The S&P/ASX 200 Index (ASX: XJO) is down 0.9% today, but don't blame this surging ASX 200 stock.
The outperforming company in question is online property exchange network operator PEXA Group Ltd (ASX: PXA).
PEXA shares closed yesterday trading for $11.39. In earlier trade, shares leapt to $12.68, up 11.3% After some likely profit-taking, shares are currently changing hands for $12.32 apiece, up 8.2%.
This follows the release of PEXA's half-year results for the six months to 31 December (H1 FY 2025).
Here's what's spurring investor interest in the ASX 200 stock.
PEXA share price lifts alongside revenues
- Statutory revenue of $202.5 million, up 25% year on year
- Operating earnings before interest, taxes, depreciation and amortisation (EBITDA) of $73.2 million, up 25% from H1 FY 2024
- Statutory net loss after tax increased to $32.7 million from a loss of $4.6 million in H1 FY 2024
- Underlying net loss after tax increased to $13.2 million from a profit of $15 million
- Free cash flow of $27.9 million, up 82% year on year
What else did the ASX 200 stock report?
The ASX 200 stock is surging today despite the big profit hit over the half year.
That's likely because this was already baked into the price, with PEXA foreshadowing these expectations on 6 February. Management noted half-year profits were impacted by "the non-cash minority interest impairment arising from adverse conditions and changing market priorities, and de-recognition of certain deferred tax assets".
The company said the solid performance of its PEXA Exchange segment over the half was supported by strong customer satisfaction, market growth, share and transaction mix improvement, and inflation-linked repricing.
Its Digital Solutions branch achieved breakeven earnings, with the company pointing to demand from existing and new customers as driving revenue growth.
And in its International arm, the ASX 200 stock said that its platform development remains on schedule, with the company initially focusing on the United Kingdom.
Likely giving the stock an added boost today, PEXA announced its intention to undertake an on-market share buyback of up to $50 million.
What did management say?
Commenting on the results boosting the ASX 200 stock in today's sinking market, PEXA's outgoing CEO Glenn King said:
The group's strategic position and operating performance improved during the half, with all businesses contributing.
Although statutory profits were impacted by non-cash charges, underlying cash generation grew, supporting a stronger balance sheet. Pleasingly, this means we can return up to $50 million to our shareholders via the on-market buyback announced today.
What's next for the ASX 200 stock?
Looking at what could impact the ASX 200 stock in the months ahead, PEXA reconfirmed its revised guidance for FY 2025.
That includes year on year business revenue growth of 13% to 19%. The full-year EBITDA margin is forecast to be around 34%, down from 35.9% reported in the first half.
A priority for the second half remains the successful transition of a new CEO.
