The ASX 200 (ASX: XJO) is up almost 0.5% as reporting season enters the final stages.
Nanosonics Ltd. (ASX: NAN)
The Nanosonics share price is down 10% after the healthcare business announced its FY20 result.
These were the financial highlights from the report, which were picked out by Owen at Rask Media:
- The installed base of trophon systems rose 13% to 23,720 units
- Revenue up 19% to $100.1 million (a company record)
- Consumables and service revenue up 36% to $70.1 million
- Capital revenue (i.e. sale of units) fell 9% to $30 million
- EBIT (earnings before interest and tax) of $12.6 million, down from $16.8 million
The number of new installed Trophon units fell 46%, revenue in the fourth quarter rose 1% over the prior year’s corresponding period.
Nanosonics estimates it has over 50% of the market in North America, with 20,990 units installed. In Europe and the Middle East the company has 1,120 units installed. In the Asia Pacific region, the number stands at 1,610, up 9% year over year.
Nanosonics didn’t give FY21 revenue guidance because of COVID-19 uncertainty. The company said a drop in the number of ultrasound procedures will also likely result in a decline to consumables revenue in FY21. In June 2020 consumables sales were around 80% of the level in the first three-quarters of FY20.
Blackmores Limited (ASX: BKL)
Blackmores reported that its FY20 sales revenue fell by 3% to $568.4 million.
Blackmores saw underlying EBIT (click here to learn what EBIT means) drop by 59% to $31.4 million. The underlying EBIT margin more than halved from 13% in FY19 to 5.5% in FY20. There was a 15% increase in operating expenses to $246.1 million as it shifted to a higher operating cost structure to become a vertically integrated business.
Underlying net profit plunged 65% to $18.7 million as a result of lower EBIT.
Despite the poor bottom line, international revenue continued to impress with growth of 30% and international EBIT rose 92%. There was double digit growth in Malaysia, Singapore and Indonesia. Blackmores generated $20 million of infant formula sales in Vietnam.
However, Blackmores ANZ revenue fell 15% and EBIT dropped 49%. Regulatory changes in China and consumer buying patterns (impacted by COVID-19) hurt this segment. China sales fell 16% to $103 million.
The Blackmores board decided not to pay a final dividend
In FY21 the company is anticipating profit growth, largely coming in the second half, though Blackmores isn’t going to give profit guidance.
The Blackmores share price is down 4.2%.
Scentre Group (ASX: SCG) suffers
Scentre Group reported its half year result to 30 June 2020.
The bottom line was a statutory loss of $3.6 billion – this is due to a $4 billion reduction in property valuations because of the impacts of COVID-19. But these valuation changes are just accounting updates on paper, the most immediate impact is the effect on Scentre’s earnings.
For the six months to 30 June 2020, Scentre generated operating earnings of $361 million, equating to 6.94 cents per share. It also made funds from operations – meaning its net cash profit – of $362 million, equating to 6.96 cents per share.
Scentre said that it received gross cash inflow of $1.05 billion for the six months and had a net operating cash surplus (after interest, overheads and tax) of $261 million.
For the six month period, it collected 70% of gross rental billings. For June and July it collected more than 80% of gross rental billings. These collection rates have not been adjusted for the impact of applying the SME code and its impact in reducing the actual amount of cash rent collectible.
Excluding Victoria, more than 93% of retail stores are open across the portfolio and occupancy was 98.8% at the end of June 2020.
During FY20 so far the company has raised or extended $5.8 billion of additional funding with $3.4 billion of bank facilities and $2.4 billion of long-term bonds. Scentre said it had $4.4 billion of available liquidity, sufficient to cover all maturities until January 2023.
The Scentre Group share price is up around 4%.
There have been plenty of other reports released today which the team at Rask Media have covered.
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