Earnings season is heating up on Tuesday with a large number of releases hitting the wires.
Two ASX 200 shares that have reported and revealed strong dividend growth are listed below. Here's what they announced:
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Breville Group Ltd (ASX: BRG)
The Breville share price is down 2.5% to $36.78 despite the appliance manufacturer reporting a 10.1% increase in revenue to $997.5 million.
Management advised that this reflects double-digit revenue growth in all three Theatres, led by strong Coffee category growth.
Breville's CEO, Jim Clayton, said:
All three Theatres achieved double-digit Global Product segment revenue growth in constant currency, underpinned by double-digit growth in Coffee. Cooking, globally, was in high single digit growth with Food Preparation in a small single digit decline.
The strength of our new product launches, expansion into new markets and the continuing coffee tailwind supported this growth as consumers remained loyal to trusted brands during the headwinds of ongoing cost-of-living pressures.
On the bottom line, the ASX 200 share revealed a 16.1% increase in net profit after tax to $97.5 million. This allowed the Breville board to boost its fully franked interim dividend by 12.5% to 18 cents per share.
Looking ahead, management warned that "macroeconomic uncertainties are expected to continue swirling in the second half." As a result, it is cautiously guiding to FY 2025 EBIT growth of between 5% to 10%.
SGH Ltd (ASX: SGH)
The SGH share price is up 9% to a record high of $52.97.
This morning, the diversified investment company, better known as Seven Group Holdings, released its half year results and reported a 2% increase in revenue to $5.5 billion and a 10% lift in EBIT to $843 million.
The ASX 200 share's managing director and CEO, Ryan Stokes, said:
We are pleased to deliver a strong half-year earnings result with EBIT growth of 10%. The result was driven by our disciplined focus on customer service, execution and operating leverage, ultimately delivering overall revenue, margin and earnings growth in the period.
A key driver of its growth was the addition of the Boral business, which reported a 29% lift in EBIT to $259 million. Stokes explains:
SGH completed the acquisition of Boral early in the half, and I am particularly pleased with their continued progress on the performance journey to achieve mid-teen EBIT margins. We remain excited about the opportunities we have long identified for further improvement at Boral. We also welcomed a significant number of former Boral shareholders to continue participating in long term-value creation as SGH shareholders.
This ultimately allowed the SGH board to increase its fully franked interim dividend by 30% to 30 cents per share.
Looking to the full year, management advised that it continues to expect "high single-digit EBIT growth in FY25."
