Reported Earnings • Mar 02
First half 2025 earnings released: EPS: AU$0.008 (vs AU$0.005 in 1H 2024) First half 2025 results: EPS: AU$0.008 (up from AU$0.005 in 1H 2024). Revenue: AU$104.8m (down 3.3% from 1H 2024). Net income: AU$2.39m (up 62% from 1H 2024). Profit margin: 2.3% (up from 1.4% in 1H 2024). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has fallen by 9% per year but the company’s share price has fallen by 29% per year, which means it is performing significantly worse than earnings. Announcement • Oct 18
Engenco Limited, Annual General Meeting, Nov 20, 2024 Engenco Limited, Annual General Meeting, Nov 20, 2024. Location: hybrid meeting, level 19, 181 william street, melbourne Australia New Risk • Sep 04
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 26% of the size of the rest of the company's trailing 12-month earnings before tax. This is considered a minor risk. One-off items are incomes or expenses that the company does not expect to repeat in future periods. Examples include profits from the sale of a business or expenses from a restructuring or legal settlements. If the company's reported statutory earnings include a large proportion of one-off items it means they may be an unreliable indicator of its true business performance as the earnings were skewed by these incomes or expenses. Currently, the following risks have been identified for the company: Major Risks Shares are highly illiquid. Earnings have declined by 23% per year over the past 5 years. Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (1.8% net profit margin). Market cap is less than US$100m (AU$58.4m market cap, or US$39.2m). Declared Dividend • Aug 30
Dividend of AU$0.005 announced Shareholders will receive a dividend of AU$0.005. Ex-date: 4th September 2024 Payment date: 26th September 2024 Dividend yield will be 2.6%, which is about the same as the industry average. Sustainability & Growth Dividend is well covered by both earnings (17% earnings payout ratio) and cash flows (9% cash payout ratio). The dividend has remained flat since 7 years ago. However, payments have been volatile during that time. The company's earnings per share (EPS) would need to decline by 81% to shift the payout ratio to a potentially unsustainable range, which is more than the 23% EPS decline seen over the last 5 years. Reported Earnings • Aug 29
Full year 2024 earnings released: EPS: AU$0.012 (vs AU$0.02 in FY 2023) Full year 2024 results: EPS: AU$0.012 (down from AU$0.02 in FY 2023). Revenue: AU$217.9m (flat on FY 2023). Net income: AU$3.93m (down 39% from FY 2023). Profit margin: 1.8% (down from 2.9% in FY 2023). Over the last 3 years on average, earnings per share has fallen by 22% per year whereas the company’s share price has fallen by 24% per year. New Risk • Jun 05
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Australian stocks, typically moving 13% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 22% per year over the past 5 years. Minor Risks Share price has been volatile over the past 3 months (13% average weekly change). Large one-off items impacting financial results. Market cap is less than US$100m (AU$56.8m market cap, or US$37.9m). New Risk • Mar 31
New major risk - Revenue and earnings growth Earnings have declined by 22% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 22% per year over the past 5 years. Minor Risks Large one-off items impacting financial results. Market cap is less than US$100m (AU$77.4m market cap, or US$50.4m). Reported Earnings • Feb 27
First half 2024 earnings released: EPS: AU$0.005 (vs AU$0.004 loss in 1H 2023) First half 2024 results: EPS: AU$0.005 (up from AU$0.004 loss in 1H 2023). Revenue: AU$108.3m (up 8.2% from 1H 2023). Net income: AU$1.48m (up AU$2.87m from 1H 2023). Profit margin: 1.4% (up from net loss in 1H 2023). Over the last 3 years on average, earnings per share has fallen by 34% per year but the company’s share price has only fallen by 23% per year, which means it has not declined as severely as earnings. Announcement • Oct 09
Engenco Limited, Annual General Meeting, Nov 14, 2023 Engenco Limited, Annual General Meeting, Nov 14, 2023, at 10:00 AUS Eastern Standard Time. Agenda: To receive and consider the Annual Financial Report of the Company, comprising the Financial Report, Directors' Report and Auditor's Report for the financial year ended 30 June 2023; to consider adoption of the remuneration report; to consider re-election of Directors of the Company; to consider issue of shares under share plan; and to consider appointment of auditor. Announcement • Sep 18
Engenco Limited Announces Board Changes Engenco Limited changes to its Board and senior management team, effective from 18 September, 2023. Ms Alison von Bibra has tendered her resignation as a non-executive director of the Company. Alison joined the Board in January 2017 during which time she has played a valuable role in the growth and evolution of the organisation. Engenco Chairman, Vince De Santis, thanked Alison for the significant contribution she has made since joining the Board. Board Change • Sep 18
Less than half of directors are independent Following the recent departure of a director, there are only 2 independent directors on the board. The company's board is composed of: 2 independent directors. 3 non-independent directors. Independent Non-Executive Director Scott Cameron was the last independent director to join the board, commencing their role in 2020. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. New Risk • Sep 14
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 40% of the size of the rest of the company's trailing 12-month earnings before tax. This is considered a minor risk. One-off items are incomes or expenses that the company does not expect to repeat in future periods. Examples include profits from the sale of a business or expenses from a restructuring or legal settlements. If the company's reported statutory earnings include a large proportion of one-off items it means they may be an unreliable indicator of its true business performance as the earnings were skewed by these incomes or expenses. Currently, the following risks have been identified for the company: Major Risk Shares are highly illiquid. Minor Risks Large one-off items impacting financial results. Market cap is less than US$100m (AU$108.9m market cap, or US$70.2m). Reported Earnings • Aug 31
Full year 2023 earnings released: EPS: AU$0.02 (vs AU$0.018 in FY 2022) Full year 2023 results: EPS: AU$0.02 (up from AU$0.018 in FY 2022). Revenue: AU$221.1m (up 16% from FY 2022). Net income: AU$6.44m (up 14% from FY 2022). Profit margin: 2.9% (in line with FY 2022). Over the last 3 years on average, earnings per share has fallen by 47% per year but the company’s share price has only fallen by 13% per year, which means it has not declined as severely as earnings. Announcement • May 05
Engenco Limited Appoints Garth Campbell-Cowan as Interim Chief Financial Officer, Effective May 10, 2022 Engenco Limited announced the appointment of Garth Campbell-Cowan, as Engenco's Interim Chief Financial Officer, effective from Wednesday 10 May 2023. Garth is an experienced Chief Financial Officer with over 25 years' experience heading up Finance functions with both a strategic and commercial focus. Garth started his career with Arthur Anderson, before moving into various finance roles in banking & finance, telecommunications, and mining. Over the last couple of years, Garth has been enjoying a variety of consulting assignments. Garth holds a Bachelor of Commerce with Honours from the University of Cape Town, South Africa, and is a fellow of Chartered Accountants Australia & NZ. Garth has also completed a Diploma of Applied Finance & Investment with the Securities Institute of Australia. Board Change • Mar 28
Less than half of directors are independent Following the recent departure of a director, there are only 2 independent directors on the board. The company's board is composed of: 2 independent directors. 3 non-independent directors. Independent Non-Executive Director Scott Cameron was the last independent director to join the board, commencing their role in 2020. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Reported Earnings • Feb 22
First half 2023 earnings released: AU$0.004 loss per share (vs AU$0.008 profit in 1H 2022) First half 2023 results: AU$0.004 loss per share (down from AU$0.008 profit in 1H 2022). Revenue: AU$100.1m (up 17% from 1H 2022). Net loss: AU$1.39m (down 154% from profit in 1H 2022). Over the last 3 years on average, earnings per share has fallen by 37% per year but the company’s share price has only fallen by 10% per year, which means it has not declined as severely as earnings. Announcement • Jan 20
Engenco Limited Announces Appointment of Kelly Sperl as Joint Company Secretary Engenco Limited announced that, with effect from 19 January 2023, Kelly Sperl has been appointed as a Joint Company Secretary of the Company. Meredith Rhimes remains as the other Joint Company Secretary. Announcement • Dec 24
Engenco Limited Appoints Kelly Sperl as Chief Financial Officer, Effective from 16 January, 2023 Engenco Limited announced the appointment of Kelly Sperl, as Engenco's Chief Financial Officer, effective from 16 January, 2023. Kelly is an experienced Chief Financial Officer with over 25 years' experience heading up Finance & IT functions with both a strategic and commercial focus. Kelly started her career with PwC, before moving into various finance roles in the FMCG, manufacturing, retail and franchising industries. Kelly was the General Manager, Finance for the Foster's Group before moving into her first CFO and Company Secretary role with STIHL outdoor equipment in 2014, and then into the position of Group CFO and Company Secretary with the Baker's Delight Group in 2017. Over the last 3 years, Kelly has been engaged in transformational interim roles to uplift the commercial and financial capability of the organizations she has worked with. Kelly holds a Bachelor of Business (Accounting) from Victoria University in Melbourne and is a member of both the Australian Institute of Company Directors and Chartered Accountants Australia & NZ. Kelly has also completed a Graduate Diploma of Applied Finance and Investment with FINSIA. Board Change • Dec 15
Less than half of directors are independent Following the recent departure of a director, there are only 2 independent directors on the board. The company's board is composed of: 2 independent directors. 3 non-independent directors. Independent Non-Executive Director Scott Cameron was the last independent director to join the board, commencing their role in 2020. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Board Change • Nov 16
Less than half of directors are independent Following the recent departure of a director, there are only 2 independent directors on the board. The company's board is composed of: 2 independent directors. 4 non-independent directors. Independent Non-Executive Director Scott Cameron was the last independent director to join the board, commencing their role in 2020. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Announcement • Nov 08
Engenco Limited Appoints Dean Draper as Chief Executive Officer, Effective from 21 November, 2022 Engenco Limited announced the appointment of Dean Draper, as Engenco's Chief Executive Officer, effective from 21 November, 2022. Dean is an experienced executive having held senior roles in the industrial sector both in Australia and overseas. He was previously the Managing Director & CEO of Ixom (former Orica Chemicals business), based in Melbourne. Ixom is a market leader in chemical production and distribution in Australia and New Zealand. Prior to leading the Ixom business, Dean spent over 17 years in several senior executive positions at BASF. For a significant portion of his time with BASF, Dean was based in South-East Asia (primarily in Singapore) and worked across the region including Hong Kong, South Korea & Malaysia, and served as Managing Director of BASF's operations across the ASEAN region for around 4 years. Dean holds a Master of Business Administration (MBA) from Monash Mt Eliza Business school, a Bachelor of Business from Monash University in Melbourne, and has completed the Advanced Management Program at INSEAD Business School, France. Announcement • Sep 19
Engenco Limited Appoints Kelly Elphinstone as Non-Executive Director Engenco Limited announced that Ms Kelly Elphinstone has been appointed to the Board as a Non-Executive Director, effective 19 September 2022. Kelly is an executive director of the Elphinstone Group of Companies and has gained experience across many business disciplines. She has held several leadership roles, predominantly within the mining equipment,technology and services (METS) and earthmoving sectors, her most recent being Managing Director of the Elphinstone Group's underground mining manufacturing business. Kelly holds multiple directorships (including a Chair position) and participates on Federal and State Government advisory councils. Kelly studied Marketing at RMIT, has completed an executive leadership program with Stanford University and is a graduate of the Australian Institute of Company Directors. Announcement • Sep 02
Engenco Limited, Annual General Meeting, Nov 18, 2022 Engenco Limited, Annual General Meeting, Nov 18, 2022. Upcoming Dividend • Aug 30
Upcoming dividend of AU$0.015 per share Eligible shareholders must have bought the stock before 06 September 2022. Payment date: 27 September 2022. The company is paying out more than 100% of its profits and is paying out 92% of its cash flow. Trailing yield: 4.4%. Lower than top quartile of Australian dividend payers (6.6%). Higher than average of industry peers (3.0%). Reported Earnings • Aug 20
Full year 2022 earnings released: EPS: AU$0.018 (vs AU$0.038 in FY 2021) Full year 2022 results: EPS: AU$0.018 (down from AU$0.038 in FY 2021). Revenue: AU$191.3m (up 14% from FY 2021). Net income: AU$5.67m (down 53% from FY 2021). Profit margin: 3.0% (down from 7.1% in FY 2021). Over the last 3 years on average, earnings per share has fallen by 18% per year but the company’s share price has only fallen by 2% per year, which means it has not declined as severely as earnings. Announcement • Aug 19
Engenco Limited Announces Dividend for the Six Months Ended June 30, 2022, Payable on September 27, 2022 Engenco Limited announced dividend of AUD 0.015 per share for the six months ended June 30, 2022. Ex-date is September 6, 2022. Record date is September 7, 2022. Payment date is September 27, 2022. Board Change • Aug 16
Less than half of directors are independent Following the recent departure of a director, there are only 2 independent directors on the board. The company's board is composed of: 2 independent directors. 3 non-independent directors. Independent Non-Executive Director Scott Cameron was the last independent director to join the board, commencing their role in 2020. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Board Change • Apr 29
Less than half of directors are independent Following the recent departure of a director, there are only 2 independent directors on the board. The company's board is composed of: 2 independent directors. 3 non-independent directors. Independent Non-Executive Director Scott Cameron was the last independent director to join the board, commencing their role in 2020. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Reported Earnings • Feb 21
First half 2022 earnings: Revenues and EPS in line with analyst expectations First half 2022 results: EPS: AU$0.008 (down from AU$0.017 in 1H 2021). Revenue: AU$85.5m (down 1.1% from 1H 2021). Net income: AU$2.60m (down 51% from 1H 2021). Profit margin: 3.0% (down from 6.2% in 1H 2021). Revenue was in line with analyst estimates. Over the last 3 years on average, earnings per share has fallen by 11% per year but the company’s share price has only fallen by 2% per year, which means it has not declined as severely as earnings. Announcement • Feb 18
Engenco Limited Declares Distribution for the Six Months Ended December 31, 2021, Payable on March 18, 2022 Engenco Limited declares distribution of AUD 0.00500000 for the six months ended December 31, 2021, payable on March 18, 2022. Ex Date is March 4, 2022 and Ex Date is March 3, 2022. Buying Opportunity • Jan 13
Now 26% undervalued after recent price drop Over the last 90 days, the stock is down 15%. The fair value is estimated to be AU$0.60, however is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Earnings per share has declined by 10% per annum over the last 3 years. Upcoming Dividend • Aug 30
Upcoming dividend of AU$0.015 per share Eligible shareholders must have bought the stock before 06 September 2021. Payment date: 28 September 2021. Trailing yield: 4.4%. Lower than top quartile of Australian dividend payers (5.1%). Higher than average of industry peers (2.8%). Board Change • Aug 26
Less than half of directors are independent Following the recent departure of a director, there are only 2 independent directors on the board. The company's board is composed of: 2 independent directors. 3 non-independent directors. Independent Non-Executive Director Scott Cameron was the last independent director to join the board, commencing their role in 2020. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Reported Earnings • Aug 22
Full year 2021 earnings released: EPS AU$0.038 (vs AU$0.043 in FY 2020) The company reported a poor full year result with weaker earnings, revenues and profit margins. Full year 2021 results: Revenue: AU$165.6m (down 7.0% from FY 2020). Net income: AU$12.0m (down 11% from FY 2020). Profit margin: 7.2% (down from 7.5% in FY 2020). Over the last 3 years on average, earnings per share has fallen by 10% per year but the company’s share price has increased by 1% per year, which means it is well ahead of earnings. Announcement • Jun 25
Engenco Limited Provides Earnings Guidance for the Year Ended 30 June 2021 Engenco Limited provided earnings guidance for the year ended 30 June 2021. For the year, the company expectations for the consolidated group are for operating revenue within the range of $163 million - $165 million and net profit before tax of $8 million - $9 million. Announcement • May 27
Engenco Limited (ASX:EGN) executed an agreement to acquire Eureka 4WD Pty Ltd for AUD 4.5 million. Engenco Limited (ASX:EGN) executed an agreement to acquire Eureka 4WD Pty Ltd for AUD 4.5 million on May 27, 2021. The purchase price includes an earn-out component and will be funded via a combination of cash and new equity to be issued to the vendors. Eureka team will join Workforce Solutions division of Engenco. The acquisition is subject to standard conditions precedent for transactions of this nature and is expected to complete on July 1, 2021. The acquisition price for Eureka represents a multiple of 2.6 times the company’s FY20 EBITDA, and is expected to be earnings per share accretive for Engenco in FY22. Is New 90 Day High Low • Mar 05
New 90-day low: AU$0.51 The company is down 15% from its price of AU$0.60 on 04 December 2020. The Australian market is up 3.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Machinery industry, which is down 7.0% over the same period. Reported Earnings • Feb 19
First half 2021 earnings released: EPS AU$0.017 (vs AU$0.011 in 1H 2020) The company reported a decent first half result with improved earnings and profit margins, although revenues were weaker. First half 2021 results: Revenue: AU$88.6m (down 1.4% from 1H 2020). Net income: AU$5.32m (up 51% from 1H 2020). Profit margin: 6.0% (up from 3.9% in 1H 2020). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has fallen by 6% per year but the company’s share price has increased by 4% per year, which means it is well ahead of earnings. Is New 90 Day High Low • Nov 26
New 90-day high: AU$0.64 The company is up 25% from its price of AU$0.51 on 28 August 2020. The Australian market is up 9.0% over the last 90 days, indicating the company outperformed over that time. However, it underperformed the Machinery industry, which is up 32% over the same period. Is New 90 Day High Low • Oct 09
New 90-day high: AU$0.55 The company is up 20% from its price of AU$0.46 on 10 July 2020. The Australian market is up 5.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Machinery industry, which is up 19% over the same period. 