Upcoming Dividend • Dec 31
Upcoming dividend of AU$0.024 per share Eligible shareholders must have bought the stock before 06 January 2025. Payment date: 13 January 2025. Payout ratio is on the higher end at 94%, and the cash payout ratio is above 100%. Trailing yield: 4.4%. Lower than top quartile of Australian dividend payers (6.1%). Higher than average of industry peers (2.2%). Announcement • Oct 31
The Fortitudo Group proposed to acquire an unknown minority stake in Eumundi Group Limited (ASX:EBG) in a tender offer transaction. The Fortitudo Group proposed to acquire an unknown minority stake in Eumundi Group Limited (ASX:EBG) in a tender offer transaction on October 30, 2024. A cash consideration valued at AUD 1.55 per share will be paid by The Fortitudo Group.
The transaction is subject to minimum tender.
Taylor Collison Limited acted as financial advisor for Eumundi Group Limited. HopgoodGanim acted as legal advisor for Eumundi Group Limited. Morgans Financial Limited acted as financial advisor for The Fortitudo Group. Clayton Utz acted as legal advisor for The Fortitudo Group. Valuation Update With 7 Day Price Move • Oct 30
Investor sentiment improves as stock rises 30% After last week's 30% share price gain to AU$1.60, the stock trades at a trailing P/E ratio of 22x. Average trailing P/E is 21x in the Hospitality industry in Australia. Total returns to shareholders of 91% over the past three years. Announcement • Oct 11
Eumundi Group Limited, Annual General Meeting, Nov 29, 2024 Eumundi Group Limited, Annual General Meeting, Nov 29, 2024. Recent Insider Transactions • Sep 13
Non-Executive Chairman recently bought AU$472k worth of stock On the 11th of September, Joseph Ganim bought around 439k shares on-market at roughly AU$1.07 per share. This transaction amounted to 3.5% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. This was Joseph's only on-market trade for the last 12 months. Reported Earnings • Aug 27
Full year 2024 earnings released: EPS: AU$0.077 (vs AU$0.033 in FY 2023) Full year 2024 results: EPS: AU$0.077 (up from AU$0.033 in FY 2023). Revenue: AU$30.4m (up 1.1% from FY 2023). Net income: AU$3.62m (up 145% from FY 2023). Profit margin: 12% (up from 4.9% in FY 2023). Over the last 3 years on average, earnings per share has fallen by 39% per year but the company’s share price has increased by 6% per year, which means it is well ahead of earnings. Board Change • Jul 16
Less than half of directors are independent No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 1 experienced director. 2 highly experienced directors. 1 independent director (2 non-independent directors). Independent Non-Executive Director Murray Boyte was the last independent director to join the board, commencing their role in 2021. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. Announcement • Jun 13
Eumundi Group Limited Appoints Mr. Duncan Patrick Cornish as Company Secretary, Effective from 17 June 2024 Eumundi Group Limited announced the appointment of Mr. Duncan Patrick Cornish as Company Secretary effective from 17 June 2024. Mr. Cornish is a Chartered Accountant with significant experience as a public company CFO and Company Secretary. He has more than 35 years' experience in the accountancy profession including with the accountancy firms Ernst & Young and PricewaterhouseCoopers. He has extensive experience in all aspects of company financial reporting, corporate regulatory and governance areas, business acquisition and disposal due diligence, initial public offerings and capital raisings and has served as CFO and/or Company Secretary of several Australian and Canadian public companies. Mr. Cornish is an Australian resident and will be the person responsible for communications with the ASX in relation to listing rule matters under Listing Rule 12.6. New Risk • Mar 07
New major risk - Financial position The company's debt is not well covered by operating cash flow. Operating cash flow to total debt ratio: 18% This is considered a major risk. If the company's operating cash flows are too small relative to the size of their debt, it increases their balance sheet risk. The company has less cash from operations to cover its expenses from servicing large debt and it increases the risk of liquidity issues. It also extends the time it would take for the company to pay back the debt in full, meaning it may not be able to easily pay it all off in a distress scenario. Currently, the following risks have been identified for the company: Major Risks Debt is not well covered by operating cash flow (18% operating cash flow to total debt). Shares are highly illiquid. Dividend is not well covered by earnings and cash flows. Dividend per share is over 6x earnings per share. Cash payout ratio: 105% Minor Risks Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (1.7% net profit margin). Shareholders have been diluted in the past year (5.9% increase in shares outstanding). Market cap is less than US$100m (AU$59.0m market cap, or US$39.0m). Buy Or Sell Opportunity • Mar 07
Now 21% undervalued The stock has been flat over the last 90 days, currently trading at AU$1.26. The fair value is estimated to be AU$1.60, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 9.5% over the last 3 years. Earnings per share has declined by 15%. Declared Dividend • Feb 29
First half dividend of AU$0.035 announced Dividend of AU$0.035 is the same as last year. Ex-date: 1st March 2024 Payment date: 14th March 2024 Dividend yield will be 5.6%, which is higher than the industry average of 1.8%. Sustainability & Growth Dividend is not covered by earnings (dividend approximately 6x earnings) nor is it covered by cash flows (105% cash payout ratio). The dividend has increased by an average of 6.4% per year over the past 9 years. However, payments have been volatile during that time. The company's earnings per share (EPS) would need to grow by 575% to bring the payout ratio under control. However, EPS has declined by 37% over the last 5 years so the company would need to reverse this trend. Board Change • Jan 10
Less than half of directors are independent Following the recent departure of a director, there is only 1 independent director on the board. The company's board is composed of: 1 independent director. 2 non-independent directors. Independent Non-Executive Director Murray Boyte was the last independent director to join the board, commencing their role in 2021. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Board Change • Dec 11
Less than half of directors are independent Following the recent departure of a director, there is only 1 independent director on the board. The company's board is composed of: 1 independent director. 2 non-independent directors. Independent Non-Executive Director Murray Boyte was the last independent director to join the board, commencing their role in 2021. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Announcement • Sep 14
Eumundi Group Limited, Annual General Meeting, Nov 24, 2023 Eumundi Group Limited, Annual General Meeting, Nov 24, 2023, at 11:00 E. Australia Standard Time. Location: Level 7 Waterfront Place, 1 Eagle Street, BRISBANE Australia Agenda: To consider the election of directors. New Risk • Aug 29
New minor risk - Profit margin trend The company's profit margins are lower than last year and have reduced by more than 30%. Net profit margin: 4.9% Last year net profit margin: 25% This is considered a minor risk. A large drop in profit margin could indicate the company does not have strong competitive advantages or it is yet to establish itself and its core business. Even if it is a well established business, this may make it a much riskier investment than one that has a combination of proven competitive advantages and a stable or growing profit margin. Currently, the following risks have been identified for the company: Major Risks Debt is not well covered by operating cash flow (17% operating cash flow to total debt). Shares are highly illiquid. Dividend is not well covered by earnings and cash flows. Payout ratio: 0% Cash payout ratio: 146% Minor Risks Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (4.9% net profit margin). Shareholders have been diluted in the past year (6.0% increase in shares outstanding). Market cap is less than US$100m (AU$51.4m market cap, or US$33.0m). Reported Earnings • Aug 29
Full year 2023 earnings released: EPS: AU$0.033 (vs AU$0.17 in FY 2022) Full year 2023 results: EPS: AU$0.033 (down from AU$0.17 in FY 2022). Revenue: AU$30.1m (up 8.8% from FY 2022). Net income: AU$1.48m (down 79% from FY 2022). Profit margin: 4.9% (down from 25% in FY 2022). Over the last 3 years on average, earnings per share has increased by 40% per year but the company’s share price has only increased by 10% per year, which means it is significantly lagging earnings growth. Announcement • Aug 28
Eumundi Group Limited Announces Dividend on EBG - Ordinary Fully Paid Securities for Six Months Ended June 30, 2023, Payment Date Is September 13, 2023 Eumundi Group Limited announced dividend on EBG - ORDINARY FULLY PAID securities of AUD 0.03500000 for six months ended June 30, 2023. Ex Date is August 31, 2023. Record Date is September 1,2023. Payment Date is September 13, 2023. Announcement • Aug 22
Eumundi Group Limited to Report Fiscal Year 2023 Results on Aug 28, 2023 Eumundi Group Limited announced that they will report fiscal year 2023 results on Aug 28, 2023 Board Change • Apr 11
Less than half of directors are independent Following the recent departure of a director, there is only 1 independent director on the board. The company's board is composed of: 1 independent director. 2 non-independent directors. Independent Non-Executive Director Murray Boyte was the last independent director to join the board, commencing their role in 2021. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Reported Earnings • Mar 04
First half 2023 earnings released: EPS: AU$0.058 (vs AU$0.088 in 1H 2022) First half 2023 results: EPS: AU$0.058 (down from AU$0.088 in 1H 2022). Revenue: AU$15.6m (up 12% from 1H 2022). Net income: AU$2.55m (down 31% from 1H 2022). Profit margin: 16% (down from 26% in 1H 2022). Over the last 3 years on average, earnings per share has increased by 73% per year but the company’s share price has only increased by 7% per year, which means it is significantly lagging earnings growth. Board Change • Jan 11
Less than half of directors are independent Following the recent departure of a director, there is only 1 independent director on the board. The company's board is composed of: 1 independent director. 2 non-independent directors. Independent Non-Executive Director Murray Boyte was the last independent director to join the board, commencing their role in 2021. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Board Change • Dec 19
Less than half of directors are independent Following the recent departure of a director, there is only 1 independent director on the board. The company's board is composed of: 1 independent director. 2 non-independent directors. Independent Non-Executive Director Murray Boyte was the last independent director to join the board, commencing their role in 2021. 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 is only 1 independent director on the board. The company's board is composed of: 1 independent director. 2 non-independent directors. Independent Non-Executive Director Murray Boyte was the last independent director to join the board, commencing their role in 2021. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Announcement • Sep 30
Eumundi Group Limited, Annual General Meeting, Nov 18, 2022 Eumundi Group Limited, Annual General Meeting, Nov 18, 2022, at 11:00 E. Australia Standard Time. Location: HopgoodGanim Lawyers Level 7 Waterfront Place, 1 Eagle Street Brisbane Queensland Australia Announcement • Aug 29
Eumundi Group Limited Announces Final Dividend for Period Ended June 30, 2022, Payment Date Is September 13, 2022 Eumundi Group Limited announced final dividend for period ended June 30, 2022 of AUD 0.03500000. Ex Date is September 1, 2022. Record Date is September 2, 2022. Payment Date is September 13, 2022. Reported Earnings • Aug 29
Full year 2022 earnings released: EPS: AU$0.17 (vs AU$0.10 in FY 2021) Full year 2022 results: EPS: AU$0.17 (up from AU$0.10 in FY 2021). Revenue: AU$27.7m (up 5.6% from FY 2021). Net income: AU$7.02m (up 65% from FY 2021). Profit margin: 25% (up from 16% in FY 2021). Over the last 3 years on average, earnings per share has increased by 70% per year but the company’s share price has only increased by 7% per year, which means it is significantly lagging earnings growth. Board Change • Jul 22
Less than half of directors are independent Following the recent departure of a director, there is only 1 independent director on the board. The company's board is composed of: 1 independent director. 2 non-independent directors. Independent Non-Executive Director Murray Boyte was the last independent director to join the board, commencing their role in 2021. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Board Change • Jun 24
Less than half of directors are independent Following the recent departure of a director, there is only 1 independent director on the board. The company's board is composed of: 1 independent director. 2 non-independent directors. Independent Non-Executive Director Murray Boyte was the last independent director to join the board, commencing their role in 2021. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Board Change • May 13
Less than half of directors are independent Following the recent departure of a director, there is only 1 independent director on the board. The company's board is composed of: 1 independent director. 2 non-independent directors. Independent Non-Executive Director Murray Boyte was the last independent director to join the board, commencing their role in 2021. 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 is only 1 independent director on the board. The company's board is composed of: 1 independent director. 2 non-independent directors. Independent Non-Executive Director Murray Boyte was the last independent director to join the board, commencing their role in 2021. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Board Change • Mar 24
Less than half of directors are independent Following the recent departure of a director, there is only 1 independent director on the board. The company's board is composed of: 1 independent director. 2 non-independent directors. Independent Non-Executive Director Murray Boyte was the last independent director to join the board, commencing their role in 2021. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Board Change • Mar 04
Less than half of directors are independent Following the recent departure of a director, there is only 1 independent director on the board. The company's board is composed of: 1 independent director. 2 non-independent directors. Independent Non-Executive Director Murray Boyte was the last independent director to join the board, commencing their role in 2021. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Announcement • Feb 24
Eumundi Group Limited Declares Unfranked Dividend, Payable on 14 March 2022 The Board of Eumundi Group Limited declared an interim dividend of 3.50 cents per share ($1.454 million in total), unfranked. The Record Date for the interim dividend is 2 March 2022 and the dividend will be paid on 14 March 2022. Announcement • Feb 01
Eumundi Group Limited to Report First Half, 2022 Results on Feb 23, 2022 Eumundi Group Limited announced that they will report first half, 2022 results on Feb 23, 2022 Board Change • Jan 13
Less than half of directors are independent Following the recent departure of a director, there is only 1 independent director on the board. The company's board is composed of: 1 independent director. 2 non-independent directors. Independent Non-Executive Director Murray Boyte was the last independent director to join the board, commencing their role in 2021. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Board Change • Dec 08
Less than half of directors are independent Following the recent departure of a director, there is only 1 independent director on the board. The company's board is composed of: 1 independent director. 2 non-independent directors. Independent Non-Executive Director Murray Boyte was the last independent director to join the board, commencing their role in 2021. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Board Change • Nov 01
Less than half of directors are independent Following the recent departure of a director, there is only 1 independent director on the board. The company's board is composed of: 1 independent director. 2 non-independent directors. Independent Non-Executive Director Murray Boyte was the last independent director to join the board, commencing their role in 2021. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Board Change • Oct 06
Less than half of directors are independent Following the recent departure of a director, there is only 1 independent director on the board. The company's board is composed of: 1 independent director. 2 non-independent directors. Independent Non-Executive Director Murray Boyte was the last independent director to join the board, commencing their role in 2021. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Recent Insider Transactions • Sep 15
Insider recently bought AU$370k worth of stock On the 9th of September, Steven Shoobridge bought around 386k shares on-market at roughly AU$0.96 per share. This was the largest purchase by an insider in the last 3 months. This was the only on-market transaction from insiders over the last 12 months. Reported Earnings • Sep 01
Full year 2021 earnings released: EPS AU$0.10 (vs AU$0.025 loss in FY 2020) The company reported a strong full year result with improved earnings, revenues and profit margins. Full year 2021 results: Revenue: AU$26.2m (up 27% from FY 2020). Net income: AU$4.26m (up AU$5.29m from FY 2020). Profit margin: 16% (up from net loss in FY 2020). Over the last 3 years on average, earnings per share has fallen by 40% per year but the company’s share price has only fallen by 1% per year, which means it has not declined as severely as earnings. Board Change • Aug 04
Less than half of directors are independent Following the recent departure of a director, there is only 1 independent director on the board. The company's board is composed of: 1 independent director. 3 non-independent directors. Independent Non-Executive Director Vern Wills was the last independent director to join the board, commencing their role in 2004. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Announcement • Feb 26
Eumundi Group Limited Appoints Mr. Murray Boyte as Non-Executive Director, Effective from 1 March 2021 Eumundi Group Limited appointed Mr. Murray Boyte as a Non-Executive Director of the Group effective from 1 March 2021. Mr. Boyte is currently Executive Chairman of Eureka Group Holdings Limited, Chairman of National Tyre and Wheel Company Limited as well as a Director of Hillgrove
Resources Limited. Reported Earnings • Feb 20
First half 2021 earnings released: EPS AU$0.063 (vs AU$0.016 in 1H 2020) The company reported a strong first half result with improved earnings, revenues and profit margins. First half 2021 results: Revenue: AU$13.4m (up 5.9% from 1H 2020). Net income: AU$2.60m (up 313% from 1H 2020). Profit margin: 19% (up from 5.0% in 1H 2020). Over the last 3 years on average, earnings per share has fallen by 60% per year but the company’s share price has only fallen by 3% per year, which means it has not declined as severely as earnings. Announcement • Feb 13
Eumundi Group Limited Announces Resignation of Vern Wills as Non-Executive Director, Effective on June 30, 2021 Mr. Vern Wills has announced that Eumundi Group Limited that he will be stepping down as a Non-Executive Director due to an expected significant increase in workload with his personal and other business interests. The effective date of Mr. Wills' resignation will be 30 June 2021. Announcement • Aug 30
Eumundi Group Limited to Report Fiscal Year 2020 Results on Aug 31, 2020 Eumundi Group Limited announced that they will report fiscal year 2020 results at 5:26 AM, GMT Standard Time on Aug 31, 2020