The ASX reporting wrap-up: Challenger, Megaport, James Hardie

Just what the investor ordered. Here’s a recap of the companies that reported today…

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Tuesday has drawn to a close… it’s the second day of the week and the market is alight with ASX shares reporting earnings. Markets reacted with cheer to today’s big-name results with an acquisition announcement thrown into the mix.

We’ll quickly unpack today’s results and then wrap it back up for tomorrow:

Those that delivered today

Challenger Ltd (ASX: CGF)

Shares in the investment management company increased 1.9% to $5.89. This followed the release of the company’s FY21 results and the announcements of the CEO’s retirement.

The takeaway points:

  • Net income down 14% to $682 million.
  • Normalised net profit after tax down 19% to $279 million.
  • Group assets under management (AUM) up 29% to $110.0 billion.
  • Fully franked, full-year dividend of 20.0 cents per share, up 2.5 cents per share on FY2020.
  • Managing Director and CEO Richard Howes to step down in March 2022

Megaport Ltd (ASX: MP1)

The Megaport share price gained 3.05%, putting it at $17.90 by the close of the ASX today. The move followed the interconnection services company reporting its strong full-year results to the ASX. Additionally, Megaport also announced the acquisition of an AI-powered multi-cloud company known as InnovoEdge.

The takeaway points:

  • Revenue increased 35% year on year to $78.28 million.
  • Monthly recurring revenue (MRR) jumped 32% to $7.5 million (annualises to $90 million)
  • Customers increased 443, or 24%, to 2,285
  • Ports grew 1,922, or 33%, to 7,689
  • Average revenue per port down $2 to $978
  • Net loss of $55 million but cash position of $136.3 million
  • US$15 million acquisition of InnovoEdge

James Hardie Industries PLC (ASX: JHX)

Lastly, shares in James Hardie jumped 2.9% to $49.32 today. At one point, the ASX-listed materials manufacturer surpassed the $50 barrier, setting a record high. The price appreciation followed a solid first-quarter result.

The takeaway points:

  • Sales up 35% over the prior corresponding period to US$843.3 million
  • Adjusted earnings before interest and tax (EBIT) jumped 45% to $180.5 million
  • Net income up 50% to US$134.2 million
  • Operating cash flow down 3% to US$184.1 million
  • Full year net income guidance upgraded

ASX shares reporting tomorrow

Wednesday is set to be a big one with a few more results to be reported by ASX-listed companies. These include Commonwealth Bank of Australia (ASX: CBA), Insurance Australia Group Ltd (ASX: IAG), and Mineral Resources Ltd (ASX: MIN).

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Motley Fool contributor Mitchell Lawler owns shares of Commonwealth Bank of Australia. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended MEGAPORT FPO. The Motley Fool Australia owns shares of and has recommended Challenger Limited and Insurance Australia Group Limited. The Motley Fool Australia has recommended MEGAPORT FPO. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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