It was another busy day of results releases on Thursday. In light of this, a good number of releases no doubt slipped under the radar.
Two that I thought I would bring to the attention of readers today are summarised below. Here's how they performed in FY 2020:
Atomos Ltd (ASX: AMS)
The Atomos share price climbed 3% on Thursday following its full year results release. It has been a difficult year for the global video technology company because of the pandemic. After delivering a 35% increase in revenue to $32.6 million during the first half, Atomos posted a 60% decline in second half revenue to $11.8 million. This led to FY 2020 revenue of $44.4 million, down 17% year on year. Operating earnings fared even worse during the year. After delivering positive EBITDA of $1 million in the first half, its full year EBITDA was a loss of $7.1 million.
The good news is that it appears as though the worst could be over for the company. Management revealed that July and August revenue was up 50% and 60%, respectively, on the second half run rate of $2 million. It also advised that it expects to return to pre-COVID-19 revenue levels by the start of calendar year 2021, with a more cost-effective operating base.
Slater & Gordon Limited (ASX: SGH)
The Slater & Gordon share price also climbed 3% yesterday following the release of its FY 2020 results. The embattled law firm had a reasonably positive year, reporting an 11.2% increase in revenue to $178.3 million. However, with expenses growing in line with its revenue to $178.5 million, the company posted a loss of $200,000. The increase in costs was primarily reflecting the recognition of the value of the Slater & Gordon Rights Plan, finance costs, an uplift in labour expenses, and depreciation and amortisation.
Nevertheless, management believes its results show continued improvement. Chair, James MacKenzie, said: "The work that we have undertaken to continue to transform the Company is delivering results and we are firmly focused on the future. The Company has a strengthened balance sheet and is seeing positive organic growth. Most importantly we are united in our purpose to deliver affordable, high quality legal services to the thousands of everyday Australians who need our help to access justice."
