We are about half way through annual general meeting season now and a large number of companies have already provided their first quarter updates.
While there have been disappointing updates from the likes of Bellamy's Australia Ltd (ASX: BAL) and BWX Ltd (ASX: BWX), on the whole I've been pleased with the start that most ASX companies have had to FY 2019.
In my opinion, three of the best updates came from the following shares:
Adairs Ltd (ASX: ADH)
Although you wouldn't think it from its share price decline, I thought that this home furnishings company's first quarter update was one of the best on the market. Especially given how some retailers have been struggling due to lower consumer confidence and rising basic expenses. During the first 13 weeks of FY 2019, Adairs delivered like for like sales growth of 5.2% across its stores and online. This has put the retailer on course to achieve its FY 2019 guidance of $345 million to $360 million for sales, representing growth of 9.6% and 14.3% on the prior year.
CSL Limited (ASX: CSL)
The always reliable CSL has had a solid start to FY 2019. At its annual general meeting the biopharmaceutical company revealed that it has continued to experience strong demand for plasma and recombinant products. In addition to this, it has benefited from margin growth from its plasma product mix shift, specialty and recombinant products growth, and the conclusion of HELIXATE supply. As a result, management reaffirmed its FY 2019 net profit after tax guidance of ~US$1,880 million to US$1,950 million. This will be an increase of 10% to 14% on FY 2018's underlying profit.
ResMed Inc. (ASX: RMD)
Another highlight during the first quarter was this sleep treatment specialist. ResMed posted a 12% increase in revenue to US$588.3 million and a 23% jump in net profit to US$105.7 million during the September quarter. While ResMed's strong performance was driven by growth across all its business, I was particularly impressed by its SaaS segment. This segment saw sales increase 25% due to continued growth of its Brightree service offerings and the contribution of its newly acquired HEALTHCAREfirst business.
