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Highlights
- RPMGlobal announced updated software sales and EBITDA guidance for the financial year 2023
- Capricorn Metals realised record annual gold production at Karlawinda Gold Project
- Shares of RPMGlobal closed 9.75% higher, while Capricorn Metals closed with 8.13% gains on Tuesday.
Shares of RPMGlobal Holdings Limited (ASX:RUL) and Capricorn Metals Limited (ASX:CMM) registered significant gains on Tuesday (11 July 2023). RPMGlobal outperformed its benchmark index S&P/ASX 200 Information Technology (INDEXASX: XIJ), which closed 2.60% higher and Capricorn Metals outperformed its industry benchmark, S&P/ASX 200 Materials (INDEXASX: XMJ), which closed 1.86% up.
Let’s look at the share performance of these stocks and reason behind the rise in share price.
RPMGlobal Holdings Limited (ASX:RUL)
RPMGlobal Holdings is a mining technology company that offers mining advisory services, mining software, training in the field of mine planning and technical consulting.
The stocks of RPMGlobal closed 9.75% higher at AU$1.52 per share on Tuesday. In the past one year, the share price increased by 1.33% and on year-to-date basis, it dropped by nearly 10.59%.
Today’s gains in RUL shares was possibly triggered by the company’s announcement regarding its updated software sales and expected EBITDA for the financial year 2023 (FY23).
As per the announcement, the total contracted value (TCV), driven by software sales increased by 25.4% over the previous year (AU$70.5 million) in FY23. TCV from subscription sales closed at AU$65.8 million and from perpetual sales, it closed at AU$2.9 million. The new maintenance revenue from the perpetual sales finished at AU$1.8 million. As of 11 July, the total value of annual recurring revenue (ARR) is AU$55 million--AU$13 million from maintenance and AU$42 million from subscription.
The company said that it expects to finish FY23 with an operating EBITDA of AU$15 million, and an operating EBITDA after management incentives of AU$12 million. The advisory team is expected to make a contribution of AU$6.3 million.
As at 30 June 2023, the company reported cash on hand of AU$34.7 million, inclusive ofAU$7.6 million spend on share buyback and AU$0.9 million on acquisition.
Capricorn Metals Ltd (ASX:CMM)
Capricorn Metals is a gold production, development and exploration company. The shares of Capricorn ended Tuesday’s trading at AU$4.39 apiece, 8.13% higher than Monday’s closing price. With today’s gains, the share price has increased by 45.36% in the last one year. On a year-to-date basis, it has fallen by 4.98%.
Today’s share price movement was driven by Capricorn’s ASX update regarding record annual production at the Karlawinda Gold Project (KWP). In FY23, the company has recorded annual gold production of 120,014 ounces, meeting the FY23 production guidance range. In the June 2023 quarter, the company reported gold production of 28,859 ounces. During the quarter, 30,036 ounces of gold was sold at an average price of AU$2,894 per ounce.
As on 30 June 2023, the company had cash and gold on hand of AU$110.3 million.
