Despite a number of strong results from some of Australia's largest corporations, the August reporting season largely failed to impress the market. With the market hovering at its highest level in six years, investors had been hoping for spectacular growth and reasons to justify companies' lofty valuations.
Unfortunately, many released what the market considered to be disappointing results with companies like Commonwealth Bank of Australia (ASX: CBA) and BHP Billiton Limited (ASX: BHP) amongst those acting as a drag on overall investor sentiment. For the month, the benchmark S&P/ASX 200 (INDEXASX: XJO) index fell 0.1% to close at 5,625.9 points.
However, it wasn't all bad news – there were a number of stocks which soared as they exceeded the market's expectations and showed every reason to continue the trend moving forward. Here are some of August's top ASX performers…
- As a shareholder of Nearmap Limited (ASX: NEA), I couldn't have been more pleased with its result. Not only did the company announce its maiden profit of $7.1 million, but it also showed every sign of having another successful year in FY15. Its shares soared 22% for the month.
- Retail and property giant Harvey Norman Holdings Limited (ASX: HVN) skyrocketed nearly 15% after the company smashed the market's expectations. Its net profit after tax (NPAT) jumped 48.9% to $211.7 million, while global sales rose 4.7% on a like-for-like basis.
- Veda Group Ltd (ASX: VED) delivered its first full-year earnings report since debuting on the ASX. Not only did it grow revenue and EBITDA by 12.4% and 21.7% respectively, it also announced a dividend of 4 cents per share – twice the amount it had been expecting to distribute. Over the month, shares rose an impressive 9.7%.
- Up and coming telecommunications giant M2 Group Ltd (ASX: MTU) jumped a remarkable 22% over August after it grew net profit by a whopping 60% in FY14 after years of aggressive strategic acquisitions. The strategy is certainly paying off for investors – the company also rose its full-year, fully franked dividend to 26 cents giving the company a grossed up yield of 5%.
- Newly formed packaging company Orora Ltd (ASX: ORA) was another solid performer over the month of August. A 44.8% increase in NPAT to $104.4 million and a 29.6% rise in EBIT was enough to send the shares flying 14.6% higher for the month.