabinets. I’ll do the math for you: Each training tile clocks in at 9 petaflops, meaning Dojo will boast over 1 exaflop of computing power. Put another way, Dojo will be the most powerful AI training machine in the world.

Why does that matter? Artificial intelligence requires two things: Massive amounts of data, and a powerful computer that can use that data to train deep neural nets. With over 1 million autopilot-enabled EVs on the road, Tesla already has an edge over other automakers. 

Now, with the introduction of an exascale supercomputer, which management says will be operational next year, Tesla has reinforced that advantage. In short, the company has more data and better technology, meaning it’s miles ahead in the race to build a self-driving car. And autonomy is the future of the automotive industry.

2. Tesla plans to build an autonomous humanoid

Near the end of the AI Day event, Tesla delivered some surprising news in a very dramatic fashion. After a dancer dressed like a robot briefly entertained the audience, Musk announced that Tesla is, in fact, working on an AI-powered humanoid robot.

The so-called Tesla Bot will weigh 125 pounds, walk up to 5 miles per hour, and will be 5-foot-8 tall. It will also be able to carry up to 45 pounds. According to Musk, the bot will eventually eliminate the need for humans to take part in boring, repetitive, and/or dangerous tasks. For example, Musk referenced sending the Tesla Bot to the grocery store.

No, this is not a gimmick. Given Tesla’s expertise in artificial intelligence, the company is well-positioned to build an autonomous humanoid. That being said, investors shouldn’t get too excited just yet. Musk mentioned that a prototype would be ready next year, but Tesla has a history of making over-ambitious promises. However, as an investor, I appreciate seeing an enthusiastic management team, and this is definitely something to watch in the coming years. 

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

The post 2 big revelations from Tesla’s AI Day event appeared first on The Motley Fool Australia.

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Trevor Jennewine owns shares of Tesla. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of 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 Bruce Jackson.

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

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The HUB24 Ltd (ASX: HUB) share price is in the green after the company released its results for financial year 2021 (FY21).

Right now, the HUB24 share price is $26.22, 0.96% higher than its previous closing price.

HUB24 share price jumps on 237% increase to funds under administration

Here’s how the investment-focused fintech company performed in FY21:

• Underlying earnings before interest, tax, depreciation, and amortisation (EBITDA) of $36.2 million, a 47% increase on that of FY20
• $58.6 billion funds under administration (FUA), up 237%
• Net profit after tax of $9.8 million, after $7.5 million was spent on strategic transactions
• $110 million revenue – 34.4% more than FY20’s
• 5.5 cent fully franked final dividend. That brings HUB24’s full year dividends to 10 cents per share, 43% more than its FY20 dividends

The HUB24 platform – which houses the company’s investment and superannuation offerings – also reported significant growth.

HUB24 reported $8.9 billion of platform net inflows, 82% more than in FY20.

Additionally, HUB24’s platform’s FUA reached $41.4 billion, a 141% increase on that of the previous period. 51% of that was in HUB24’s Investor Directed Portfolio Service while the other 49% was in its super offering.

Finally, HUB24’s platform revenue was $101.1 million for FY21, a 36% improvement.

HUB24 saw its expenses increase 49% in FY21. The higher costs were mostly due to the company hiring more staff.

HUB24’s cost to income ratio improved from 69.5% in FY20 to 67.1% in FY21. This was partially offset by the Reserve Bank of Australia’s rate cuts which lessened its revenue by around $9 million.

HUB24 completed a $50 million placement to institutional and sophisticated investors in October 2020. It also issued 1 million shares at $20 per share as part of a share purchase plan in November.

During FY21, the company secured a new ANZ loan facility for $12.5 million. The new facility is on top of the company’s $5 million undrawn overdraft it has with ANZ.

What happened in FY21 for HUB24?

FY21 was a productive time for HUB24 and its share price.

The company’s platform market share grew to 3.9%, up from 2.5% in FY20.

HUB24’s footprint in financial services also grew through FY21, driven by numerous strategic transactions.

Throughout FY21, HUB24 completed three strategic transactions and the sale of its licensee business.

HUB24 acquired Ord Minnett PARS in November 2020. The company is currently working to transition PARS from Ord Minnett systems to HUB24, which is expected to be completed next quarter.

Then, in February 2021, it completed a proportional takeover of Easton. HUB24 also completed the acquisition of Xplore in March 2021.

According to HUB24, the Xplore Wealth and Ord Minnett teams’ integration is going well.

It also sold its licensee business, Paragem, to Easton Investments in February 2021. The transaction saw a capital return of $3.2 million and 3,333,333 shares in Easton Investments Limited as consideration.

Finally, HUB24 launched its first private label offerings in FY21. In May, the bulk transition of $1.4 billion in FUA was completed from ClearView Wealth across to the new ClearView Wealth private label solution on HUB24. Then, in December, HUB24 made an agreement with IOOF to develop a private label offering for its customers.

The financial year just gone saw HUB24 achieve record organic growth. During FY21, the number of advisers using HUB24’s platforms increased by 48.3% and 117 new distribution agreements were signed.

HUB24 also launched a digital onboarding experience as well as a ‘cobrowse’ solution that allows its customer service representatives to train advisers.

What did management say?

HUB24’s managing director Andrew Alcock spoke of the results driving the company’s share price today:

FY21 has been an extremely successful year for HUB24, delivering record platform net inflows of $8.9 billion, a 47% increase in Group Underlying EBITDA to $36.2 million, and fully franked dividends totalling 10 cents per share for the year. I am proud that HUB24 has been recognised as Australia’s Best Platform Overall with the highest level of adviser satisfaction. We have tripled our platform market share to 3.9% over the last two years, and the current market dynamics provide significant opportunities for further growth. HUB24 is well-positioned for ongoing success.

What’s next for HUB24?

Here’s what might be driving the HUB24 share price in FY22:

HUB24 stated market conditions are positive and it’s well placed to continue its growth.

The company is targeting a platform FUA range of between $63 billion and $73 billion by the end of FY22.

HUB24 plans to continue investing and building its platform, as well as working with licensees, advisers, and other wealth industry providers.

HUB24 share price snapshot

The HUB24 share price has gained 21% year to date. It’s also 67% higher than it was this time last year.

The post HUB24 (ASX:HUB) share price gains on 43% bump to dividend appeared first on The Motley Fool Australia.

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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. owns shares of and has recommended Hub24 Ltd. The Motley Fool Australia has recommended Hub24 Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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The Spark Infrastructure Group (ASX: SKI) share price is edging higher today after the electricity distribution company reported its FY21 half-year earnings.

In early trade today, Spark shares are swapping hands for $2.83, a gain of 0.35%.

Spark Infrastructure share price gains on growth in operating cash flow

The company outlined several investment highlights in its report, including:

• 4.5% growth in regulated and contracted asset base to $6.9 billion
• Look-through net operating cash flow of $201 million, a gain of 6.6% on the year
• Standalone net operating cash flow up 14.7% to $51.6 million
• Look-through earnings before interest, taxes, depreciation and amortisation (EBITDA) of $402 million, down 7% year-on-year
• Interim 2021 distribution of 6.25 cents per security, with franking credits of 1.5 cents per security

What happened in FY21 for Spark Infrastructure?

In a plus for the Spark Infrastructure share price, the company recognised a 4.5% increase in its regulated and contracted asset base as TransGrid undertook a “number of significant augmentation upgrades” to its network.

As a result, it grew operating cash flows considerably over the year, with standalone net operating cash flow expanding approximately 15% in 1H FY21.

Spark has a 15% interest in TransGrid, and through this company was able to reach a final investment decision to build EnergyConnect. This is a “900km high-capacity electricity interconnector” that will run between SA and NSW.

The company received a total of $1.8 billion in “regulatory capital allowance” for the project in 2017–18.

Moreover, Spark recorded an “investment-grade balance sheet” with “debt facilities of $400 million, with cash and equivalents of approximately $53 million”.

Finally, the company received a binding offer for acquisition from a consortium of investors in a “scheme implementation deed”, for an all-cash offer of $2.95 per stapled security.

This represents a 4.2% premium to the current Spark Infrastructure share price.

What did management say?

Spark Infrastructure chair Dr Doug McTaggart said:

The Board of Spark Infrastructure is pleased to deliver an interim distribution of 6.25 cents per security to our securityholders in line with guidance provided at the beginning of 2021. The high proportion of regulated and contracted assets in our portfolio of high quality and scarce essential infrastructure businesses provides us with confidence around cash flows and enables us to deliver sustainable growth to support the energy transition while ensuring our distributors remain attractive and reliable.

What’s next for Spark Infrastructure and its share price?

Spark has guided a final distribution of 6.25 cents per security for FY21, bringing the annual payment to 12.5 cents. Further, it expects a tax refund of approximately $45 million in 2H FY21.

The company outlined it had received “new determinations” for SA and Victoria power networks. Hence, this provides “regulatory certainty for the next 4 and 5 years respectively”.

Moreover, Spark is “growing (a) high-quality pipeline of early-stage renewables projects”. These include the Dinawan Energy Hub for instance.

In addition, the acquisition scheme with the consortium of investors will be put to vote in meetings that are pencilled in for the end of CY2021.

What effect this will have on the Spark Infrastructure share price remains to be seen.

Spark shares have climbed 34% this year to date, outpacing the S&P/ASX 200 index (ASX: XJO)’s return of about 14% since January 1.

The post Spark Infrastructure (ASX:SKI) share price up after 15% hike in operating cash flow appeared first on The Motley Fool Australia.

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The author Zach Bristow has no positions 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 Bruce Jackson.

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The Nanosonics Ltd (ASX: NAN) share price is having a bumper start to the day after the company released its FY21 full-year results this morning.

Once coined “the next CSL Limited (ASX: CSL)”, Nanosonics has struggled to live up to expectations following weak FY21 first-half and FY20 earnings. The Nanosonics share price fell 8.15% and 9.61%, respectively following the release of these results.

But today it’s a different story with investors clearly pleased by how the company has been performing. At the time of writing, Nanosonics shares are trading 16.89% higher at $6.885.

Nanosonics share price rockets higher despite profit fall

Despite today’s gains, the Nanosonics share price is still down by around 16% year to date. So this morning’s rally will come as welcome news for shareholders. Key highlights of the company’s FY21 performance include:

• Revenue up 3.0% against the prior corresponding period (pcp) to $103.1 million.
• Significant recovery in the FY21 second half, with revenue up 39% compared to the first half.
• The global installed base rose 13% to 26,750 units.
• Earnings before interest and tax was down 7% to $10.8 million.
• Profit after income tax fell 15% to $8.6 million.

What happened for Nanosonics in FY21?

FY21 proved to be a challenging year for the Nanosonics share price.

But despite what could be seen as a relatively flat financial performance, today’s results announcement focused on the narrative that the company experienced a “significant recovery” in the second half of FY21. The second-half recovery was driven by an improvement in market conditions and hospital procedure volumes recovering towards pre-COVID-19 levels.

Breaking down the company’s revenue of $103.1 million, 1H21 revenues fell 11.3% on the pcp to $43.1 million, while 2H21 revenues bounced back 16.3%.

The recovery theme was reflected across the company’s business divisions including consumables, services and capital.

Nanosonics continues to invest in its strategic growth agenda with operating expenses up 12% to $70.8 million. It cited that, as market conditions improved in the second half, Q4 expenses of $20.3 million represented 29% of total operating expenditure as the company returned to its intended investment run rate.

Management commentary

Nanosonics CEO and president Michael Kavanagh commented on the challenging year:

The 2021 financial year was an important year of progress where the Company successfully adapted to the global challenges associated with COVID-19. Despite varying constraints and disruptions, the Nanosonics team continued to progress many aspects of our strategic growth agenda. Significant growth was achieved in the second half of the year as market conditions improved. This saw total revenue growing 39% compared with the first half resulting from strong growth in the installed base as well as ultrasound procedures trending back towards pre-COVID-19 levels.

What’s next for Nanosonics?

In comparison to many of its peers, the Nanosonics share price still has a lot of catching up to do in 2021. The S&P/ASX 200 Health Care Index (ASX: XHJ) is up 12% year to date.

Nanosonics has continued to increase its investments in infrastructure growth and market expansion across key geographic regions.

The company is currently finalising the registration of a wholly-owned foreign enterprise in China and preparing for regulatory submission to approve its trophon2 product for commercialisation.

Encouragingly, Nanosonics said that “Despite the inherent risks and uncertainties associated with COVID-19, in particular those emerging with different strains of the virus, Nanosonics remains optimistic that the improved market conditions will continue as vaccination numbers increase across all major markets.”

Assuming that such trends continue, the company anticipates a return to double-digit growth in total revenue in FY22.

Nanosonics share price snapshot

As well as a lacklustre year-to-date performance, prior to today, the Nanosonics share price had also fallen by around 14% over the past twelve months. This morning’s boost, however, has eradicated those losses to put the company’s shares 0.2% higher for the past year. Based on the current share price, the company has a market capitalisation of around $1.8 billion.

The post Nanosonics (ASX:NAN) share price soars 17% on ‘significant recovery’ appeared first on The Motley Fool Australia.

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Motley Fool contributor Kerry Sun has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended CSL Ltd. and Nanosonics Limited. The Motley Fool Australia owns shares of and has recommended Nanosonics Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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