ASX All Ords stock McMillan Shakespeare Ltd (ASX: MMS) raced out of the blocks on Tuesday after the company posted its FY24 results.
At one point, Mcmillan Shakespeare shares had raced more than 7% into the green to fetch $19.64 apiece.
They have since pulled back from that mark and are currently fetching $17.92 apiece, which is nearly 3% lower on the day.
Let's see what the company posted.
ASX All Ords stock volatile despite strong full-year results
McMillan Shakespeare's FY24 performance highlights include:
- Revenues increased by 11.5% to $525.8 million
- Novated lease sales grew by 23.0%, with EVs making up 41.0% of all new sales
- Statutory net profit surged by 158.5% year over year to $83.5 million
- Normalised earnings per share (EPS) climbed 42.9% to 154.5 cents
- Declared a full-year fully franked dividend of $1.54 per share, up 24.2%
What else happened in FY24?
It was an interesting year for the ASX All Ords stock. Shares traded in a wide range, but the business saw substantial growth.
The company capitalised on Australia's transition to low-emission vehicles, with electric vehicles (EVs) accounting for 43% of new novated lease orders.
This is reportedly more than double the previous year's figures.
Meanwhile, nearly 12% of all new vehicle sales were EVs during the year, and 41% of new novated lease sales (note – sales, not leases as above) were EV, "almost four times the market".
McMillan Shakespeare also introduced a new brand, Oly, aimed at making novated leasing accessible to employees of small and medium-sized businesses. The soft launch of Oly is set to be followed by a broader rollout in FY25.
In the asset management services (AMS) segment, the easing of "vehicle supply constraints" led to a 16% increase in net financing and a 5% growth in assets.
Meanwhile, numbers were 10% higher in its plan and support services (PSS) segment, which serves participants of the national disability insurance scheme (NDIS).
It also declared a dividend of $1.54 per share, up 24% from last year. This could impact the ASX All Ords stock.
What did management say?
McMillan Shakespeare's CEO and Managing Director, Rob De Luca, expressed satisfaction with the company's achievements:
We're pleased to have achieved another strong year for MMS with organic growth across all segments. Not only have we delivered growth across our financial and operating metrics but, importantly, continued to deliver on our strategy and help more working Australians during a difficult year. As many Australians feel the cost-of-living pressures, we're proud to support our customers maximise their take home pay through our salary packaging and novated leasing offering.
What's next?
Looking ahead, McMillan Shakespeare plans to continue focusing on delivering sustainable growth in innovative leasing and salary packaging.
The new Oly brand will also have its launch in FY25.
CEO De Luca said the company was intent on helping customers make the transition over to EVs.
With cost-of-living pressures expected to continue in FY25 and as a wider range of brands and EV models enter our market in the months ahead, we're looking forward to helping more Australians make the switch to lower and zero emission vehicles including through our new Oly brand.
ASX All Ords stock snapshot
This ASX All Ords stock has been thrown around on Tuesday after its FY24 results.
In the last 12 months, it is up 7%.
