The S&P/ASX 200 Index (ASX: XJO) ran out of steam last week and tumbled lower. The benchmark index dropped 0.6% to end at 6,806.7 points.
While a good number of shares dropped with the market, a few recorded particularly severe declines. Here’s why these were the worst performing ASX 200 shares last week:
CIMIC Group Ltd (ASX: CIM)
The CIMIC share price was the worst performer on the ASX 200 last week with a 20.7% decline. The contractor’s shares crashed lower following the release of its full year results for FY 2020. While CIMIC reported a jump in profits, this growth was driven purely by the sale of a 50% stake in the Thiess business. Excluding this sale, CIMIC’s underlying profit fell 25% year on year. Another cause for concern was the company’s weak cash flows.
AMP Ltd (ASX: AMP)
The AMP share price wasn’t far behind with a disappointing 16.2% decline over the five days. Investors were selling the financial services company’s shares following the release of its full year results. For the 12 months ended 31 December, AMP reported an underlying net profit after tax of $295 million. This was down a disappointing 33% on the prior corresponding period. Management advised that the result reflects the impacts of COVID-19 on its clients, its business, and the broader economy and financial markets.
Challenger Ltd (ASX: CGF)
The Challenger share price was out of form last week and dropped 12.9%. The catalyst for this was the release of the annuities company’s half year results. For the first half of FY 2021, Challenger reported a 12% increase in annuity sales to $2.2 billion and a 10% lift in total life sales to $3.4 billion. However, despite the sales growth, normalised net profit after tax was down 10% to $137 million. According to CommSec, the market was expecting a net profit after tax of $182 million.
Bravura Solutions Ltd (ASX: BVS)
The Bravura share price was a poor performer and fell 11.9% over the five days. This was despite there being no news out of the financial technology company. Possibly weighing on its shares was a note out of Goldman Sachs. Although the broker has retained its buy rating on its shares, it has reduced its price target by 6.7% to $4.20. The Bravura share price ended the week at $2.82.