Reporting Season Round Up: Atomos leads the small caps, while Dominos stood out among large caps
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The number of ASX stocks releasing financial reports increased today and while the majority impressed, Atomos (ASX:AMS) was the standout.
This company makes and sells camera add-ons for amateur Instagrammers and professional photographers.
COVID-19 hit that demographic badly but the industry bounced back strongly in FY21 and so did Atomos.
Revenues hit $78.6 million up 77% on the prior corresponding period. That was also a company record and flowed through to earnings of $8.2 million, up from a loss of $7.1 million in FY20.
One revenue driver the company singled out was the industry’s rapid adoption of ProRes RAW – the latest codec, released by Apple, allowing for higher quality while smaller file sizes – something which Atomos products enable.
Emeco provides heavy earthmoving equipment rental solutions and maintenance services to mining companies and contractors in Australia.
It made revenues of $620 million and operating earnings of $238 million. 62% of the company’s revenue came from gold and base metals thanks to the resources boom.
While earnings were down 7% from FY20, the company said the result was pleasing in spite of the challenges during the year – in the form of labour market tightness and lower coal prices for much of FY21.
This company is the master franchise for the Dominos network in Australia and several other countries including New Zealand, Japan and a handful of European countries – but it is a different company to the ultimate parent corporation which is NYSE listed.
It saw several challenges, most pertinently in some European markets going that were disrupted by curfews that even banned carry-out during dinner for brief periods. But it emerged with sales up by 14.6% (at $3.74 billion) and earnings up by 27.2% ($293 million).
The company also opened 285 new stores (up 10.7%) and plans to up its new stores by between 9 and 12% over the next 3-5 years.
“We expect Dominos Pizza Enterprises to deliver significant profit increases over the medium term, driven by new store openings and network sales growth,” declared CEO Don Meij.
“Our business has the track record, cash flow and expanded debt facilities to deliver on our strategy.”
This is the parent company behind Rebel Sport, Supercheap Auto and Macpac – among others.
Although none of these brands may sound like they would be good performers amidst “stay at home” orders, CEO Anthony Heraghty noted there was “unprecedented consumer demand in our lifestyle and leisure categories” and the company pivoted quickly to online channels during COVID-19 lockdowns.
Its sales grew 22% to $3.45 billion and its profit grew 107% to $306.8 million.
The company also said its active cub membership program has reached 8 million, and it intends to build a stronger relationship with them going forward.
In the first seven weeks of FY22, SUL said its sales growth was down 14% from the same period in FY21 but still up 12% from FY20.
You might know this company for its radio stations – particularly the Hit and Triple M networks – but it also owns podcast platforms including LiSTNR.
Southern Cross and its industry peers were hit by a decline in advertising revenues when COVID-19 first hit this rebounded.
Its group revenue came in at $529.1 million and its profit was $48.1 million – the latter figure up by over 90%.
The company tipped FY22 would be a good one, pointing to the latest Infinate Dial study which depicted that that 86% of Australians listened to live radio or catch-up radio podcasts and 74% listen to online audio.
Coles grew its net profit by 7.5% to 1.005 billion and its sales revenue by 3.1% to $38.6 billion.
From an operational perspective, the company said its market share was now at pre-COVID levels. Coles brand product sales also grew at 5% and it had completely transitioned its catalogues to digital.
Looking forward, the company said it expected the COVID-19 vaccination program to support “normalising consumer behaviours” in 2022 and shareholders could look forward to the start up of its automated distribution centres.