The WiseTech Global Ltd (ASX: WTC) share price is lifting off today.
Shares in the S&P/ASX 200 Index (ASX: XJO) tech stock closed yesterday trading for $94.38. In morning trade on Wednesday, shares are changing hands for $110.25 apiece, up 16.8%.
For some context, the ASX 200 is down 0.2% at this same time.
This outperformance comes after WiseTech, a leading software as a service (SaaS) provider for the global logistics industry, released its financial results for the twelve months ended 30 June (FY 2024).
Here are the highlights.
WiseTech share price soars alongside profits
- Total revenue of $1.04 billion, up 28% year on year
- Earnings before interest, taxes, depreciation and amortisation (EBITDA) of $496 million, up 28% on FY 2023
- Underlying net profit after tax (NPAT) of $284 million, up 15% year on year
- Final fully franked dividend of 9.2 cents per share, up 10% from the prior final dividend
What else happened during FY 2024?
The WiseTech share price is lifting off today, with revenue for the company's core CargoWise platform increasing 33% from FY 2023 to $880 million.
The improvement was driven by both M&A activity as well as customer growth, with WiseTech achieving new Large Global Freight Forwarder (LGFF) wins. These include Sinotrans, APL Logistics, Yamato Transport, TIBA Tech and Grupo TLA Logistics. Nippon Express was secured post financial year-end.
FY 2024 also saw the ASX 200 tech stock announce three new "breakthrough" product releases for FY 2025: CargoWise Next, Container Transport Optimization and ComplianceWise. The company intends to commence the rollout in 1H25.
Turning to other key financial metrics, free cash flow of $333 million was up 14% on FY 2023. And the final 9.2 cents per share dividend represents a payout ratio of 20% of underlying NPAT.
WiseTech ended the financial year with total liquidity of more than $500 million from cash and undrawn debt facilities.
What did management say?
Commenting on the results boosting the WiseTech share price today, CEO Richard White said, "EBITDA came in above our guidance range and EBITDA margin was 50% in the fourth quarter, over a full year ahead of expectations."
White added:
CargoWise's strong momentum continued throughout the year with the addition of TIBA Tech and Grupo TLA Logistics, as new Large Global Freight Forwarder rollouts, as well as the post year-end signing of Nippon Express, a Top 10 global freight forwarder and Japan's largest, taking us to 52 large global rollouts, and more than 50% of the Top 25, with the opportunity pipeline across the world's major economies strengthening.
Importantly, our three breakthrough product releases CargoWise Next, Container Transport Optimization and ComplianceWise, will present a step change in our product capabilities, growth and value to customers.
What's next for WiseTech?
Looking at what could impact the WiseTech share price in the year ahead, the company forecasts FY 2025 revenue of $1.30 billion to $1.35 billion, representing revenue growth of 25% to 30%.
EBITDA guidance for FY 2025 is $660 million to $700 million, representing EBITDA growth of 33% to 41%.
WiseTech's full-year EBITDA margin is expected to be 51% to 52%.
WiseTech share price snapshot
With today's intraday gains factored in, the WiseTech share price is up 31% over 12 months.
