Board Change • Aug 01
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 2 experienced directors. 3 highly experienced directors. Independent Non-Executive Director Wayne Beauman was the last director to join the board, commencing their role in 2023. The company’s insufficient board refreshment is considered a risk according to the Simply Wall St Risk Model. Upcoming Dividend • Apr 22
Upcoming dividend of AU$0.07 per share Eligible shareholders must have bought the stock before 29 April 2026. Payment date: 15 May 2026. Payout ratio is a comfortable 50% and this is well supported by cash flows. Trailing yield: 2.9%. Lower than top quartile of Australian dividend payers (6.6%). Higher than average of industry peers (2.4%). Duyuru • Feb 26
Waterco Limited Declares Interim Fully Franked Ordinary Dividend for the Six Months Ended December 31, 2025, Payable on May 15, 2026 The Board of Waterco Limited has declared an interim fully franked ordinary dividend of 7.0 cents per share for the six months ended December 31, 2025 (7.0 cents in the half year of 2024), payable on May 15, 2026. Record Date is April 30, 2026. Ex Date is April 29, 2026. Reported Earnings • Feb 25
First half 2026 earnings released: EPS: AU$0.19 (vs AU$0.17 in 1H 2025) First half 2026 results: EPS: AU$0.19 (up from AU$0.17 in 1H 2025). Revenue: AU$133.2m (down 1.1% from 1H 2025). Net income: AU$6.75m (up 15% from 1H 2025). Profit margin: 5.1% (up from 4.4% in 1H 2025). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has fallen by 5% per year but the company’s share price has increased by 8% per year, which means it is well ahead of earnings. Upcoming Dividend • Oct 22
Upcoming dividend of AU$0.08 per share Eligible shareholders must have bought the stock before 29 October 2025. Payment date: 14 November 2025. Payout ratio is a comfortable 55% and this is well supported by cash flows. Trailing yield: 2.7%. Lower than top quartile of Australian dividend payers (5.6%). Higher than average of industry peers (2.3%). New Risk • Sep 22
New minor risk - Dividend sustainability The company has an unstable dividend paying track record. The dividend has had an annual drop of over 20% in the past. Dividend yield: 2.5% This is considered a minor risk. If the company has cut or reduced its dividend in the past, it may be a sign that the underlying business is too cyclical to consistently maintain or grow the dividend over the long-term. It may also indicate the company prioritizes other outcomes instead of maintaining the dividend. For dividend paying companies, any reduction in the dividend can significantly impact the share price. Currently, the following risks have been identified for the company: Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Profit margins are more than 30% lower than last year (3.8% net profit margin). Buy Or Sell Opportunity • Sep 20
Now 20% undervalued after recent price drop Over the last 90 days, the stock has fallen 9.3% to AU$6.26. The fair value is estimated to be AU$7.83, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 29% over the last 3 years, while earnings per share has been flat. Buy Or Sell Opportunity • Sep 01
Now 20% undervalued after recent price drop Over the last 90 days, the stock has fallen 9.4% to AU$6.44. The fair value is estimated to be AU$8.07, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 29% over the last 3 years, while earnings per share has been flat. Reported Earnings • Aug 31
Full year 2025 earnings released: EPS: AU$0.27 (vs AU$0.39 in FY 2024) Full year 2025 results: EPS: AU$0.27 (down from AU$0.39 in FY 2024). Revenue: AU$254.9m (up 4.1% from FY 2024). Net income: AU$9.57m (down 31% from FY 2024). Profit margin: 3.8% (down from 5.7% in FY 2024). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has remained flat but the company’s share price has increased by 18% per year, which means it is well ahead of earnings. Duyuru • Aug 29
Waterco Limited, Annual General Meeting, Oct 24, 2025 Waterco Limited, Annual General Meeting, Oct 24, 2025. Upcoming Dividend • Apr 08
Upcoming dividend of AU$0.07 per share Eligible shareholders must have bought the stock before 15 April 2025. Payment date: 02 May 2025. Payout ratio is a comfortable 41% and the cash payout ratio is 76%. Trailing yield: 2.5%. Lower than top quartile of Australian dividend payers (6.9%). Lower than average of industry peers (2.9%). Reported Earnings • Feb 26
First half 2025 earnings released: EPS: AU$0.17 (vs AU$0.20 in 1H 2024) First half 2025 results: EPS: AU$0.17 (down from AU$0.20 in 1H 2024). Revenue: AU$134.7m (up 13% from 1H 2024). Net income: AU$5.87m (down 16% from 1H 2024). Profit margin: 4.4% (down from 5.9% in 1H 2024). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 14% per year but the company’s share price has increased by 28% per year, which means it is tracking significantly ahead of earnings growth. New Risk • Feb 25
New major risk - Financial position The company's debt is not well covered by operating cash flow. Operating cash flow to total debt ratio: 13% 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 Risk Debt is not well covered by operating cash flow (13% operating cash flow to total debt). Minor Risks Profit margins are more than 30% lower than last year (4.9% net profit margin). Significant insider selling over the past 3 months (AU$15m sold). Duyuru • Feb 25
Waterco Limited Announces Ordinary Dividend for Financial Reporting or Payment Period Ending Ended/Ending December 31, 2024, Payable on May 15, 2025 Waterco Limited announced ordinary dividend AUD 0.07000000 per share for financial reporting or payment period ending ended/ending December 31, 2024. Record Date April 16, 2025, Ex Date April 15, 2025 and Payable on May 15, 2025. Recent Insider Transactions • Dec 23
Founder recently bought AU$15m worth of stock On the 19th of December, Soon Goh bought around 2m shares on-market at roughly AU$7.00 per share. This transaction amounted to 11% 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 Soon's only on-market trade for the last 12 months. Upcoming Dividend • Oct 22
Upcoming dividend of AU$0.08 per share Eligible shareholders must have bought the stock before 29 October 2024. Payment date: 15 November 2024. Payout ratio is a comfortable 38% and this is well supported by cash flows. Trailing yield: 3.0%. Lower than top quartile of Australian dividend payers (6.0%). Higher than average of industry peers (2.3%). Declared Dividend • Aug 30
Final dividend of AU$0.08 announced Shareholders will receive a dividend of AU$0.08. Ex-date: 29th October 2024 Payment date: 15th November 2024 Dividend yield will be 2.9%, which is higher than the industry average of 2.5%. Sustainability & Growth Dividend is well covered by both earnings (33% earnings payout ratio) and cash flows (22% cash payout ratio). The dividend has increased by an average of 7.2% per year over the past 10 years. However, payments have been volatile during that time. Earnings per share has grown by 36% over the last 5 years. Unless this trend reverses, it should provide support to the dividend and adequate earnings cover. Reported Earnings • Aug 29
Full year 2024 earnings released Full year 2024 results: Revenue: AU$244.8m (up 83% from FY 2023). Net income: AU$13.9m (up 28% from FY 2023). Profit margin: 5.7% (down from 8.1% in FY 2023). The decrease in margin was driven by higher expenses. Duyuru • Aug 28
Waterco Limited, Annual General Meeting, Oct 25, 2024 Waterco Limited, Annual General Meeting, Oct 25, 2024. Upcoming Dividend • Apr 25
Upcoming dividend of AU$0.07 per share Eligible shareholders must have bought the stock before 02 May 2024. Payment date: 15 May 2024. Payout ratio is a comfortable 33% and this is well supported by cash flows. Trailing yield: 2.7%. Lower than top quartile of Australian dividend payers (6.3%). Higher than average of industry peers (2.4%). Reported Earnings • Feb 27
First half 2024 earnings released: EPS: AU$0.20 (vs AU$0.14 in 1H 2023) First half 2024 results: EPS: AU$0.20 (up from AU$0.14 in 1H 2023). Revenue: AU$118.8m (up 69% from 1H 2023). Net income: AU$6.98m (up 40% from 1H 2023). Profit margin: 5.9% (down from 7.1% in 1H 2023). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 8% per year but the company’s share price has increased by 22% per year, which means it is tracking significantly ahead of earnings growth. Upcoming Dividend • Nov 02
Upcoming dividend of AU$0.05 per share at 2.4% yield Eligible shareholders must have bought the stock before 09 November 2023. Payment date: 15 December 2023. Payout ratio is a comfortable 33% and this is well supported by cash flows. Trailing yield: 2.4%. Lower than top quartile of Australian dividend payers (7.4%). In line with average of industry peers (2.4%). Duyuru • Oct 26
Waterco Limited Announces Resignation of Cheng Fah Ling as A Non-Executive Director Waterco Limited announced that Mr. Cheng Fah Ling (Richard) has resigned as a non-executive director of the Company at the conclusion of the Annual General Meeting held on 25 October 2023. Mr. Ling has been a valuable member of the Remuneration Committee and the Audit Committee. Reported Earnings • Aug 26
Full year 2023 earnings released: EPS: AU$0.31 (vs AU$0.33 in FY 2022) Full year 2023 results: EPS: AU$0.31 (down from AU$0.33 in FY 2022). Revenue: AU$134.0m (up 4.6% from FY 2022). Net income: AU$10.8m (down 7.2% from FY 2022). Profit margin: 8.1% (down from 9.1% in FY 2022). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 20% per year whereas the company’s share price has increased by 16% per year. New Risk • Aug 20
New minor risk - Financial data availability The company's latest financial reports are more than 6 months old. Last reported fiscal period ended December 2022. This is considered a minor risk. If the company has not reported its earnings on time, it may have been delayed due to audit problems or it may be finding it difficult to reconcile its accounts. Currently, the following risks have been identified for the company: Minor Risks Latest financial reports are more than 6 months old (reported December 2022 fiscal period end). Market cap is less than US$100m (AU$142.3m market cap, or US$91.1m). Duyuru • Aug 07
Waterco Limited (ASX:WAT) signed a share sale agreement to acquire Davey Water Products Pty Ltd. from GUD Holdings Limited (ASX:GUD) for an enterprise value of AUD 64.9 million. Waterco Limited (ASX:WAT) signed a share sale agreement to acquire Davey Water Products Pty Ltd. from GUD Holdings Limited (ASX:GUD) for an enterprise value of AUD 64.9 million on August 7, 2023. Under the terms, enterprise value of AUD 64.9 million is before estimated customary net working capital (NWC) and net debt type adjustments. The net cash proceeds, post customary net working capital and net debt type adjustments, and consideration of a deferred vendor payment of AUD 1.25 million are expected to be approximately AUD 56 million. Waterco will finance the acquisition through bank loans. There are no changes in the composition of the Board and management of Waterco as a result of the acquisition. Under the terms of the agreement, completion will take place upon fulfilment of certain conditions precedent that are customary for a transaction of this nature. The acquisition does not require security holders’ approval and the parties expect that completion will take place on September 1, 2023. The proceeds from the sale will be used to further pay down debt. Duyuru • Jul 23
Waterco Limited Appoints Wayne Beauman as Non-Executive Director The Board of Waterco Limited announced the appointment of Mr. Wayne Beauman as a Non-Executive Director with effect from 21 July 2023. Mr. Beauman will stand for election at the next Annual General Meeting of the Company. Mr. Beauman has a Bachelor of Economics from Macquarie University. He is an Associate of Chartered Accountants Australia and New Zealand and a graduate of the Australian Institute of Company Directors. Mr. Beauman is an experienced finance professional with more than 25 years as a Partner in Chartered Accounting firms. He has provided assurance services to clients with national and international operations across a broad range of industries including manufacturing, real estate and property development, mining, retail, financial services and local government. He is highly skilled in financial data analysis and reporting as well as providing advice to Executive Management and Corporate Boards on governance and regulatory reporting requirements. Board Change • May 01
Insufficient new directors 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. 4 highly experienced directors. Independent Non-Executive Director Judy Raper was the last director to join the board, commencing their role in 2020. The company’s insufficient board refreshment is considered a risk according to the Simply Wall St Risk Model. Upcoming Dividend • Apr 27
Upcoming dividend of AU$0.05 per share at 2.5% yield Eligible shareholders must have bought the stock before 04 May 2023. Payment date: 15 June 2023. Payout ratio is a comfortable 28% but the company is not cash flow positive. Trailing yield: 2.5%. Lower than top quartile of Australian dividend payers (7.0%). Higher than average of industry peers (2.2%). Reported Earnings • Feb 18
First half 2023 earnings released: EPS: AU$0.14 (vs AU$0.12 in 1H 2022) First half 2023 results: EPS: AU$0.14 (up from AU$0.12 in 1H 2022). Revenue: AU$70.4m (up 10% from 1H 2022). Net income: AU$4.99m (up 22% from 1H 2022). Profit margin: 7.1% (up from 6.4% in 1H 2022). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 30% per year but the company’s share price has only increased by 20% per year, which means it is significantly lagging earnings growth. Duyuru • Feb 16
Waterco Limited Declares Fully-Franked Interim Dividend for the Six Months Ended December 31, 2022, Payable on 15 June 2023 The Board of Waterco Limited declared a fully-franked interim dividend of 5 cents per share for the six months ended December 31, 2022. Payment Date is 15 June 2023. Ex Date is May 4, 2023. Record Date is May 5, 2023. Upcoming Dividend • Nov 02
Upcoming dividend of AU$0.05 per share Eligible shareholders must have bought the stock before 09 November 2022. Payment date: 15 December 2022. Payout ratio is a comfortable 24% but the company is not cash flow positive. Trailing yield: 2.0%. Lower than top quartile of Australian dividend payers (6.9%). In line with average of industry peers (2.2%). Reported Earnings • Aug 27
Full year 2022 earnings released: EPS: AU$0.33 (vs AU$0.36 in FY 2021) Full year 2022 results: EPS: AU$0.33 (down from AU$0.36 in FY 2021). Revenue: AU$128.1m (up 8.2% from FY 2021). Net income: AU$11.6m (down 9.3% from FY 2021). Profit margin: 9.0% (down from 11% in FY 2021). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 37% per year but the company’s share price has only increased by 28% per year, which means it is significantly lagging earnings growth. Upcoming Dividend • Apr 27
Upcoming dividend of AU$0.03 per share Eligible shareholders must have bought the stock before 04 May 2022. Payment date: 15 June 2022. Payout ratio is a comfortable 39% but the company is not cash flow positive. Trailing yield: 1.9%. Lower than top quartile of Australian dividend payers (5.7%). In line with average of industry peers (2.0%). Reported Earnings • Feb 26
First half 2022 earnings: Revenues and EPS in line with analyst expectations First half 2022 results: EPS: AU$0.12 (down from AU$0.29 in 1H 2021). Revenue: AU$63.8m (flat on 1H 2021). Net income: AU$4.11m (down 61% from 1H 2021). Profit margin: 6.4% (down from 16% in 1H 2021). Revenue was in line with analyst estimates. Over the last 3 years on average, earnings per share has increased by 46% per year but the company’s share price has only increased by 17% per year, which means it is significantly lagging earnings growth. Duyuru • Feb 24
Waterco Limited Declares Ordinary Dividend for the Six Months Ended December 31, 2021, Payable on June 15, 2022 Waterco Limited declared ordinary dividend of AUD 0.03000000 for the six months ended December 31, 2021. The record date is on May 5, 2022, ex date is on May 4, 2022 and payable date is on June 15, 2022. Upcoming Dividend • Nov 02
Upcoming dividend of AU$0.04 per share Eligible shareholders must have bought the stock before 09 November 2021. Payment date: 15 December 2021. Trailing yield: 2.3%. Lower than top quartile of Australian dividend payers (5.4%). Higher than average of industry peers (1.6%). Reported Earnings • Sep 26
Full year 2021 earnings released: EPS AU$0.36 (vs AU$0.087 in FY 2020) The company reported a strong full year result with improved earnings, revenues and profit margins. Full year 2021 results: Revenue: AU$118.4m (up 20% from FY 2020). Net income: AU$12.8m (up 309% from FY 2020). Profit margin: 11% (up from 3.2% in FY 2020). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 56% per year but the company’s share price has only increased by 15% per year, which means it is significantly lagging earnings growth. Reported Earnings • Aug 27
Full year 2021 earnings released The company reported a strong full year result with improved earnings, revenues and profit margins. Full year 2021 results: Revenue: AU$118.4m (up 20% from FY 2020). Net income: AU$12.7m (up 307% from FY 2020). Profit margin: 11% (up from 3.2% in FY 2020). The increase in margin was driven by higher revenue. Upcoming Dividend • Apr 27
Upcoming dividend of AU$0.03 per share Eligible shareholders must have bought the stock before 04 May 2021. Payment date: 15 June 2021. Trailing yield: 2.0%. Lower than top quartile of Australian dividend payers (5.2%). Higher than average of industry peers (1.6%). Upcoming Dividend • Oct 30
Upcoming Dividend of AU$0.03 Per Share Will be paid on the 16th of December to those who are registered shareholders by the 6th of November. The trailing yield of 1.7% is below the top quartile of Australian dividend payers (5.5%), but is in line with industry peers (1.8%). Reported Earnings • Sep 25
Full year earnings released - EPS AU$0.087 Over the last 12 months the company has reported total profits of AU$3.12m, largely unchanged from the prior year. Total revenue was AU$98.5m over the last 12 months, up 12% from the prior year. Profit margins were 3.2%, which is in line with last year. Duyuru • Aug 06
Guangzhou Yaolong Information Industry Co., Ltd. completed the acquisition of Waterco (C) Ltd. from Waterco Limited (ASX:WAT). Guangzhou Yaolong Information Industry Co., Ltd. entered into an agreement to acquire Waterco (C) Ltd. from Waterco Limited (ASX:WAT) for approximately CNY 150 million on April 22, 2020. Consideration is subject to certain typical adjustments. The completion of the sale is subject to regulatory approvals by the Chinese Government. Completion is expected to take place by May 31, 2020. Proceeds from the sale will be used as reserve for additional capital over the COVID-19 period as well as for expansion opportunities when they arise.
Guangzhou Yaolong Information Industry Co., Ltd. completed the acquisition of Waterco (C) Ltd. from Waterco Limited (ASX:WAT) on June 3, 2020. The transaction was approved by the Chinese Government. The proceeds from the sale will be used mainly to reduce bank borrowings.