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The gold price hit a new high in the first half of FY21, boosting the bottom line for ASX gold shares.

This month ASX gold miners have been reporting their results, demonstrating the impact of the record gold price on profits.

Northern Star Resources Ltd (ASX: NST) reported record profits and dividends, as did Evolution Mining Ltd (ASX: EVN). Australia’s largest gold miner, Newcrest Mining Ltd (ASX: NCM), doubled its dividend as statutory profit lifted by 134%. St Barbara Ltd (ASX: SBM) reported encouraging results for the half despite operational disappointments in the first quarter. 

But the gold price has been on a downward trend recently and fell to an 8-month low of US$1781.20 last week. The rollout of the COVID-19 vaccine has seen a shift away from the safe haven assets. Rising treasury yields mixed with a stronger US dollar have also put downward pressure on the gold price.

The decline in the gold price has been reflected in ASX gold miners’ share prices. The Newcrest Mining share price is down 33% from its August high.

The Evolution Mining share price is also down 33%, while the Northern Star Resources share price is down 35%. St Barbara has seen its share price decline nearly 45% over the same period.

So how did these ASX gold miners perform in the first half of FY21? 

Newcrest Mining

Newcrest reported a profit of $534 million in 1H FY21, with earnings per share (EPS) rising 121%.

“The strong financial results for the half year show how much the increase in the gold price has translated into improved profitability,” said CEO Sandeep Biswas.

The miner produced 1,038,566 ounces of gold during the half, securing a gold price of US$1,826 an ounce. The half’s gold price was 26% higher than the prior corresponding period, swelling revenues to $2,172 million. An interim dividend of 15 cents per share was declared, 100% up on the previous year. 

The Newcrest board has implemented a new dividend policy going forward. The policy retains the minimum dividend of 15 cents per share per annum but doubles the target free cash flow to be paid in dividends to 30%–60%. This is intended to allow shareholders to benefit from the stronger free cash flows resulting from higher gold prices.

Newcrest investors were certainly benefiting in 1H FY21 thanks to the doubling of dividends. The company’s FY21 gold and copper production guidance remained unchanged at the end of the half-year, although Newcrest noted that gold production is expected to be towards the upper end of the range. 

Northern Star Resources 

Northern Star Resources reported record profits for the first half. Underlying net profit after tax was $194.4 million, up 63% from the prior corresponding period.

Earnings per share increased by 27% to 25 cents a share.

Northern Star executive chair Bill Bearment said the record performance showed the company’s growth strategy was proceeding to plan. The greater size of the company meant it was primed for more grown at all levels, which should further increase returns for shareholders.

Earlier this month, Northern Star implemented a merger with Saracen Mineral Holdings Limited (ASX: SAR), which gives a clear pathway to an annual production of 2 million ounces for the combined operations. 

Northern Star Resources sold 480,341 ounces of gold in 1H FY21 at an average price of A$2,386 an ounce. The company says it is on track to meet FY21 production guidance of 940,00–1,060,000 ounces. An interim dividend of 9.5 cents a share was declared, up 27% from the prior corresponding period. This was based on a dividend payout policy of 6% of revenue.

The gold miner ended the half-year with cash, bullion, and investments of A$372 million and bank debt of $375 million. 

Evolution Mining 

Evolution was another gold miner reporting record profits for the half-year, with underlying net profit after tax increasing 57% to $234 million. The gold miner declared a dividend of 7 cents per share based on its target policy of 50% of free cash flow.

“These record financial results continue to demonstrate the quality of Evolution’s asset portfolio,” said executive chair Jake Klein. “The fully franked dividend is our 16th consecutive dividend and reflects the priority we place on ensuring our shareholders benefit from our high cash generation.”

Evolution produced 350,326 ounces of gold during the half-year at an all-in sustaining cost of $1,182 per ounce. EBITDA increased 17% to $514.6 million, up from $441.2 million in 1H FY20.

Importantly, Evolution achieved success in growing mineral resources and ore reserves at key assets, reflecting the sustainability of its strong cash generation. The gold miner’s cash position increased to $438.1 million compared to $170.3 million at 31 December 2019. This reduced net bank debt to $86.9 million. 

St Barbara

St Barbara reported encouraging results for the first half of FY21. Despite operational disappointments in the first quarter, St Barbara produced 162,660 ounces of gold at an all-in sustaining cost of $1,605 an ounce. The miner has previously provided guidance for full-year production of 370,000 to 410,000 ounces of gold.

Improving contributions from all three of the miner’s operations contributed to profits of $37 million for the half year. Earnings per share were 5 cents (down from 6 cents in 1H FY20). St Barbara ended the first half with $119 million cash at the bank and $101 million debt. 

Gold miners profit 

Gold miner’s results were boosted by the last half’s high gold prices. This resulted in high revenues and profits, allowing the payment of increased dividends.

The gold price has shifted downward, however, as confidence in the COVID-19 vaccine sees investors move away from safe haven assets. 

Gold has traditionally been negatively correlated with share markets, making the commodity a good hedge. But the gold price has also shown steady growth in value over the longer term. That’s why some analysts have predicted the current pullback in gold prices could be short-lived, estimating the gold price could reach somewhere between US$2000 and US$3000 an ounce in the next five years.

ASX gold miners will no doubt be hoping these predictions are on the money. 

More reading

• ASX 200 Weekly Wrap: ASX lower despite bumper dividends
• 5 things to watch on the ASX 200 on Monday
• These were the worst performing ASX 200 shares last week
• 5 things to watch on the ASX 200 on Friday
• 5 things to watch on the ASX 200 on Thursday

Motley Fool contributor Kate O’Brien 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 has been a great start to the week for the Althea Group Holdings Ltd (ASX: AGH) share price.

In afternoon trade, the cannabis company’s shares are up almost 8% to 56 cents.

This latest gain means the Althea share price is now up over 27% since the start of the year.

Why is the Althea share price racing higher today?

The catalyst for the rise in the Althea share price today has been the release of a sales announcement.

According to the release, the company’s Canada-based subsidiary, Peak Processing Solutions, has received a binding purchase order from WeedMD.

The initial order, which is performed as part of a one-year commercial services agreement, is valued at approximately C$130,000. It is expected to be delivered to WeedMD in March.

The release explains that under the agreement, Peak will perform a variety of services for WeedMD. This includes the hydrocarbon extraction of fresh-frozen cannabis biomass used to produce live resin cannabis concentrate products for sale in the Canadian adult-use cannabis market.

Management commentary

Althea’s CEO, Joshua Fegan, said: “We are pleased to have received this initial purchase order from WeedMD, a like-minded innovator in the Canadian adult-use cannabis market. The PO and associated commercial agreement provide further recognition from an industry leader that Peak has the capability to produce and deliver cannabis products of the highest quality. Peak continues to attract strong interest from companies across Canada and the United States looking to enter the Canadian recreational cannabis market.”

This sentiment was echoed by WeedMD’s Executive Chairman and CEO, George Scorsis.

He commented: “We are extremely excited to be working with the Peak team on this first of its kind product for our company and I have the utmost confidence in our execution-focused team of experts. Live resins are a premium offering that are in high demand in the Canadian market and I am confident we have a product that will exceed expectations.”

Today’s gain leaves the Althea share price trading within sight of its 52-week high of 67 cents.

More reading

• What will Elite Cannabinoids mean for ASX cannabis shares?
• How did ASX cannabis shares perform in 1H FY21?
• Here’s why the Althea (ASX:AGH) share price is jumping 7% today
• Why the Althea (ASX:AGH) share price has zoomed up 9% today
• CBD to be sold in pharmacies, ASX cannabis shares react

Motley Fool contributor James Mickleboro 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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ASX lithium shares have staged the perfect comeback story, with the likes of Galaxy Resources Limited (ASX: GXY), Orocobre Limited (ASX: ORE) and Pilbara Minerals Ltd (ASX: PLS) delivering triple digit returns since October last year.

A lithium revival  

There has been a global trend for a green-led recovery and the push for carbon neutrality has been gaining momentum. 

China is the world’s largest electric vehicle (EV) consumer, with the government previously extending its US$2 billion in EV stimulus and subsidies to 2020. The Chinese Government is targeting a 20% EV penetration rate by 2025 and has pledged to become carbon neutral by 2060.  

To help repair the economic and social damage caused by COVID-19, the European Commission, the European Parliament and EU leaders agreed on a total of $1.8 trillion euros for ‘a greener, more digital and more resilient Europe’. This will be the largest stimulus package ever financed through the EU budget. 

Turning to the United States, President Joe Biden has reversed many of Trump’s anti-climate policies including rejoining the Paris climate accord. More recently, Biden announced his plans to replace the government’s fleet of cars and trucks with electric vehicles assembled in the US. As of 2019, the US Government had over 645,000 vehicles. 

Following the uplift in lithium demand, the supply-side has also faced its own share of COVID-related interruptions. As a result, month on month lithium prices have finally ticked positive after more than two years of spiralling lower. 

Fastmarkets has highlighted recent lithium market and price developments including: 

• China’s domestic battery-grade lithium carbonate market continued its uptrend supported by spot material shortage, although buying activity remained thin after the Lunar New Year holiday.
• The Asian seaborne battery-grade lithium hydroxide spot price recorded its first gain in five months due to increasingly higher prices reported in the market.
• Europe, US lithium complex moved higher on growing tightness in spot availability.

Pilbara Minerals points to profitability 

Pilbara is among the first ASX lithium shares to report its FY21 first-half results. The company cited improved market conditions and operational performance, supporting positive earnings before interest, tax, depreciation and amortisation (EBITDA) of $1.7 million compared to an EBITDA loss of $24.1 million for the December 2019 half year.  

Commenting on the half-year results, Pilbara Minerals’ Managing Director, Ken Brinsden said: 

Lithium raw material markets are now clearly in an upward trend as it relates to both demand and price, which is now translating to improved spodumene pricing. Further, we are fielding more supply enquiries by the day, implying Pilbara Minerals is well-placed with both low-cost operations and near-term expansion capacity to capitalise on this part of the cycle. 

This result is a step in the right direction for ASX lithium shares after two years of negative earnings. Back in 2018, Galaxy Resources was one of the most profitable ASX lithium shares and despite an approximate $1 billion market capitalisation, it traded at a price-to-earnings (P/E) ratio of just 10!

Foolish takeaway

The lithium revolution is in its early days with significant government stimulus and policies in place to support global EV adoption.

With that said, investors still need to be mindful of the risks involved with ASX lithium shares. Government policies and stimulus could be pulled back. For example, in December 2020, China announced its plans to roll back subsidies for EVs by 20% in 2021. 

At the end of the day, the most important factor is lithium spot prices that directly impact a company’s bottom line. So far, lithium prices have tipped higher, but more demand will be needed to see lithium back at its 2018 highs. 

More reading

• Here’s why the Pilbara Minerals (ASX:PLS) share price is dropping today
• Pilbara Minerals (ASX:PLS) share price jumps 6% on broker upgrades
• Pilbara Minerals (ASX:PLS) share price climbed 12% today, but why?
• Why the Orocobre (ASX:ORE) share price is zooming 7% higher today
• Top brokers name 3 ASX shares to sell next week

Motley Fool contributor Kerry Sun owns shares of Galaxy Resources 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 Senex Energy Ltd (ASX: SXY) share price is on the move today, up 8% in early afternoon trading.

The share price gains follow the company’s results for the financial half-year ending 31 December (H1 FY21).

What did Senex Energy report?

In today’s ASX announcement, Senex Energy reported it has successfully delivered on its $400 million Surat Basin natural gas development projects. The company credits these projects with the significant increases in its gas production, revenue and earnings.

Senex revealed its natural gas production for the half-year increased by 271% over the prior corresponding period, to 8.0 PJ, or 1.4 million barrels of oil equivalent (mmboe). Its Surat Basin gas reserves increased by 27% to 780 PJ.

The company’s sales revenues increased by 239% to $45 million, while underlying earnings before interest, tax, depreciation and amortisation (EBITDA) of $25 million was up $26 million from H1 FY20.

Senex Energy held $33 million of net cash as at 31 December, an increase of $78 million from the corresponding half.

Management response

Commenting on the results, Senex CEO Ian Davies said:

Production in the Surat Basin now exceeds 50 TJ/day, or more than 18 PJ/year and equivalent to around 10 per cent of Queensland’s natural gas demand, with natural gas production in the half of 8.0 PJ exceeding total FY20 production, demonstrating the increase in gas field production performance…

Also announced in the half, the sale of our Cooper Basin business to Beach Energy for $87.5 million will provide additional strength to our balance sheet and bolster the cash flow resilience of our natural gas portfolio.

Davies said that with the past half year’s strong performance, the board decided to accelerate dividend distributions to Senex shareholders.

Senex will pay an initial 1 cent per share annual dividend (paid half-yearly) along with an 0.5 cent special dividend after the Cooper Basin sale completes. That represents an annualised dividend yield of 4.3%, 97% franked. Senex said it aimed for a 20–30% dividend payout of its free cash over the long-term.

Senex Energy share price snapshot

Having tumbled more than 62% during the COVID-driven market rout last year, which hit ASX energy shares particularly hard, Senex shares are back in the green for the year, up 4% in 12 months. By comparison, the All Ordinaries Index (ASX: XAO) is flat over the past year.

So far in 2021, the Senex Energy share price is up 11%.

More reading

• ASX 200 Weekly Wrap: ASX lower despite bumper dividends
• Here’s why the IntelliHR (ASX:IHR) share price is rocketing 15% today
• The Silver Mines (ASX:SVL) share price falls despite positive drill results
• The NRW Holdings (ASX:NWH) share price has plunged 16%. Here’s why
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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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Cann Group Ltd (ASX: CAN) shares are edging higher today following the release of the medicinal cannabis company’s financial results for the half year ending 31 December (H1 FY21). At the time of writing, the Cann Group share price is trading at 2.16% higher at 71 cents.

What did the company report?

The Cann Group share price is pushing higher today after the company reported revenue from sales of $1.1 million, up from $600,000 in H1 FY20.

Earnings before interest, tax, depreciation and amortisation (EBITDA) came in at a loss of $4.3 million, a marked improvement from the $7.3 million loss in the prior corresponding period. The company reported an operating loss of $9.4 million, an increase of $1 million from the $8.4 million loss in H1 FY20.

Earnings per share (EPS) of negative 4.98 cents was up from negative 6.00 cents in the prior corresponding half. Cann Group had cash on hand of $27.7 million as at 31 December.

During the half year, the company raised $40.2 million via an institutional placement of $14.3 million and a share purchase plan of $25.9 million. Shares were issued for 40 cents, significantly below the current Cann Group share price of 71 cents.

Cann intends to use the capital, along with a $50 million debt facility from National Australia Bank Ltd. (ASX: NAB), for the construction of its new production facility in Mildura, Victoria. During the half year, the company received the necessary licenses under the Narcotics Drug Act to cultivate and manufacture cannabis at the facility

Commenting on the half-year results, Cann Group CEO Peter Crock said:

While the company experienced some frustrating delays that impacted revenues in the first half, we are extremely encouraged by the building demand for our product from both existing and potential distribution customers overseas and here in Australia. We remain confident that Cann’s growing reputation as a producer of high quality GMP standard medicinal cannabis will enable us to expand market access and build our revenue base over coming periods.

Looking ahead, Crock added:

We are making positive progress on the construction of our state-of-the-art production facilities near Mildura. There is strong momentum behind the business as we continue to see new markets open up and broader acceptance of the benefits of medicinal cannabis.

Noting that overseas sales were impacted by delays caused by COVID-19, Cann Group said some of the revenue it had forecast to be recognised in FY21 is now likely to be recognised in the first half of the 2022 financial year. For that reason, the company revised its full 2021 financial year revenue forecast from $15 million to $8–$10 million.

Cann Group share price snapshot

It’s been a rocky ride for shareholders over the past year. The Cann Group share price is down 29% in 12 months, compared to a flat return on the All Ordinaries Index (ASX: XAO).

However, 2021 has seen a big improvement, with Cann Group shares are up around 18% year to date.

More reading

• What will Elite Cannabinoids mean for ASX cannabis shares?
• Here’s why the Cann Group (ASX:CAN) share price is in a trading halt
• How did ASX cannabis shares perform in 1H FY21?
• Why the Cann (ASX:CAN) share price is pushing higher
• Why Cann, Creso, LiveTiles, & New Corp shares are tumbling lower 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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In afternoon trade the S&P/ASX 200 Index (ASX: XJO) has given back its gains and is edging lower. At the time of writing, the benchmark index is down a few points to 6,792.5 points.

Four ASX shares that are falling more than most today are listed below. Here’s why they are tumbling lower:

Chorus Ltd (ASX: CNU)

The Chorus share price is down 3.5% to $7.21 following the release of its half year results. For the six months ended 31 December, the New Zealand-based telco reported a 2.1% decline in revenue to NZ$473 million and a 22.5% decline in net profit to NZ$24 million. This was despite the company reporting a 62,000 increase in fibre connections to 813,000. Approximately 17% of these connections are on gigabit plans.

Douugh Ltd (ASX: DOU)

The Douugh share price is down 2% to 23 cents. Investors continue to sell the financial app company’s shares following the release of user numbers last week. The company revealed that since its launch last year, there have been just 8,001 customers onboarded. Investors may not believe this justifies its current valuation.

IOUpay Ltd (ASX: IOU)

The IOUpay share price has crashed 12% lower to 54 cents. Investors have been selling the Malaysia-based buy now pay later (BNPL) provider’s shares since its surprise $50 million placement last week. Sophisticated and institutional investors were offered 100 million shares at 50 cents per share. This represented a 28.6% discount to its last close price at the time of 70 cents. The proceeds will be used for growth initiatives including digital payments and to accelerate new business development opportunities in the BNPL sector in South East Asia.

Reliance Worldwide Corporation Ltd (ASX: RWC)

The Reliance share price has fallen 3% to $4.58. This follows the release of the plumbing parts company’s half year results today. Although Reliance delivered stellar profit growth, its outlook appears to have spooked investors. Management warned that the strong sales growth may not persist.

More reading

• ASX 200 up 0.1%: Macquarie upgrades guidance, Costa impresses, NIB surges higher
• Reliance Worldwide (ASX:RWC) share price in spotlight as it unveils 82% profit surge
• Why the Cirralto (ASX:CRO) share price is in a trading halt
• Douugh (ASX:DOU) share price plummets 9% today despite strong start
• Why the IOUpay (ASX:IOU) share price is charging higher today

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 Reliance Worldwide Limited. The Motley Fool Australia has recommended Reliance Worldwide 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 Bingo Industries Ltd (ASX: BIN) share price is having a bleary day today. At the time of writing, its shares are trading for $3.14 apiece, a drop of 1.72%.

The Bingo share price opened at $3.19 this morning and rose as high as $3.21 before sharply dropping off around 11 am.

That drop appears to be a late response to the earnings report Bingo delivered to investors this morning. This earnings report covers the first half of FY2021 (the 6 months ending 31 December 2020).

What is Bingo?

Think bins, not meat trays here. Bingo, along with its rival Cleanaway Waste Management Ltd (ASX: CWY), is one of the largest waste collections and processing companies on the ASX.

Bingo is known for its commercial and industrial waste collections business, including the ‘Dial-a-Dump’ business that it acquired back in 2018.

What did the company report today?

Bingo’s earnings reflect a tough 6 months for the company. Revenues came in at $241.1 million, down 3.1% from the corresponding period in FY2020 (1H20). Bingo’s revenue sectors went backwards over the period, except for ‘post-collections revenue’, which rose 5% to $170.9 million.

Underlying earnings before interest, tax, depreciation and amortisation (EBITDA) was $65.2 million, down 20.5% from 1H20’s $82 million. That dragged net profits after tax down 41.2% to $16.7 million, from 1H20’s $28.4 million. Operating free cash flow also fell, down 8.9% from 1H20’s $70.4 million to $64.2 million. Pleasingly for Bingo investors, net debt for the company fell 1.2% from H120’s $321.1 million to $317.4 million.

Bingo has announced an interim dividend for shareholders of 1.5 cents per share, fully franked. That represents a payout ratio of 62%. That’s down 32% from last year’s interim dividend of 2.2 cents per share, but flat with Bingo’s 2020 final dividend. On current pricing, that would give Bingo an annualised dividend yield of 0.95%.

Bingo describes the earnings results as a “solid financial performance despite challenging market conditions”. The company blames the COVID-19 pandemic, especially in Victoria, for a “softening” of its total addressable market, as well as for higher labour costs.

Looking forward, Bingo’s management is anticipation that the company is “well-positioned for market recovery”. It notes that the near-term outlook for the company is now “better than previously anticipated”.

Management told investors to expect margins to continue to decline for the rest of FY2021. However, it has also told investors that it sees the potential for “significant upside in FY2022 and beyond as the company’s addressable markets expand.

About the Bingo share price

The Bingo share price has had a wild and woolly 12 months. At the current share price, it is more or less where it was 12 months ago. But Bingo shares took a dive in March last year (along with the rest of the market), falling all the way to $1.47.

The Bingo share price has recovered strongly since of course, and is up more than 100% since then. On the current price, the company has a market capitalisation of $2.04 billion.

More reading

• These were the best performing ASX 200 shares in January
• ASX 200 Weekly Wrap: Change in America spurs ASX 200 higher
• These were the best performing ASX 200 shares last week

Motley Fool contributor Sebastian Bowen 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 Singular Health Group Ord Shs (ASX: SHG) share price has been a positive performer on Monday.

In morning trade the 3D medical imaging company’s shares were up as much as 10% to 45 cents.

The Singular Health share price has since pulled back a touch but is still up 3.5% to 42.5 cents currently.

Why is the Singular Health share price shooting higher?

Investors have been buying Singular Health shares today after it announced a new purchase order.

According to the release, the company has received a $170,000 purchase order and payment schedule from FlowCentric Technologies. The purchase order will allow FlowCentric Technologies to conduct a pilot program using Singular Health’s GeoVR software.

The pilot program aims to develop a prototype, commercially viable product, with an integrated special database that utilises imaging and predictive technologies for mining and exploration. It will leverage the company’s proprietary Volumetric Rendering Platform (VRP).

FlowCentric Technologies is a software development company delivering Business Process Management software to over 350,000 users. It services a number of Tier 1 resources companies globally.

Joint venture

In addition to the purchase order, the two companies are currently finalising the terms for a joint venture in which they will each hold 50% of the issued shares.

This joint venture will aim to develop and utilise advanced imaging and predictive technologies into a software application, GeoVR, that can be used in mining and exploration activities.

The release explains that upon the receipt of the $170,000, Singular Health will be obligated to transfer all title and intellectual property relating to the GeoVR software into the new joint venture company.

Management commentary

Singular Health’s CEO, Thomas Hanly, commented: “Whilst we remain focused on our core vision of Developing Better Health Literacy, this pilot program with FlowCentric Technologies presents a great opportunity to deploy our proprietary Volumetric Rendering Platform for use in the mineral resources sector.”

“FlowCentric is a logical partner for Singular Health with their large number of existing business relationships in South Africa and Australia with leading geological software providers and resource companies.”

“Furthermore, forming joint ventures with established businesses to build new verticals is critical to ensuring that we remain focused on our medical applications whilst also providing access to domain specific expertise and established client bases. The revenue earned from this pilot program also reinforces the Company’s objective of advancing the commercialisation of its technology,” he concluded.

The Singular Health share price has more than doubled since its IPO earlier this month.

More reading

• The Singular Health (ASX:SHG) share price is now up 140% since its IPO
• Singular Health (ASX:SHG) share price rockets 100% higher following IPO
• Why Novonix, Recce, Singular Health, & Starpharma shares are storming higher
• Singular Health (ASX:SHG) shares arrive on the ASX

Motley Fool contributor James Mickleboro 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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Superloop Ltd (ASX: SLC) shares are on the move this morning following the company’s announcement of a signed services agreement with MNF Group Ltd (ASX: MNF). At the time of writing, the Superloop share price is up 6.63% to $1.045.

Let’s take a closer look at what the independent connectivity services provider updated the market with.

What’s driving the Superloop share price higher?

The Superloop share price is firmly in positive territory after the company reported a significant win that will boost its coffers.

According to its release, Superloop has been awarded a major multi-year contract with Symbio, a wholly-owned subsidiary of MNF Group.

Under the deal, Superloop will become the exclusive supplier of wholesale nbn aggregation services. This includes Symbio transferring all existing and future supply arrangements onto the Superloop Connect platform. In addition, it’s anticipated that Superloop will take on a greater role in using Symbio’s range of voice offerings.

Superloop shares are responding positively today after the company advised the new contract award is expected to generate revenue of more than $25 million. This represents the single largest deal the company has signed to date.

What is Superloop Connect?

Superloop Connect is an in-house-developed platform that offers nbn aggregation services to customers of any size. The platform enables accessing nbn backhaul and virtual nni capabilities that bring fast, reliable, secure connectivity layered with a range of managed services.

Management commentary

Superloop CEO Paul Tyler welcomed the new deal, saying:

We are excited that Symbio has chosen Superloop to underpin their nbn network services further building on our longstanding and successful relationship. The Superloop network has been designed for this very purpose and we’ve built significant capacity to cater for the continued growth we are anticipating across Australia.

CEO of MNF Group Rene Sugo added:

We selected Superloop to be our partner for the provision of nbn aggregation services due to the state-of-the-art Superloop Connect platform combined with the strength of their underlying network and looking forward to taking this long-term partnership from success to success.

The Superloop share price has tracked around 25% higher over the past 12 months.

More reading

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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 SUPERLOOP FPO. The Motley Fool Australia owns shares of and has recommended MNF Group 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 Integral Diagnostics Ltd (ASX: IDX) share price is on the rise today after the company announced its results for the six months ended 31 December 2020 (1H FY21).

The radiology provider reported growth across all of its business units as well as through acquisitions. The Integral Diagnostics share price is presently up 3.63%, trading at $4.85.

What’s moving the Integral Diagnostics share price today?

The Integral Diagnostics share price is on the rise as investors digest its latest set of results. The company reported operating revenue of $170.7 million for 1H FY21. This is a 29.5% increase compared to the $131.8 million reported for 1H FY20.

Operating earnings before interest, tax, depreciation and amortisation (EBITDA) was $52 million for 1H FY21 compared to $34.6 million for 1H FY20, a 50.3% leap.

Integral Diagnostics reported a statutory net profit after taxes (NPAT) of $19.9 million for 1H FY21, which is an 82.6% hike from the $10.9 million reported in the prior corresponding period.

Free cash flow also fired up 70.2% compared to 1H FY20, totalling $42.7 million for the period.

The board has declared a first half fully franked dividend of 5.5 cents per share.

CEO comments

Commented on the company’s half-year performance, CEO and managing director Dr Ian Kadish stated:

These strong results in a challenging period were made possible by some of the finest doctors and staff in the industry, frontline healthcare workers who always put our patients and referrers first. The results reflect organic growth above market, and solid contributions from our acquisitions of Imaging Queensland and Ascot Radiology. We are also pleased with the performance of our new teleradiology service, IDXt, and the potential of our JV, MedX, with the Medica Group Plc, one of the world’s premier teleradiology providers.

Looking ahead, the company advised that it will evaluate further acquisitions and continue to drive organic growth. Other priorities include progressing the use of digital and artificial intelligence (AI) technologies to support its customer base.

Integral Diagnostics shares have gained 19.39% over the previous six months. Year-to-date, the Integral Diagnostics share price has jumped 7.83%.

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Motley Fool contributor Gretchen Kennedy has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Integral Diagnostics Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post Integral Diagnostics (ASX:IDX) share price lifts on strong half-year results appeared first on The Motley Fool Australia.

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