Summary
- Fisher & Paykel Healthcare disclosed that the Company had initiated planning for its 3rd manufacturing facility in Mexico.
- The a2 Milk Company announced entering exclusive due diligence (DD) on Mataura Valley Milk to explore options to participate in manufacturing at MVM’s Southland facility.
- Chorus Limited delivered FY20 EBITDA standing at NZ$648 million, in accordance with the earnings guidance given in February ranging between NZ$640-NZ655, despite the ongoing COVID-19 pandemic.
- In FY21, Chorus anticipates its EBITDA to be in the range of NZ$640- NZ$660 million.
In the current COVID-19 pandemic scenario, several companies are battling to survive amid preventive measures, including social distancing norms impacting their respective businesses. However, some entities have evolved as a winner during this period. The share price of few companies increased after their impressive performance during the challenging time.
In this article, we will highlight 4-NZX listed shares- Fisher & Paykel Healthcare, A2 Milk, Chorus, Pushpay.
Fisher & Paykel Healthcare Initiates Planning for New Manufacturing Facility
NZX 50 Index listed company Fisher & Paykel Healthcare Corporation Limited (NZX:FPH) is a dual-listed healthcare company, listed both on ASX and NZX. The Company is a leading developer and marketer of products, as well as systems for application in acute & chronic respiratory care, surgery, and treatment of obstructive sleep apnea (OSA).
On 21 August 2020, Fisher & Paykel Healthcare disclosed that the Company had initiated planning for its third manufacturing facility in Mexico, which is to be commissioned within the next two years.
Managing Director and CEO Lewis Gradon stated-
Moreover, Fisher & Paykel completed its 2nd Mexico facility in January 2019 and its 4th New Zealand facility, in May 2020.
On 21 August 2020, the Company updated the market with its Annual Shareholders' Meeting presentation and highlighted financials for the fiscal year 2020.
- The operating revenue for FY20 noted at NZ$1.26 billion, up by 14% on constant currency basis.
- The NPAT reported at NZ$287.3 million, up by 37%.
- The Company declared dividend of 27.5 cents for the fiscal year 2020, up by 18%.
READ MORE: FPH continues delivering stupendous returns; stock performance aided by impressive FY2020 results
The financial highlights from hospital and homecare product group of Fisher & Paykel-
Notably, Fisher & Paykel disclosed that, at current exchange rates, for the fiscal year 2021 full-year operating revenue would be around NZ$1.61 billion, and NPAT (net profit after tax) would be in between NZ$365-NZ$385 million.
ALSO READ: Is Fisher & Paykel Healthcare Share Price Still a Buy Post Raising its Guidance
Stock Information- On 31 August 2020, FPH share price closed at NZ$36.85, down by 2.20%. The market capitalisation of FPH stood at NZ$21.66 billion. The 52 weeks high price of Fisher & Paykel was noted at NZ$37.89.
The a2 Milk Company Enters in Discussions with Mataura Valley Milk
Dual-listed on NZX & ASX, infant formula company, The a2 Milk Company Limited (NZX:ATM) was founded in 2000 in New Zealand, and is engaged in commercialising A1 protein-free milk under the brand a2 MilkTM with products like a2 MilkTM Blue and a2 MilkTM Lite.
On 21 August 2020, The a2 Milk Company disclosed that it is engaged in discussions with a New Zealand dairy nutrition business, Mataura Valley Milk (MVM), to explore options for the Company to participate in manufacturing at the facility of MVM in Southland, New Zealand.
The Company advises that it made a non-binding indicative offer to acquire 75.1% interest in MVM, for a total consideration of ~NZ$270 million. Moreover, the discussions with MVM are underway and remain incomplete and requisite regulatory and 3rd party approvals.
READ MORE: ATM’s Share Price Under Discussion Post News Around NZ$270 Million Stake in Mataura Valley
Stock Information- On 31 August 2020, the share price of ATM closed the day’s trade at NZ$18.59, decreasing by 0.71%, with a market capitalisation of almost NZ$14.33 billion. The 52 weeks high share price of ATM was noted at NZ$21.74.
Chorus Limited Delivers FY20 Results in line with Guidance despite Market Turmoil
NZX-listed provider of telecommunications infrastructure Chorus Limited (NZX:CNU) offers its services throughout New Zealand. The Company works as a wholesale-only network operator and enables retail service providers to deliver fixed line services to their consumers.
On 24 August 2020, Chorus updated the market with its audited annual results for the year ended 30 June 2020 confirming EBITDA of NZ$648 million.
The highlights are from the FY20 report are as following-
- Final EBITDA was in-line with the guidance provided in February of NZ$640-NZ$655 million.
- Operating revenue for the period was NZ$959 million and net profit after tax reported at NZ$52 million.
- Earnings before interest and tax (EBIT) of NZ$246 million.
- The Company stated that at the end of the June there were 751k active fibre connections, which were 610k during FY19.
- The UFB1 fibre uptake at 63% of homes and businesses.
- The Company shall pay a fully imputed final dividend of 14 cents per share, on 12 October 2020 to all its registered shareholders by 15 September 2020 (at 5pm).
FY21 Outlook-
While the COVID-19 impact had a negative financial impact on the EBITDA of Chorus in FY20, the Company has accelerated some positive underlying trends that support the business.
- Chorus remains to explore opportunities for its revenue growth through new products and services offering improved connectivity options for its consumers.
- The Company is planning the launch of a new peering service in the first half of the financial year 2021, in conjunction with the New Zealand Internet Exchange.
Moreover, the Company also provided FY21 guidance with its annual report-
- EBITDA in the fiscal year 2021 is anticipated to be in between NZ$640- NZ$660 million.
- The Company anticipates that capital expenditure to be in the range of NZ$630-NZ$670 million.
- Chorus Limited anticipated dividend of 25 cents per share for FY21, which is contingent on no material unfavourable changes in circumstances or outlook.
Stock Information- On 31 August 2020, CNU share price was last noted at NZ$8.47, up by 0.71% from its previous close. The market capitalisation of CNU was noted at NZ$3.74 billion.
Around half of Pushpay Holdings shares associated with the CEO to be sold
NZX-listed company Pushpay Holdings Limited (NZX:PPH) offers a donor management system, with finance tools, donor tools, as well as a custom community app. Other than these, the Company also provides church management system (ChMS) to the faith sector, non-profit organisations and education providers located predominantly in the US and other jurisdictions.
On 26 August 2020, Pushpay Holdings Limited was informed that stakes associated with the CEO and Executive Director Bruce Gordon were agreed to be sold. The CEO would be divesting around half of his Pushpay securities.
Commenting on the sale, Bruce Gordon noted-
As revealed at the Annual Meeting, Bruce Gordon had indicated his plan to stand down as CEO after the appointment of an appropriate replacement.
Stock Information- On 31 August 2020, PPH share price closed at NZ$8.75, DOWN BY 0.91%, with a market capitalisation of nearly NZ$2.43 billion.
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