ASX 200 (XJO) jumps 1%, CSL soars

The ASX 200 (ASX: XJO) is currently up around 1% as reporting season has caused a number of businesses to soar today.

CSL Limited (ASX: CSL)

CSL, one of the ASX’s biggest businesses, has seen its share price rise 7% after reporting its FY20 result.

It reported FY20 revenue of US$9.15 billion, up 7.2%. In constant currency terms revenue rose 9% to US$9.3 billion.

There was strong growth across the business with Privigen sales rising 20%, Hizentra sales growing 34% and seasonal flu vaccine sales going up 21%.

Reported gross profit increased by 9.4% to US$5.3 billion and the gross profit margin improved from 56% to 57.1%.

EBIT (click here to learn what EBIT means) increased by 8.5% to US$2.7 billion with the EBIT margin improving from 29.3% to 29.7%.

CSL’s net profit after tax (NPAT) increased by 9.6% to US$2.1 billion. Cashflow from operations jumped 51% to US$2.49 billion.

This result was delivered despite the transition to a new direct distribution model in China where albumin sales decreased 36% which was in line with its guidance. The China transition is now complete and will improve CSL’s participation in the value chain as well as allowing it to work directly with clinicians.

The CSL board declared a final dividend of US$1.07, bringing the full year dividend to US$2.02 – up 9% from last year.

CSL has estimated net profit after tax for FY21 will be between US$2.1 billion to US$2.265 billion. That would be growth of up to 8%.

WiseTech Global Ltd (ASX: WTC)

The WiseTech share price has jumped 26% higher today after the business reported its FY20 result.

Total revenue increased by 23% to $429.4 million with recurring revenue increasing a proportion of total revenue to 89% (up from 88%).

The company described this revenue growth as solid despite COVID-19 headwinds. CargoWise revenue was up 20% to $263 million, which management said that displayed the strength of the core CargoWise platform. Revenue attributed to acquired businesses grew 29% to $166.4 million.

Reported net profit after tax grew by 197% to $160.8 million and statutory profit/earnings per share (EPS) grew by 185% to 50.3 cents. However, underlying net profit was flat at $52.6 million and underlying EPS fell 4% to 16.4 cents. Operating cashflow increased by 16%.

The underlying profit figures exclude a fair value gain of $111 million and $2.9 million of contingent consideration interest unwind after closing out earnouts relating to 22 acquisitions.

A2 Milk Company Ltd (ASX: A2M)

The A2 Milk share price has sunk 6% after releasing its FY20 report.

a2 Milk delivered 33% revenue growth in FY20 to reach NZ$1.73 million, while EBITDA came in at NZ$549.7 million, 32.9% higher than the prior year. This translates to an EBITDA margin of 31.7%, consistent with FY19.

These results are in line with the guidance a2 Milk provided in its trading update in April, guiding for revenue between NZ$1.7 billion and NZ$1.75 billion, and an EBITDA margin ranging from 31% to 32%.

a2 Milk expects its FY21 EBITDA margin to be in the range of 30% to 31%, reflecting higher raw and packaging material costs (partially offset by price increases), increased marketing investment, COVID-related pantry stocking not being replicated, and the lack of foreign currency benefits as seen in FY20.

Australia and New Zealand Banking Group Ltd (ASX: ANZ)

The ANZ share price is up 3% after releasing its FY20 third quarter numbers.

ANZ reported that it generated $1.3 billion of statutory profit after tax in the third quarter of FY20. This was an increase from the first half’s quarterly average of $773 million.

Continuing operations cash profit was $1.5 billion, almost double the first half quarterly average of $707 million. Excluding large/notable items continuing cash profit was $1.6 billion, up from the first half quarterly average of $1.2 billion.

The major bank revealed that it took a total provision charge of another $500 million for the June 2020 quarter, this followed a $1.674 billion charge taken in the first half.

ANZ announced a fully franked interim dividend of $0.25 per share after deferring it in its FY20 interim result.

The bank said this took into account ANZ’s continuing capital strength and updated regulatory guidance.

The announced interim dividend represents 46% of ANZ’s first half statutory profit, or 30% of statutory profit adjusted for the impairment of Asian associate investments.

Other reports

There have been plenty of other reports released today which the team at Rask Media have covered.

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At the time of publishing, the author of this article does not have a financial or commercial interest in any of the companies mentioned.

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