Corporate: These five stocks were the best of the bunch with good FY19 earnings
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We’re currently neck deep in earnings season and this morning these five stocks jumped after releasing their FY19 results.
Payments solutions provider EML Payments (ASX:EML) is up 9 per cent after its results. Its net profit after tax was $8.5m, up 283 per cent from last year. The company also boasted its gross debit volume was now $9 billion — 34 per cent higher than last year.
EML also reflected on the year that was and reminded shareholders of what was to come. This year it expects to launch more programs with American sports betters. Chairman Peter Martin declared management “continues to deliver on all financial, strategic and operational targets”.
Fellow tech company Data#3 (ASX:DTL) also boasted of a positive result — a company record. Its net profit after tax was $18.1m, 29 per cent higher than the year before. CEO Laurence Baynham told shareholders that Data#3 was on track with its long-term objectives.
“We have a robust business, no material debt, solid long-term customer relationships, committed supplier partnerships and a highly experienced and productive team,” he said.
“We see ongoing growth in the Australian IT market and believe we remain well positioned to capitalise on those opportunities.”
Travel agency group Helloworld Travel (ASX:HLO) announced a profit of $38.2m, a 24 per cent hike on the prior year. The company is the travel provider for the Australian and New Zealand governments but it also won contracts for South Australia and Australia Post among other clients.
“In the current year, Helloworld Travel has successfully grown the scale of its business in Australia and New Zealand, whilst benefiting from a focus on profitable revenue streams and continued cost control,” the company said.
The net profit of mining contractor Mastermyne (ASX:MYE) was up 89 per cent to $10.6m. The company also boasted its safety statistics were well ahead of industry averages and it expected another strong result next year.
CEO Tony Caruso put the result down to improved contract terms, a low overhead cost base and the company’s specialised equipment. “We are excited by the year ahead which has us well on our way to delivering the strongest ever result for the Mastermyne business,” he said.
Iron ore miner Mount Gibson Iron (ASX:MGX) made a net profit after tax of $133m tax despite it being a year of transition. The company ramped up its operations at the Koolan Island mine in the Kimberley region while completing operations at Iron Hill.
The company was helped by strong iron ore prices. While prices ranged between $US62 ($91) and $US78 ($115) per dry metric tonne (dmt) in the first half, it averaged $US83/dmt in the March quarter and $US100/dmt in the June quarter. The FY19 average was $76 per wet metric tonne (wmt) compared with $54/wmt last year. The strong result means Mt Gibson can declare a dividend of 4c per share.