AUS
NZ
UK
CA
USA
IND
Highlights:
- Nuix shared FY22 operational and financial updates on the ASX today.
- The company reported a downfall in sales to new customers and rise in legal costs that weighed heavily on the full-year earnings.
- The share price of Nuix tumbled by more than 10% on the ASX after the guidance was posted.
Leading Australian tech giant Nuix Limited (ASX:NLX) shared updates related to its operational performance and financials during the FY22 ended on 30 June 2022. The company provided a preliminary estimation of the financials through an ASX announcement today. The official statements are yet to be released after a detailed audit.
Meanwhile, Nuix shares tanked by 10.958% to AU$0.65 per share at 12:15 PM AEST on the ASX today (18 July).
What is wrong with Nuix’s share price on the ASX today?
The software company is expecting its Annualised Contract Value (ACV) to be within AU$160-163 million in FY22, compared to AU$165.6 million in the previous corresponding period (FY21).
On the other hand, Nuix expects its statutory revenue to be in the range of AU$151-AU$154 million in FY22, compared to AU$176.1 in the previous corresponding period (FY21). The board of Nuix stated that the statutory revenue fall was the cause of several multi-year deals signed by the company.
The company will likely deliver a lower EBITDA in FY22 compared to FY21. Nuix mentioned that its expected EBITDA in FY22 will be in the range of AU$10- AU$12 million, compared to AU$30.5 million statutory EBITDA in FY21.
The board also reported that the company had to spend a higher non-operational legal cost worth around AU$14 million in the same financial year.
Image source: © Terovesalainen | Megapixl.com
The company continues to reinvest in sustainable revenue generation, with further investment in sales and distribution capability, marketing and product development.
Nuix ended the fiscal year 2022 with a cash balance of AU$46.8 million.
The company will be releasing its official financial updates on 18 August 2022 after a thorough audit process.
Meanwhile, the S&P/ASX 200 Information Technology sector (INDEXASX:XIJ) is seen performing well on the ASX today. The sector is 2.17% up at 1,469.70 points (as of 2:57 PM AEST on the ASX today, 18 July).
Nuix’s share price performance on the ASX:
Nuix shares have painted a disappointing story before us for the last one year. The tech giant’s share price has dropped almost by 75% on the ASX in the previous 12 months. Moreover, Nuix’s share price also dropped nearly by 72% on a YTD basis (as of 1:27 PM AEST on the ASX today, 18 July).
