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The BARD1 Life Sciences Ltd (ASX: BD1) share price fell off its perch today after the company announced that legal proceedings have commenced against it.

Consequently, shareholders have been rattled by the news, leading to a selloff in the company’s shares. By the market’s close, the BARD1 share price was down 14.51% to $2.71.

What drove the BARD1 share price lower?

The BARD1 share price took a major hit today after the company reported that two founding scientists are pursuing legal action against it. The two scientists were founders and major shareholders of BARD1AG SA, which was acquired from the plaintiffs in 2016, and is now a fully owned subsidiary of BARD1.

The founders commencing the proceedings are Tony Walker and Dr Irmgard Irminger-Finger. Mr Walker and Dr Irminger-Finger had pioneered a simple blood test for screening and diagnosing lung cancer in the early stages prior to the reverse takeover by Eurogold Limited.

As part of the reverse acquisition agreement, both founders were allocated performance shares. Dr Irminger-Finger retains a total of 3.6 million performance shares, while Tony Walker holds a total of 2.95 million. These performance shares are convertible on a one-for-one basis to ordinary shares subject to achieving milestones related to the company’s lung cancer test before the expiration date of 9 June 2021. Given the recent rise in the BARD1 share price, the matter is much more valuable now.

The statement of claim reportedly alleges the following:

Among other things that the Company was subject to obligations to do all things as were reasonably necessary to seek to have the Test satisfy the milestones by the expiry date and not to deprive the plaintiffs of the opportunity to have each of their Performance Shares convert into one ordinary share in the Company.

In addition to:

In breach of those obligations the plaintiffs have been deprived of that opportunity. The proceedings seek damages, costs, interest and such further or other orders as the Court considers just.

BARD1 has been busy with other things

This month alone, the company has released positive announcements regarding its ovarian cancer test and breast cancer test technology. The company’s recent announcements saw the BARD1 share price rocket from 74.5 cents on 10 February to a high of $3.70 on 16 February.

However, there has been no recent news from the company regarding the development of a lung cancer test.

BARD1 noted that it will be reviewing the statement of claim with legal advisors. Furthermore, the company intends to defend the proceedings and will file a comprehensive defence in due course.

Due to the legal nature of this event, BARD1 won’t be making any further comments on the matter.

The BARD1 share price has netted shareholders a 190% return over the past year.

More reading

• Why the BARD1 Life Sciences (ASX:BD1) share price is rocketing another 54% today
• Why is the BARD1 Life Sciences (ASX:BD1) share price rocketing 78%?

Motley Fool contributor Mitchell Lawler 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 Over The Wire Holdings Ltd (ASX: OTW) share price rose by 3.91% after the company reported its half-year results earlier today.

The technology services provider has boosted its numbers across the board as it brushed off the effects of COVID-19 for the December half-year.

The Brisbane company’s revenue was up 17% compared to the same half-year 12 months prior. Earnings before interest, taxes, depreciation and amortisation (EBITDA) also increased 28% and net profit after tax before amortisation shot up 12%.

The only figure down was net profit after tax, which shrunk 23%.

The market responded warmly to the numbers, pushing the Over the Wire share price up to $3.99 by close of trade Wednesday.

It had been as high as $5 in the past 12 months, but the rally was some relief for shareholders who saw it plunge from $4.28 since the end of last year.

The company on Wednesday morning also announced an interim dividend of 1.75 cents per share fully franked. This is up slightly from the 1.5 cents delivered this time last year.

Over The Wire’s busy half-year 

The big events for the tech company over the December half-year were acquisitions of 3 businesses over 2 transactions. J2 Australia and Zintel were acquired on 31 August and Digital Sense came onto its books on 30 October.

Naos Asset Management reported in January that it was bullish about these acquisitions.

The investment firm forecast that EBITDA could see a $14 million boost over the next two years and the normalised EBITDA annual run rate could hit $35 million in financial year 2022.

J2 and Zintel brought in about 9,000 business customers. 

The acquisitions also reinforced the recurring nature of Over The Wire’s turnover.

The half-year ending 31 December saw it rake in $45.9 million in recurring revenue, which was more than 91% of total turnover.

The company has a stated aim of keeping that rate above 90%.

Over The Wire provides software, hardware, telecommunications and cloud services to enterprise and government clients. It was established in 2007 in Brisbane, and now has 150 employees with branches in Sydney, Melbourne, Adelaide and Auckland.

Co-founder Michael Omeros still leads the company as managing director.

More reading

• What gives, when profits rise, but share prices fall?
• Up 61% in 2021, why the Race Oncology (ASX:RAC) share price is marching higher again
• 3 things to watch when Zip (ASX:Z1P) releases its half year results
• Aussie investors are now buying more Bitcoin than gold
• Why is the Paradigm (ASX:PAR) share price climbing today?

Tony Yoo has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Over The Wire Holdings Ltd. The Motley Fool Australia has recommended Over The Wire Holdings 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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Confused by some of the share price reactions during earnings season?

You’re not alone.

So here’s a reminder of how it works:

Sometimes, profits go up. And the share price falls.

Sometimes profits go down. And the share price rises.

Sometimes, profits and share prices go in the same direction.

Huh?

No, it’s not as random or clueless as it sounds, but it does take some explaining.

And the answer is in two words: ‘expectations’ and ‘outlook’.

Let’s take them in order.

Say your company delivered strong growth, with profits up 25%. 

That’s good.

But if the company had provided guidance for 50% growth (or the market, feeling optimistic, had factored in 50% growth in the absence of company guidance), a 25% lift in earnings will be underwhelming.

So, a market prepared to pay $1 per share for 50% growth might only pay 90c for the lower actual result.

Hence: profits up, share price down.

And yes, you can reverse the situation:

Assume the market thought another company was in for a tough time. Shares had been trading a lot lower, on the basis that profits would be down 40%. But, in the event, the company did better than expected, and profits only fell by, say, 20%.

The share price might jump, as investors recalibrate their expectations for ‘bad, but not as bad as we feared’.

Hence: profits down, share price up.

(We’ll assume for our purposes that ‘profits up, share price up’ and ‘profits down, share price down’ are a little more self-explanatory. That’s not always the case, by the way, but that’s a discussion for another day.)

What about when profits are as good – or better – than the market expected, but the share price still falls?

That can be a case of ‘outlook’ being the Grinch at this particular Christmas party.

For example, a business might have had a good year last year (or last half), but that was due to one-off or temporary factors. So, it’ll say ‘hey, last year was great, but don’t expect it to last’.

Or it might be that given we’re getting towards the end of February and the books are closed off in December, the last 8 or so weeks have been underwhelming.

In that case, even though the reported numbers are real, and might be impressive, the market is (very reasonably) looking at more recent trading and factoring in that poorer performance.

So, yes, even when profits are up, and as good or better than expected, a share price can still fall.

And similarly, you’ll often see an ordinary set of numbers be passed over by investors, based on real and (hopefully) sustained recovery being shown in the last couple of months.

Clear?

As crystal, or as mud?

If it’s the former, great.

If the latter, please do yourself a favour and re-read what I’ve written, above.

Because, as an investor, the sense of bewilderment when a share price doesn’t follow profits (in the short term, at least) can be pretty demotivating, sometimes.

It can make you lose confidence in yourself and faith in the market.

You can start to wonder if you’re really cut out for all this.

Pro tip: You are.

And, if you need it, here’s the good news: Over the long term, it’s almost invariably true that short term bumps and surprises are evened out.

Share prices, over a long enough period of time, follow business performance. And the longer your investing timeframe, the more likely that is to be true.

Some people learn to make their peace with volatility. Others just learn to ignore it, or endure it with gritted teeth.

What I know, from my own experience and the experience of others, over decades, is that buying quality at a reasonable (but not necessarily dirt cheap) price, being diversified, and having a long term perspective, is the best way to ride the waves of earnings season.

Which doesn’t necessarily make it easy – at least at first.

But give it time (and grit your teeth if you need to).

You’ll get there!

Fool on!

More reading

• Over The Wire (ASX:OTW) share price rockets after earnings, dividend boost
• Up 61% in 2021, why the Race Oncology (ASX:RAC) share price is marching higher again
• 3 things to watch when Zip (ASX:Z1P) releases its half year results
• Aussie investors are now buying more Bitcoin than gold
• Why is the Paradigm (ASX:PAR) share price climbing today?

Motley Fool contributor Scott Phillips 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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Hot on the heels of yesterday’s gains, Race Oncology Ltd (ASX: RAC) shares were marching higher again today. By the market’s close, the Race Oncology share price had jumped 2.27% to $3.15. That puts the total gains for the company’s shares at more than 61% so far in 2021.

Let’s take a look at the positive early preclinical ovarian cancer results announced by the company yesterday.

What did the company report?

In an ASX release yesterday morning, Race Oncology reported that early results indicate its cancer-fighting chemotherapeutic agent, Bisantrene, is effective in killing patient-derived ovarian cancer cell lines. Bisantrene killed cancer cells that were resistant to cisplatin, 5-fluorouracil and chlorambucil (the current standard of care ovarian cancer drugs).

Race Oncology is collaborating on the preclinical research program with The University of Newcastle. The research aims to identify Bisantrene’s usefulness in treating ovarian cancer. Nikki Verrills of the Hunter Medical Research Institute is spearheading the project.

Ovarian cancer is the fifth most common cause of cancer-related death among women and the most lethal gynaecological malignancy in developed countries.

Commenting on the results Race Oncology CSO Daniel Tillett said:

These initial results from Nikki’s team further highlight Bisantrene’s potential use in ovarian cancer patients as a safer alternative to the commonly used anthracyclines which can be very dangerous to the hearts of patients. It is highly encouraging that Bisantrene is able to kill ovarian cancer cells resistant to currently used treatments and these findings support further exploration of the use of Bisantrene in ovarian cancer patients.

The company’s CEO Phillip Lynch added:

This program is further evidence of Race delivering against the Three Pillar strategy, taking counsel, and completing feasibility assessments with a view to mapping promising yet attainable clinical paths for Bisantrene.

Race Oncology has planned additional trials to confirm Bisantrene’s efficacy.

Race Oncology share price snapshot

Over the past 12 months, the Race Oncology share price has surged an eye-popping 703%. That compares to a 0.1% loss on the All Ordinaries Index (ASX: XAO).

Year to date, Race Oncology shares are up by around 61%.

More reading

• What sent the Race Oncology (ASX:RAC) share price rocketing 20% today?

Motley Fool contributor Bernd Struben 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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All eyes will be on the Zip Co Ltd (ASX: Z1P) share price on Thursday when it hands in its highly anticipated half year results.

Ahead of the release, I thought I would pick out three things for investors to look out for. They are as follows:

Strong revenue growth and a narrowing loss

The market is expecting the buy now pay later (BNPL) provider to deliver further strong growth in key metrics tomorrow. According to a note out of Morgans, its analysts are forecasting half year revenue of $162 million. This will be more than double the $69.6 million revenue it recorded in the prior corresponding period. It will also be more than the entire revenue ($161 million) that Zip achieved in FY 2020. And while this isn’t expected to lead to profitable operations just yet, Morgans expects its net loss to narrow to $25 million. If the company outperforms this, then it could be good news for the Zip share price.

Active customer numbers

Zip has already pre-released a number of key metrics with its second quarter update. For example, at the end of December, Zip’s active customers reached 5.7 million. This was up 97% over the prior corresponding period. The company is likely to provide an update on its growth since the end of the half. The market will no doubt be looking to see if its QuadPay business has continued to attract new customers in large numbers. This is especially relevant given the increasing competition in the key US market from PayPal and Shopify. Once again, any under- or over-performance by its growing US business could have a big impact on the Zip share price on Thursday.

International expansion

Another thing for investors to look out for with the Zip half year result is its international expansion. Zip officially launched its UK business at long last in December after COVID-related postponements. While the country being in lockdown won’t have helped with its launch, the market will be keen to see if it is gaining traction with UK consumers. And as Zip is never one to sit still, it wouldn’t be surprising if further expansion plans, potentially into Canada or mainland Europe, were announced.

The Zip share price is up 113% since the start of the year. Investors will no doubt be hoping it extends these gains tomorrow with another strong result.

More reading

• Why is the Telstra (ASX:TLS) share price falling today?
• The IOUpay (ASX:IOU) share price is skyrocketing 30% today
• Why the Afterpay (ASX: APT) share price is down 8% today
• ASX investors watch out for a rise in interest rates in 2022
• What does Citi think about ASX reporting season so far? 

James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of ZIPCOLTD 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 Bruce Jackson.

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Much has been made of the rise of Bitcoin (CRYPTO: BTC) recently. And fair enough too. The price of bitcoin has gone parabolic of late, rising more than 50% over the past month alone. That’s despite bitcoin falling almost 15% since this Sunday alone. In fact, between 24 January and Sunday, Bitcoin was up 74%.

Now picture this: bitcoin is up an eye-watering 977% between 16 March 2020 and today. That’s enough to give anyone FOMO.

It’s hard to gauge exactly how many Aussies are enjoying these gains. That’s why a report from BTC Markets makes for some very interesting reading today.

Bitcoin investing surges

According to the report, more Australians are now investing in cryptocurrencies like bitcoin than in precious metals like gold and silver.

The report surveyed more than 2,000 Australian investors over this month so far. This survey found that 12.6% of investors had an investment in a cryptocurrency, whereas only 12.1% of investors held an investment in precious metal.

Nearly a third of those cryptocurrency investors made their first investment following the coronavirus-induced share market crash in March last year. Interestingly, more than half of those who own cryptocurrencies are not planning on selling anytime soon. 51% of these investors stated they did not plan to sell their coins despite the recent run-up in bitcoin prices. And 23% of them stated that they plan on holding their coins for more than 3 years.

The comparison to gold is pertinent because investors are often attracted to bitcoin for the same reasons as they are to gold. Both gold and bitcoin have finite supplies and cannot be ‘printed’ by governments. As such, they are touted as being ‘inflation-proof’ and a store of wealth and value. Indeed, some bitcoin investors describe the cryptocurrency as ‘digital gold’.

Shares still win out though…

Despite the growing popularity of bitcoin and other cryptocurrencies, shares still dominate as Australian’s favourite investment. The report states that although 12.6% of those surveyed had cryptocurrency investments, a far greater 63.6% held shares directly. 28.8% of those surveyed also reported that they owned investments in exchange-traded funds (ETFs) and managed funds. 25.8% said they had an investment property, and 18.8% said they invested in ‘collectables’.

At the bottom of the pile were fixed-income investments (9.9%) and annuities (7.7%).

Despite the recent success of bitcoin, the report also tells us that almost 80% of Australians are still not planning on investing in it.

More reading

• How Tesla’s (NASDAQ:TSLA) Elon Musk just lost $19 billion
• ASX 200 Weekly Wrap: ASX lower despite bumper dividends
• Bitcoin hits record high: Why Saxo says the cryptocurrency is here to stay
• Why the Fatfish (ASX:FFG) share price is diving 21% today
• DigitalX (ASX:DCC) share price soars 18% following Bitcoin update

Sebastian Bowen owns Bitcoin. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. recommends Bitcoin. 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 Paradigm Biopharmaceuticals Ltd (ASX: PAR) share price gained ground today and is presently trading at $2.55 a share, a 2.82% bounce.

The share price increase comes after Paradigm released its 1HY21 financial results.

Here’s the rundown of what we found out. 

Paradigm share price rises after company reports loss

Paradigm reported a net profit after taxes (NPAT) loss of $20.7 million for 1HY21. This compares to the $5.1 million loss reported for 1HY20.

The company advised that the increased NPAT loss was a product of the significant progress made with its osteoarthrosis (OA) and mucopolysaccharidosis (MPS) clinical programs.

Specifically, the company incurred the costs and expenses reflected in the NPAT loss in order to launch phase II and phase III trials for the treatment of MPS. Paradigm also allocated additional expenses to convene meetings pertaining to OA with the United States Food and Drug Administration and European Medicines Agency.

As of 31 December 2020, Paradigm posted $95.3 million worth of assets. $112.4 million in total assets was reported for the 1HY20 period.

Cash and cash equivalents totalled $85.2 million for 1HY21 compared to $80 million for 1HY20.

The company received a $3.4 million R&D tax incentive during 1Hy21.

Chief medical officer shares insight

Paradigm chief medical officer Dr Donna Skerrett commented on Paradigm’s progress during the period, saying: 

During CY 2020, Paradigm conducted a number of non-clinical and clinical studies to provide updated information regarding drug characteristics, pharmacokinetics, and non-clinical toxicity as requested by the FDA in the company’s first meeting with the agency in February 2020.

Paradigm has worked diligently to ensure it has all the necessary supporting non-clinical and clinical data and clinical development plan to support its IND submission in Q1 CY 2021.

Paradigm share price snapshot

Over the past year, the Paradigm share price has dropped about 26%.

The company’s market capitalisation is $578.2 million. Paradigm currently has 225.9 million shares outstanding.

More reading

• Why the Paradigm (ASX:PAR) share price is jumping higher today

Motley Fool contributor Gretchen Kennedy 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 Retail Food Group Limited (ASX: RFG) share price is up more than 5.5% today. At the time of writing, the Retail Food Group share price is up 5.6% to $0.075. Shares in the company are in hot demand after Retail Food released its results for the first half of FY21.  

Maintaining a profit despite COVID-19

Earlier today, Retail Food released its results for the first half of FY21.

Despite the impact of the COVID-19 pandemic on retail, Retail Food managed to maintain a profit for the first half.

The company recorded an underlying net profit after tax (NPAT) of $12.0 million. This was a 60% increase on the prior corresponding period (pcp). The result was underpinned by an underlying EBITDA of $14.4 million for the first half of FY21.

However, the true impact of the pandemic was seen in statutory NPAT which fell 72.2% to $3.89 million. In addition, total revenues for Retail Food fell 52.4% to $85.1 million for the first half.

Retail Food acknowledged that the company had received $4 million in Jobkeeper payments and did not declare an interim dividend.

Spotlight on Retail Food divisions

Retail Food noted strong performances for its domestic franchises, Brumby’s Bakery and QSR Division (Crust/Pizza Capers).

For the first half, the company’s Brumby’s Bakery franchises reported an 11.7% increase in sales. In addition, its QSR Division saw sales grow by 6.7% largely due to non-contact meal delivery options.

 According to Retail Food, the sales growth partially offset its brands anchored to shopping centres. Overall, Retail Food saw total network sales for Donut King, Michel’s Patisserie, and Gloria Jean’s fall 13.2% to $244 million.

How has the share price responded?

Retail Food is Australia’s largest multi-brand retail food franchise manager. The company is the owner of notable brands including Donut King, Michel’s Patisserie, Gloria Jean’s, Brumby’s Bakery, Crust Gourmet Pizza, and Pizza Capers.

The company acknowledged that the COVID-19 pandemic presents ongoing challenges for the second half of FY21. However, Retail Food management remains optimistic about the return to less volatile trading conditions.

Retail Food also noted that Federal Court proceedings with the Australian Competition and Consumer Commission (ACCC) had begun. However, the company could not determine the full financial impact of the proceedings.

More reading

• Why is the Paradigm (ASX:PAR) share price climbing today?
• Why the Anteris Technologies (ASX:AVR) share price soared 23% today
• The Cosol (ASX:COS) share price jumped 8% today. Here’s why
• Why is the Telstra (ASX:TLS) share price falling today?
• Why the Home Consortium (ASX:HMC) share price is falling today

Motley Fool contributor Nikhil Gangaram 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 Anteris Technologies Ltd (ASX: AVR) share price rose a jaw-dropping 23% today after an online investor presentation yesterday.

The healthcare company opened the day at $5.85 and idled until an incredible rally just after midday shot the share price to $6.86. At the time of writing, Anteris shares have dipped slightly to $6.79.

What does Anteris do?

Anteris, formerly known as Admedus Ltd, is a medical company that focuses on designing and manufacturing heart valves. Its next-generation technology re-engineers xenograft tissue into pure collagen scaffold, helping surgeons replace valves for patients during surgery.

What did Anteris showcase in its investor presentation?

Wayne Paterson, CEO and Managing Director of Anteris, presented 3 technologies to investors that the company is working on.

The first and oldest is an anti-calcification treatment platform called ADAPT. In his presentation, Mr Paterson claimed up to 20,000 people around the world have ADAPT technology inside their bodies at present.

DurAVR was the second technology showcased. DurAVR stands for Durable Aortic Valve Replacement. Unlike other valve systems, which are made from three tissue pieces sewn together, DurAVR is a single 3D valve model inserted into the patient.

The third technology is a catheter that is balloon expandable.

Mr Paterson also announced that the company should soon have a Food and Drug Administration (FDA) study approved regarding its DurAVR technology. He also claimed competitor valves could not go more than 150 million cycles while DurAVR had been recorded lasting as long as 700 million cycles. One cycle is the equivalent to one human heartbeat. 200 million cycles (the equivalent of 5 years inside the body) are required for a valve replacement to obtain FDA approval.

Anteris share price history

The Anteris share price has a volatile history, regularly going through periods of peaks and troughs.

In 2004 the share price was over $200 and as recently as 2016 was at or near $100. Anteris shares have been in long-term decline since. However, the share price has rallied over the past week and has been on a small upward trajectory from the beginning of 2021.

More reading

• Why the Anteris (ASX:AVR) share price will be on watch today

Motley Fool contributor Marc Sidarous 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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Cosol Ltd (ASX: COS) shares were advancing today following the company’s release of its half-year results. By the market’s close, the Cosol share price was up 7.75% to 69.5 cents.

Let’s take a look at how the IT services provider performed for the first half of 2021.

What drove the Cosol share price higher?

The Cosol share price pushed higher today after the company surprised investors with a robust performance that exceeded its AGM guidance update.

According to its release, Cosol delivered growth across its key business metrics despite facing headwinds resulting from COVID-19.

The company advised that for the six months ending 31 December 2020, revenue increased to $15.6 million. This reflected a 45% jump on the prior corresponding period. The company expanded its IP and digital solutions business which led to major client wins. In addition, the acquisition of AddOns Inc in October created a platform for deployment into North America.

Statutory earnings before interest and tax (EBIT) also rose to $2.56 million, without the assistance of JobKeeper. The result represented a gain of 32% over the comparable H1 FY20 term. Furthermore, the EBIT margin rose to 16% which was in line with previous forecasts.

Net profit after tax (NPAT) came to $1.85 million, a lift of 35% on the same time last year.

Cosol closed the calendar year with a cash balance of $9.36 million, and $964,000 in net debt.

In further news boosting the Cosol share price, the board decided to declare a fully franked interim dividend of 0.5 cents per share. This will be paid to eligible shareholders on 15 April 2021.

Management commentary

Cosol non-executive chair Geoff Lewis commented on the company’s performance. He said:

Despite the headwinds created by the COVID 19 pandemic, COSOL has had a strong six months of operations which has enabled us to exceed guidance and pleasingly, after only 12 months of operations, pay a fully franked interim dividend of 0.5 cents per share.

The COSOL Executive team are focused on finishing the full year strongly and have created a platform with the acquisition of AddOns Inc to expand and grow our offerings to existing clients and potential clients in multiple geographies.

Outlook

Looking ahead, Cosol stated it remains optimistic the company’s performance will continue to run throughout the second half. It highlighted a strong pipeline of products that will be used to extend the company’s reach to new customers. In addition, Cosol put forward its intention to maintain its investment in and deployment of its digital IP.

Lastly, management revealed it will pay fully franked dividends that equate to a payout ratio of 50% of NPAT.

The Cosol share price is up more than 120% over the past 12 months.

More reading

• Brace for an IPO resurgence as new floats beat the ASX 200 by ~50%

Motley Fool contributor Aaron Teboneras 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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