gold stocks postpage LB desk

What’s Happening With These Consumer Staples Sector Stocks- BGA, BAL, ELD, TGR and SHV?

  • September 09, 2019 11:10 PM AEST
  • Team Kalkine
What’s Happening With These Consumer Staples Sector Stocks- BGA, BAL, ELD, TGR and SHV?
Introduction

The Consumer Staples (Sector) is identified on the benchmark index S&P/ ASX 200 index as S&P/ASX 200 Consumer Staples, which generally includes the companies whose businesses revolve around the retailing of food and related components. This also includes hypermarkets and consumer super centers. After the close of the trade market, on 9 September 2019, S&P/ASX 200 Consumer Staples (Sector) was at 12,686.6 with a fall of 0.45%. Let’s look at the 5 ASX-listed consumer staples related companies’ recent updates:

non AMP MTF 10th feb webinar

Bega Cheese Limited

Bega Cheese Limited (ASX: BGA) receives, processes, manufactures and distributes dairy and other food-related products.

Recent Update on Holdings

BGA has recently announced that Terrence Xavier O’Brien made a change to his holdings in the company by acquiring 2,880 ordinary shares at a consideration of $11,520 on 2 September 2019. In addition, the number of securities held with Terrence Xavier O’Brien stood at 13,000. In another release, the company announced that Ethical Partners Funds Management Pty Ltd has also made a change to their substantial holdings with the current voting power of 7.95% in comparison to the previous voting power of 6.14%, which became effective 30th August 2019.

Financial Performance of Bega

In FY19, the company witnessed a record EBITDA amounting to $115.4 million, reflecting a rise of 5%, which was in accordance, with the recent guidance and a rise of 5% over the prior year. While on Statutory basis, the company reported EBITDA of $89.5 million, which demonstrated a decline of 3% over the previous year, which largely reflects primarily one-off acquisition costs related to the Koroit facility as well as Coburg closure costs. Moving forward, the revenue of BGA stood at $1.42 billion, up by 13%. The company further added that the increase in revenue was underpinned by an extension of its product portfolio.

Dividend

Coming to returns provided to the shareholders, Bega Cheese Limited has resolved to pay a fully franked final dividend of 5.5 cps for the financial year 2019, which was in line with the previous year. This brings the FY19 total dividends to 11.0 cps, which is also in line with the prior year.

When it comes to the stock performance, Bega Cheese Limited quoted A$4.160 per share, down 1.18% from the prior close, after the end of the trading session on 9 September 2019.

Bellamy's Australia Limited

Bellamy's Australia Limited (ASX: BAL) offers organic food and formula products for infants. The company has recently announced that JPMorgan Chase & Co. and its affiliates had made a change to their substantial holdings in the company, with the current voting power of 7.76% against the previous voting power of 6.71%, which came into effect from 29th August 2019.

Some Glimpses from the financial year 2019 results:

In FY19 results’ release, the company stated that its transformational rebrand is set to return the business to growth along with the gaining of momentum. It added that the rebrand was targeting to address a challenging FY19 year which was affected by regulation, a lower birth rate, as well as increased competition for the Chinese demand. The company reported the net revenue amounting to $266 million and posted normalised EBITDA of $47 million, reflecting a rise of 17.6%. The cash balance of the group stood at $112 million, which was increased by $25 million. The company continues to maintain zero debt, with access to facility amounting to $40 million.

When it comes to the stock performance, Bellamy's Australia Limited’s stock quoted A$8.660 per share, down 1.25%, after the trade session on 9 September 2019. It delivered negative returns of 2.99% and 16.00% in the time span of one month and six months, respectively.

Elders Limited

Elders Limited (ASX: ELD) is primarily involved into the provisioning of livestock, real estate and wool agency services.

Change and Updates in Holdings

The company, recently, announced that Yarra Funds Management Limited; Yarra Capital Management Holdings Pty Ltd; Yarra Management Nominees Pty Ltd; AA Australia Finco Pty Ltd; TA SP Australia Topco Pty Ltd; TA Universal Investment Holdings Ltd have made a change to their substantial holdings in the company with existing voting power of 8.4306% as compared to the previous voting of 9.4794%, which became effective 16 August 2019. In another update, Elders Limited announced that Diana Eilert had made a change to her holdings in the company via acquiring 1,269 fully paid ordinary shares in consideration of $7,042.95. The total number of shares held by Diana Eilert after change stood at 9,769 fully paid ordinary shares.

Update on Refinancing Terms

As per the release, dated 14 August 2019, the company announced that it has its debt facilities in order, to deliver extended tenure and improved terms, as well as commitment for working capital facilities for the Australian Independent Rural Retailers, also known as AIRR. The company further stated that the refinance has been agreed with its current financiers, which is in line with its objective to maximise the efficiency and flexibility of debt facilities in support of business strategy and growth.

The package of re-finance primarily provides a commitment on a certain funds basis for working capital facilities for the Australian Independent Rural Retailers amounting to $40 million. In addition, the financial close for this tranche was being aligned with and dependent on the AIRR acquisition completing under the scheme implementation deed.

In 1H FY19, the company declared an interim dividend, fully franked amounting to 9 cps. It reported operating cash flow amounting to $13.1 million. The following picture provides an idea of operating cash flow of the company:

When it comes to stock performance, the stock of Elders Limited quoted A$6.780 per share, with a fall of 1.31%, after the trading session of 9 September 2019. It delivered returns of 0.29% and 10.76% in the time span of one month and six months, respectively.

Tassal Group Limited

Tassal Group Limited (ASX: TGR) is a vertically integrated Salmon grower as well as a processor of salmon and seafood. It also works as a seller and marketer of salmon and seafood.

Recent Changes made by Directors in Holdings

The company, recently, updated the market that Mr John Watson, one of its directors has made a change to his holdings in the company by acquiring 4,500 ordinary shares in lieu of consideration amounting to $4.22 per share. Post-change, the number of securities held with director stood at 148,774 ordinary shares.

Share Purchase Plan

The company recently announced that it is undertaking a Share Purchase Plan in order to raise an amount up to $25 million. It added that the SPP provides the opportunity to Eligible Shareholders, in order to increase their investment in the company, via an offer of fully paid ordinary shares in Tassal. The company further stated that it had raised around $108 million via an underwritten placement to (eligible institutional, sophisticated and professional investors in Australia and certain overseas jurisdictions) at $4.40 per new share with respect to its announcement, which was made on 20 August 2019 and 21 August 2019.

When it comes to the stock performance, the stock of Tassal Group Limited last traded at A$4.270 per share, with fall of 2.73% after the trading session of 9 September 2019.

Select Harvests Limited

Select Harvests Limited (ASX: SHV) is into growing, processing sale of almonds to the food industry from company-owned and leased almond orchards. The company, recently, announced that Perpetual Limited and its related bodies corporate have made a change to their substantial holdings with the current voting power of 8.99% as compared to the previous voting power of 11.64%, which came into effect from 22 August 2019.

Dividend

In the half-year of 2019, the company declared an interim dividend amounting to 12 cents per share, which was fully franked. Also, the following picture provides an idea of movement in group EBIT:

When it comes to stock performance, the stock of Select Harvests Limited last traded at A$7.540 per share, up 2.72% relative to its previously closed price, post the trading session of 9 September 2019.


Disclaimer

This website is a service of Kalkine Media Pty. Ltd. A.C.N. 629 651 672. The website has been prepared for informational purposes only and is not intended to be used as a complete source of information on any particular company. Kalkine Media does not in any way endorse or recommend individuals, products or services that may be discussed on this site. Our publications are NOT a solicitation or recommendation to buy, sell or hold. We are neither licensed nor qualified to provide investment advice.

 

 


Disclaimer
The website https://kalkinemedia.com/au is a service of Kalkine Media Pty. Ltd. (Kalkine Media) A.C.N. 629 651 672. The principal purpose of the content on this website is to provide factual information only and does not contain or imply any recommendation or opinion intended to influence your financial decisions and must not be relied upon by you as such. Some of the content on this website may be sponsored/non-sponsored, as applicable, but is NOT a solicitation or recommendation to buy, sell or hold the stock of the company (or companies) or engage in any investment activity under discussion. We are neither licensed nor qualified to provide investment advice through this platform. In providing you with the content on this website, we have not considered your objectives, financial situation or needs. You should make your own enquiries and obtain your own independent advice prior to making any financial decisions.
Some of the images that may be used on this website are copyright to their respective owner(s). Kalkine Media does not claim ownership of any of the pictures displayed on this website unless stated otherwise. The images that may be used on this website are taken from various sources on the web and are believed to be in public domain. We have used reasonable efforts to accredit the source (public domain/CC0 status) to where it was found and indicated it below the image. The information provided on the website is in good faith, however Kalkine Media does not make any representation or warranty regarding the content, accuracy, or use of the content on the website.

 

   
We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it. OK