A well-known ASX All Ords stock is setting the bar high today.
In early afternoon trade on Wednesday, the All Ordinaries Index (ASX: XAO) is up a very healthy 1.52%.
But this ASX All Ords stock just leapt 6.8%.
Any guesses?
If you said Seek Ltd (ASX: SEK), go to the head of the virtual class.
Shares in Seek, which owns and operates Australia's leading online job advertising website, closed yesterday trading for $21.99 each. In earlier trade today, Seek shares were swapping hands for $23.49 apiece.
After some likely profit-taking, the Seek share price is currently $23.24, up 5.68%.
Here's what's happening.
Image source: Getty Images
What's boosting the ASX All Ords stock today?
Atop the broader market rally, the Seek share price looks to be getting a big boost from the company's trading update and FY 2024 guidance, reported at today's annual general meeting.
Management also reviewed Seek's FY 2023 financial results.
That included a 10% year-on-year increase in revenue to $1.23 billion, while earnings before interest, taxes, depreciation and amortisation (EBITDA) increased by 7% to $546 million. The company credited higher yields for much of that lift.
And despite a 1% decline in adjusted net profit after tax (NPAT) to $255 million, the ASX All Ords stock boosted its FY 2023 dividend payout by 7% to 47 cents per share, fully franked.
Looking ahead, management said the company is on track to meet its FY 2024 guidance, which remains unchanged and largely in line with FY 2023 metrics.
Seek is forecasting full-year revenue in the range of $1.18 billion to $1.26 billion and EBITDA in the range of $520 million to $560 million. The company expects to achieve an adjusted NPAT of $220 million to $260 million.
The ASX All Ords stock noted that yield growth is offsetting the moderation in job ad volumes in Australia and New Zealand, and most Asian markets where it operates. It also cited a net benefit from favourable foreign currency exchange movements.
On the cost front, Seek expects its platform unification to be completed in FY 2024, with incremental costs now down more than 50% since the monthly peak in FY 2023.
Management noted "significant growth potential" for the company moving forward.
Seek share price snapshot
With today's intraday boost factored in, the ASX All Ords stock is now up 14% in 2023.
