AUS
NZ
UK
CA
USA
IND
GWA Group Limited (ASX:GWA) is into the manufacturing of the building fittings for households and commercial premises. The Company designs, manufactures, imports and distributes domestic and commercial bathroom, kitchen and laundry products, manufactures and imports hot water and ducted heating and cooling systems, and designs, manufactures, imports and distributes door hardware and fittings and garage doors and openers.
The company witnessed a 7.3 per cent rise in NPAT, & hence the same was reported at $26.6 million for the half-year which had ended 31 December 2018. The reported Net Profit came in at $76.0m; this included the gain on sale of the Door & Access Systemsâ business. The Companyâs Board has declared a fully-franked interim dividend of 9 cents per share, which was up 5.9% on the previous corresponding period (pcp). The Groupâs Earnings Before Interest and Tax (EBIT) was up 3.0% to reach $38.7 million.
The robust rise in the NPAT reflects the increase in Group EBIT, along with the lower net interest expense vis-a-vis the pcp. The Group EBITDA rose by 4.2 % to $41.0 Mn while the Group EBIT rose by 3.0 % to reach $38.7 million. The companyâs reported an EPS of 10.1 cents, which was an improvement of 7.3 per cent on the prior period. The company continues to focus on higher value product categories and cost management, resulting in Group EBIT margin increasing by 0.1 percentage points to 21.2 per cent.
Group Return on Funds Employed (ROFE) was 1.1 percentage points lower on the corresponding prior period at 20.6 per cent. This reflects an increase in funds employed from higher capital expenditure focused on growth initiatives over the past 12 months and an increase in inventory to support the transition to the innovation and Distribution Centre in 2H FY18.
The company remains has robust financial position. The realisation from the sale of Door & Access Systems were applied to reduce the leverage, and hence, the company had net cash of $7.1 million as at 31 December 2018.
The company also has maintained the needed headroom within its 3 year revolving $225 million funding facility maturing in October 2020 which has provided substantial financial capability to support its strategic growth initiatives. Recently, the company provided update on the proposed acquisition of Methven in which the company announced that it has entered into scheme of implementation agreement with Methven with regards to the acquisition of all the share of Methven.
Now, let us have a quick look at GWA Group Ltdâs stock performance and the return it has posted over the last few months. The stock is currently trading at a price of $3.95, trading up by 6.094% during the dayâs trade with a market capitalisation of ~$844.63 Mn. The counter opened the day at $ 3.340, reached the dayâs high of $ 3.455 and touched the dayâs low of $ 3.335 with a daily volume of 652,402. The stock has provided a YTD return of 16.79% & also posted returns of -8.31%, 22.14% & 10.34% over the past six months, three & one-months period respectively. It had a 52-week high price of $3.940 and touched 52 weeks low of $2.490, with an average volume of 737,033 approximately.
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.
