Want to invest ethically for a brighter future?
(but still make lots of money)?

Want to invest ethically for a brighter future? (but still make lots of money)?

 Take Rask’s FREE Ethical Investing course today.

  • Online & 100% free
  • ETFs, shares & Super
Want to invest ethically for a brighter future? 
(but still make lots of money)?

 Take Rask’s FREE online Ethical Investing course.

ASX 200 (XJO) rises 0.5%, Appen (APX) falls 11%

The ASX 200 (ASX: XJO) is up 0.5% right now as reporting season enters its final stages.

Appen Ltd (ASX: APX) disappoints

The Appen share price is down 11% after reporting its FY20 half year result.

FY20 half year revenue grew by 25% to $306.2 million. The company said there was a substantial increase in annual contract value (ACV) to US$103 million. Appen also announced an enterprise-wide platform agreement with a major customer – this includes a US$80 million annual commitment.

Appen said four of five major customers are using the Appen annotation platform (formerly called the Figure Eight platform).

Underlying EBITDA (click here to learn what EBITDA means) went up 6% to $49.1 million. Excluding ‘growth investments’, underlying EBITDA rose 35% to $62.5 million.

Underlying net profit after tax (NPAT) declined by 3% to $28.9 million (down 12% in constant currency) and statutory net profit grew 20% to $22.3 million.

The Appen board decided to declare an interim dividend of 4.5 cents per share, up 12.5% from last year.

It’s maintaining its guidance for underlying EBITDA for the year to be between $125 million to $130 million. Year to date revenue plus orders in hand for delivery in FY20 was around US$475 million at August 2020. The full year underlying EBITDA margin is expected to be in the high teen percentages.

Zip Co Ltd (ASX: Z1P) drops

The Zip share price is down 7% after reporting its FY20 result.

It has been a big week for Zip after reporting QuadPay’s update and then revealing the launch of Zip Business with eBay Australia.

Today Zip announced its FY20 report which showed full year revenue jumped 91% to $161 million. This was helped by the 87% growth of transaction volume to $2.1 billion. Its loan book (receivables) also increased by 73% to $1.18 billion.

Gross profit rose by 68% to $51.6 million. The company said it delivered positive cash earnings before tax, depreciation and amortisation (EBTDA) while investing for growth. However, the net loss worsened by 80% to $20 million.

Zip said there are now 2.1 million customers (up 63%) and 24,500 merchants (up 51%) on the Zip platform.

Woolworths Group Ltd (ASX: WOW)

In FY20, Woolworths said that its group sales increased by 8.1% to $63.7 billion with online sales jumping by 41.8% to $3.5 billion.

However, the closure of its Hotels segment, higher customer costs and higher team safety costs caused group EBIT (click here to learn what EBIT means) to fall by 0.4%.

Woolworths’ underlying net profit dropped by 1.2% to $1.6 billion – this measure has been ‘normalised’ because last year was a 53 week period and this year includes lease account AASB 16 changes. However, Woolworths’ net profit after significant items fell 56.7% to $1.165 billion.

In the first eight weeks of FY21, Woolworths has seen total sales growth of 12.4% with 12% growth from its Australian supermarkets.

The company has started off well, but the rest of the year is difficult to predict. But Woolworths is expecting elevated buying for the rest of the first half of FY21.

The Woolworths share price is up around 3%.

Other reports

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

Featured Australian shares ETFs:

From 200+ ETFs in Australia, our top investment analyst has just identified his #1 ETF for 2021 and beyond.

Low fees? Check.

Long-term growth potential? Check.

Regular cash returns? Check!

This ETF makes investing in ETFs "Super-Easy".

Simply click here or enter your email address below to access the full ETF report, ticker code, and step-by-step investment guide. Our expert's #1 ETF report is completely free.

No gimmicks, no payment, no credit card info. Just enter your email address below and we'll send you the report right away.

From 200+ ETFs in Australia, our top investment analyst has just identified his #1 ETF for 2021 and beyond.

Low fees? Check.

Long-term growth potential? Check.

Regular cash returns? Check!

This ETF makes investing in ETFs "Super-Easy".

Simply click here to access the full ETF report, ticker code, and step-by-step investment guide. Our expert's #1 ETF report is completely free.

No gimmicks, no payment, no credit card info. Just click the link below and enter your email address. We'll send you the report right away.

CLICK HERE TO GET THE REPORT

Unsubscribe anytime. Read our TermsFinancial Services GuidePrivacy Policy. We’ll never sell your email address. Our company is Australian owned.

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

Information warning: The information on this website is published by The Rask Group Pty Ltd (ABN: 36 622 810 995) is limited to factual information or (at most) general financial advice only. That means, the information and advice does not take into account your objectives, financial situation or needs. It is not specific to you, your needs, goals or objectives. Because of that, you should consider if the advice is appropriate to you and your needs, before acting on the information. If you don’t know what your needs are, you should consult a trusted and licensed financial adviser who can provide you with personal financial product advice. In addition, you should obtain and read the product disclosure statement (PDS) before making a decision to acquire a financial product. Please read our Terms and Conditions and Financial Services Guide before using this website. The Rask Group Pty Ltd is a Corporate Authorised Representative (#1280930) of AFSL #383169.

Keep reading:

General Financial Advice warning
The information on this website is general financial advice only. That means, the advice does not take into account your objectives, financial situation or needs. Because of that, you should consider if the advice is appropriate to you and your needs, before acting on the information. In addition, you should obtain and read the product disclosure statement (PDS) before making a decision to acquire a financial product. If you don’t know what your needs are, you should consult a trusted and licensed financial adviser who can provide you with personal financial product advice. Please read our Terms & Conditions and Financial Services Guide before using this website.

© Rask Australia 2020

Join 20,000+ smart investors

Join the Rask Australia mailing and we’ll send you free investment reports, podcasts, expert insights, investing courses, ASX news and lots, lots more. All free. 

Unsubscribe anytime. Read our TermsFinancial Services GuidePrivacy Policy. We’ll never sell your email address. Our company is Australian-owned.

feedback-icon

What can we do better? Please give us us some feedback :)

We care about your experience, please let us know if you have any suggestions to improve our site.