Connexion Telematics reveals sixfold increase in profit, investors pile in
Car and fleet management software stock Connexion Telematics (ASX:CXZ) surged almost 90 per cent after revealing a much bigger profit for the 2020 financial year.
Total revenue surged 131 per cent to $8.2m, while net profit after tax rose 587 per cent to $3.2m.
The news saw shares hit a new 52-week high of 3.6c.
While Connexion noticed a slight fall in subscriptions, much of its revenue continued to flow in because it is based on the number of courtesy vehicles fitted out with its software.
Online marketplace Redbubble (ASX:RBL) has also shrugged off the COVID pulldown to book $349m in marketplace revenue, a 36 per cent hike on FY19, and earnings of $5.1m, a 358 per cent increase on the prior year.
The company reported growth and profitability accelerated in the June quarter, when lockdown measures took their full effect, and that the new financial year had begun on a strong note.
Redbubble now has over 500,000 selling artists and 6.8 million unique customers.
Shares advanced 6.5 per cent to an intra-day high of $3.78 on Friday morning. Continued share price growth in recent months has boosted the company’s market capitalisation to just under $1bn.
SelfWealth was a big winner from the surge in share market participation during COVID-19. It witnessed a 188 per cent rise in revenues and a 299 per cent rise in annual trade numbers.
The company now has 46,445 active traders, up from 13,856 the year before, and it was cash flow positive in the June quarter.
As for BWX, it banked $187.7m in revenues and a profit after tax of $15.2m, climbing from $9.5m in the year before, with both metrics rising on the back of strong sales.
Both stocks moved up on Friday morning.