Janison Education Group Ltd (ASX: JAN)

Janison is a provider of online assessment platforms and digital exams, including the national standardised NAPLAN and competitive ICAS tests. It also delivers the NSW Selective High School and Opportunity Class placement tests on a 5-year state government contract, secured in 2024.

It's a small-cap stock trading around $0.21. In December, it attracted some investor interest, hitting a 12-month high, on the back of announcing a significant contract with the NZ Ministry of Education. The 5-year deal will see Janison deliver New Zealand's new SMART online assessment tool to schools, at a value of $21 million.

In FY25, it did not reach profitability. However, it reported some positive indicators, including:

• 9% revenue growth over the prior corresponding period to $46.8 million
• Solid balance sheet with $11 million cash on hand and a 44% increase in operational cash flow
• EBIT improvement from $10.6 million loss to $7 million loss

The assessment market remains ripe for digitisation, and Janison has a track record of securing major contracts in the space. Based on its 2025 results, it's a bit of a speculative play right now. That said, I think it has real potential for growth in 2026, so it's going on my watchlist.  

G8 Education Ltd (ASX: GEM)

G8 is Australia's largest provider of childcare, running over 400 centres nationwide. Amidst challenging conditions for the sector, the company has been rolling out its 'network optimisation' strategy, which includes divesting underperforming centres, to improve operational efficiency and financial performance.

While its centres have seen an uptick in quality, with 96% of assessed centres meeting or exceeding the National Quality Standard as at HY25, occupancy rates have continued a downward trend.

In HY25, centre occupancy rates declined 3.7 percentage points on the prior corresponding period, most likely driven by cost-of-living pressures. In addition, expectations of a seasonal occupancy uplift in October 2025 were not realised.

On 10 February 2026, the company released an announcement regarding a goodwill non-cash impairment of $350 million to be recognised in its full-year results, as well as the suspension of its final dividend for the year. In the same announcement, G8 reported that EBIT guidance for CY25 has not changed, suggesting management believes fundamental operations remain steady.  

Its share price tumbled in the ensuing week, falling from $0.63 on 9 February to $0.48 on 16 February. It will be interesting to see what it reports in its full-year results, to be announced next Monday.

As it stands, this one is a little too risky for me. But if you're comfortable with a turnaround play and believe it can withstand significant headwinds, it may be cheap right now.   

IDP Education Ltd (ASX: IEL)

IDP Education is a leader in the international student market and co-owner and official provider of the IELTS English proficiency test.

IDP also delivers a range of international student services, from course advice to visa and accommodation support, to help students secure educational opportunities in Australia, Canada, Ireland, New Zealand, the UK, and the USA.

In FY25, IDP reported revenue of $888.2 million, a 14% year-on-year decline and a 29% decrease in student placements, likely driven by the tightening of policy in key markets, Australia and Canada.

The Australian Government initially proposed a hard international student cap of 270,000 for 2025, seeking to cut numbers by some 16% on 2023 figures. This was later replaced with a soft cap system, whereby educational institutions face penalties if they exceed allocations.

In Canada, the government plans to issue 408,000 study permits in 2026, with only 155,000 for newly arriving international students and the remainder for current and returning students. This represents a 7% drop from 2025 and a 16% drop from 2024.

Investors have naturally been cautious in this landscape, and IDP's share price has fallen some 60% in the past year. But IDP has shown operational resilience and disciplined cost management in challenging conditions.

It has a solid multi-year strategic transformation plan in progress, and I think this is a business that can bounce back. If you're comfortable with the prospect of continuing short-term volatility, I believe current prices present an attractive opportunity to invest in a quality business.

The post School's in: Are these ASX education shares making the grade? appeared first on The Motley Fool Australia.

The company said it had struck a five-year national contract with the New Zealand Ministry of Education to deliver the Student Monitoring, Assessment and Reporting Tool (SMART), for which the company would be paid about $21 million.

As Janison said in a statement to the ASX:

This assignment is a major national initiative, supporting twice-yearly assessments for students in Years 3 to 10 across reading, writing, maths, pānui, tuhituhi and pāngarau. SMART will play a central role in New Zealand's assessment … reporting and monitoring activity, delivering a bilingual approach to understanding student learning progress across Aotearoa. Work on the assignment commenced via a bridging contract in July 2025 and will continue under the newly executed five-year agreement. The world-class bilingual SMART will be delivered using Janison's secure and scalable online assessment platform, providing a long-term digital foundation for national assessment in New Zealand.

The $21 million would be the minimum contract revenues over the period, the company said, with year one revenue estimated at $3 million.

Validation of company's technology

Janison Chief Executive Officer Sujata Stead said that it was a great milestone for the company.

This agreement represents one of Janison's most significant international wins, demonstrating the relevance and scalability of our solutions beyond Australia. We're proud Janison has been selected to partner with the New Zealand Ministry of Education on such an important national initiative, and we look forward to supporting the Ministry in delivering a secure, scalable and culturally responsive assessment experience for learners across Aotearoa.

Janison shares were trading 16.7% higher on Thursday morning at 28 cents – a new 12-month high for the shares.

The share price has more than doubled from lows over the past 12 months of 13.7 cents.

In November, the company also announced a three-year contract, which was worth $719,000, with the Victorian Building and Plumbing Commission to deliver a digital assessment platform for building and plumbing accreditation applicants.

The company said that while the contract win was not material to the company, it validated its product suite for use in high-stakes testing.

Janison in August reported full-year revenue for FY25 of $47 million, up 9% over the previous corresponding period, and a net loss of $11.3 million, up from a loss of $8.1 million the previous year.

Janison was valued at $62.4 million at the close of trade on Wednesday.  

The post Shares in this small-cap education company have hit a fresh 12-month high on a lucrative contract win appeared first on The Motley Fool Australia.

The ratings on CommSec are based on the consensus view of analysts covering the stock.

Let's take a look at a few who were elevated to a strong buy call.

7 ASX All Ords upgraded to a strong buy rating in March

South32 Limited (ASX: S32)

South32 shares were upgraded to strong buy on 8 March.

Today the South32 share price is $3.05, up 1.5%.

Morgans has an add rating and a 12-month share price target of $4.10 on the ASX All Ords mining share. This implies a potential upside of 34% for investors.

Morgans says:

S32 has transformed its portfolio by divesting South African thermal coal and acquiring an interest in Chile copper, substantially boosting group earnings quality, as well as S32's risk and ESG profile.

Qantas Airways Limited (ASX: QAN)

The consensus analyst rating on Qantas shares changed to a strong buy on 7 March.

The ASX All Ords travel share is currently trading at $5.49, up 0.79%.

Goldman Sachs reckons it can go a lot higher than this. The broker has a 12-month share price target of $8.05 on Qantas. This implies a potential upside of 46%.

In a note, the broker said the company's 1H FY24 earnings provided "another proof point on reset earnings capacity".

Johns Lyng Group Limited (ASX: JLG)

Johns Lyng shares were upgraded to a strong buy on 5 March.

The Johns Lyng share price is currently $6.19, down 3.5%. My colleague Tristan has been buying the stock after seeing the company's FY24 first-half results.

According to CommSec, Johns Lyng is delivering superior earnings growth:

Over the last 3 years, earnings growth has averaged 24.84% annually at JLG. This is better than the industry average growth of 2.15%. For fiscal years 2024 and 2025, analysts are estimating that average annualized growth will be weaker than during the last 3 years.

Clinuvel Pharmaceuticals Limited (ASX: CUV)

The consensus analyst rating on Clinuvel Pharmaceuticals shares changed to strong buy on 15 March.

The ASX All Ords share is currently changing hands for $15.21, up 5.9%. Morgans has an add rating and a $22 share price target on the stock.

The company itself reckons it's going for cheap, too, and announced a share buyback in mid-March. Clinuvel is aiming to buy back up to 1.5 million shares over the next 12 months.

Management said the recent share price decline had taken the stock to a market valuation that was "no longer commensurate with the performance and expected outlook for the company".

MMA Offshore Limited (ASX: MRM)

The consensus analyst rating on MMA Offshore shares changed to a strong buy on 28 March.

The share price of the ASX All Ords marine services provider is currently steady at $2.61.

MMA reported one of the biggest profit jumps of the last earnings season with a 339% rise in underlying net profit after tax (NPAT) to $39.5 million in 1H FY24.

Last week the ASX All Ords share rocketed 10% on a $985 million cash bid from Cyan MMA Holdings.

Janison Education Group Limited (ASX: JAN)

The consensus analyst rating on Janison Education shares changed to a strong buy on 15 March.

Shares in the ASX All Ords education technology provider are currently trading at 29 cents, down 3.33%.

According to CommSec, Janison's earnings growth is well ahead:

Over the last 3 years, earnings growth has averaged 55.13% annually at JAN. This is better than the industry average growth of -1.26%. For fiscal years 2024 and 2025, analysts are estimating that average annualized growth will be weaker than during the last 3 years.

Ventia Services Group Limited (ASX: VNT)

The consensus analyst rating on Ventia shares changed to a strong buy on 5 March.

Shares in the ASX All Ords infrastructure maintenance services provider are currently $3.88, up 0.78%.

Ventia delivered a strong set of FY23 results, including a 12.5% increase in net profit after tax and amortisation (NPATA) to $202 million. It's now guiding 7% to 10% growth in NPATA for FY24.

According to CommSec, the company's earnings growth is notable:

Over the last 3 years, earnings growth has averaged 30.50% annually at VNT. This is better than the industry average growth of 2.15%. For fiscal years 2024 and 2025, analysts are estimating that average annualized growth will be weaker than during the last 3 years.

The post 7 ASX All Ords shares elevated to 'strong buy' status in March appeared first on The Motley Fool Australia.

Four ASX shares that have failed to follow the market's lead are listed below. Here's why they are falling:

CSR Ltd (ASX: CSR)

The CSR share price is down 5% to $6.52. Investors have been selling this building products company's shares after it was downgraded by analysts at UBS. The broker has downgraded CSR's shares all the way from a buy to a sell with a $6.60 price target. It believes the risks are to the downside now following a strong gain over the last 12 months.

Janison Education Group Ltd (ASX: JAN)

The Janison share price is down 6.5% to 35 cents. This may have been driven by profit taking from some investors. After all, the education technology company's shares jumped 47% on Tuesday in response to a major contract win from the NSW Department of Education and Cambridge University Press.

Myer Holdings Ltd (ASX: MYR)

The Myer share price is down 4.5% to 72.5 cents. This also could have been caused by profit taking from some investors. The department store operator's shares jumped on Tuesday after delivering a better than feared trading update. This morning, Ord Minnett responded by retaining its hold rating and 75 cents price target.

Santos Ltd (ASX: STO)

The Santos share price is down 6% to $7.37. Investors have been hitting the sell button today after takeover talks with Woodside Energy Group Ltd (ASX: WDS) concluded without a deal. Woodside's CEO, Meg O'Neill, advised that for every opportunity it assesses, it conducts thorough due diligence, and will only pursue a transaction that is value accretive for its shareholders. Santos doesn't appear to have ticked this box.

The post Why CSR, Janison, Myer, and Santos shares are tumbling today appeared first on The Motley Fool Australia.

Four ASX shares that are not letting that hold them back are listed below. Here's why they are rising:

Inghams Group Ltd (ASX: ING)

The Inghams share price is up 4% to $4.49. This appears to have been driven by a broker note out of Bell Potter this morning. According to the note, the broker has upgraded this poultry producer's shares to a buy rating with a $4.90 price target. It said: "Feed cost deflation looks likely to become a tailwind in FY25e based on recent crop price movements and improved 2023-24 winter cropping prospects."

Janison Education Group Ltd (ASX: JAN)

The Janison share price is up 48% to 38.5 cents. Investors have been buying this education technology company's shares after it announced an agreement with the New South Wales Department of Education and Cambridge University Press & Assessment. Management expects the agreement to generate revenue of up to $45 million over the initial five-year term.

Myer Holdings Ltd (ASX: MYR)

The Myer share price is up 13.5% to 75.5 cents. This has been driven by the release of a trading update from the department store operator. Myer advised that total sales for the first half of FY 2024 are expected to be down 3% on the prior corresponding period to $1,829.1 million. In addition, net profit after tax is expected to be $49 million to $53 million. While this will be down from $65 million, it appears to be better than feared.

Nick Scali Limited (ASX: NCK)

The Nick Scali share price is up almost 18% to $14.13. This follows the release of the furniture retailer's half year results. Nick Scali reported a 20% decline in revenue to $226.6 million and a 29% reduction in net profit after tax to $43 million. The latter was ahead of its guidance.

The post Why Inghams, Janison, Myer, and Nick Scali shares are rising today appeared first on The Motley Fool Australia.

Shares in the ASX education technology company closed yesterday's session at 25.5 cents. At the time of writing on Tuesday morning, shares are swapping hands for 37 cents apiece, up a whopping 42.31%.

In earlier trade today, Janison Education shares reached as high as 42 cents each before a partial retreat.

For some context, the All Ordinaries Index (ASX: XAO) is down 0.71% at this same time.

Here's what's spurring ASX investor interest today.

What did the education technology company announce?

The Janison Education share price is soaring after the company reported it has signed an agreement with the New South Wales Department of Education and Cambridge University Press & Assessment.

The agreement will see Janison deliver New South Wales's selective education placement tests as computer-based tests via its digital assessment platform.

More than 30,000 students a year will take the computer-based tests for NSW's Selective High School and Opportunity Class Placement Tests, commencing in 2025. Janison will provide services, including the placement tests, the computer-based test platform, managing the test centres, and supervision.

Commenting on the agreement sending the Janison Education share price rocketing today, founder and interim managing director Wayne Houlden said, "Janison is delighted to have been selected by the department to host the placement tests and support the digital transformation of testing in NSW."

He added that the new five-year agreement "extends the 20-plus years relationship that Janison and the department have worked together".

The company notes that this is the largest contract signed in its history.

Management expects the agreement to generate revenue of up to $45 million over the initial five-year term, provided all stages are approved. There's also an option for the NSW Department of Education to extend the agreement for another five years.

The company intends to start work on the new platform and services early in 2024. Pilots of the new platform are expected to be completed in 2024, with a full rollout of the digital assessment platform completed in 2025.

Janison Education share price snapshot

With today's big boost, the Janison Education share price is up around 45% in 2024. Shares remain down by around 35% over 12 months.

The post Why is the Janison Education share price rocketing 42% on Tuesday? appeared first on The Motley Fool Australia.

The ASX 200 closed the session on Friday at 6,900.7 points.

Let's look at which sectors were the best and worst performers this week.

Energy led the ASX sectors this week

According to CommSec data, this week's only riser among the market sectors was energy, with the S&P/ASX 200 Energy Index (ASX: XEJ) ascending 2.67%.

There was a lot of exciting news in the energy sector this week.

ASX 200 energy shares got a positive start to the week on the back of rising oil prices. The WTI crude oil price rose by 3.4% this week to US$89.21 a barrel late on Friday. The Brent crude oil price increased by 2.54% to US$93.10 a barrel. These are the highest oil prices we've seen since November 2022.

Of course, this is being driven by the worst of reasons — a new war in the Middle East, which may cause new ructions in the global oil supply chain.

Global energy strategist at Rabobank, Joe DeLaura, said "we're headed to $100 [a barrel] no matter what this quarter". AMP chief economist Dr Shane Oliver says oil prices could go above $US150 if Iran gets involved in backing Hamas and Israel attacks them in return.

In other big sector news, Whitehaven announced the $5 billion acquisition of the Daunia and Blackwater metallurgical coal mines owned by BHP Group Ltd (ASX: BHP). The following day, a major investor offloaded $157.5 million worth of shares. Whitehaven shares rose by 10.1% to $7.54 over the week.

Origin Energy Ltd (ASX: ORG) set a date for shareholders to vote on its takeover next month. Origin shares lost 1.18% over the past five days to close on Friday at $9.19. The Origin share price is now higher than the takeover price, which company chair Scott Perkins discussed at the AGM on Wednesday.

Santos Ltd (ASX: STO) reported quarterly results, and its shares gained 3.95% this week. Woodside Energy Group Ltd (ASX: WDS) also reported quarterly numbers, and its shares rose 1.1% this week.

Beach Energy Ltd (ASX: BPT) announced a new gas discovery, and its share price gained 1.9% over the week.

The biggest faller of the market sectors this week was information technology, with the S&P/ASX 200 Information Technology Index (ASX: XIJ) falling 5.07%.

Among the worst hit was Janison Education Group Ltd (ASX: JAN). The stock tanked 36% this week after the bombshell announcement that the CEO and chair were leaving immediately. On top of that, Janison announced a 10% decline in EBITDA in 1Q FY24. Janison Education shares closed on Friday at 25 cents.

ASX 200 market sector snapshot

Here's how the 11 market sectors stacked up this week.

Over the past five days:

The post Here's how the ASX 200 market sectors stacked up this week appeared first on The Motley Fool Australia.

In late trade, the education technology company's shares are down 24% to 29.2 cents.

Why are Janison Education shares being sold off?

Investors have been selling the company's shares today in response to a couple of key announcements that were released after the market close yesterday.

The first was the surprise bombshell announcement that Janison's CEO and Chair are stepping down from their roles with immediate effect. Outgoing Chair Michael Hill, who will remain on the board, commented:

Today, as part of our succession process, Janison announces the transition of CEO and Managing Director, David Caspari, and myself (Michael Hill) as the Chair with the appointment of Independent Non-Executive Director, Kathleen Bailey-Lord as Janison's new Chair.

During the transition period, Janison's founder, Wayne Houlden, will step into the business and support the management team.

What else was announced?

Also potentially weighing on Janison Education's shares was an update on the company's performance during the first quarter. Although the company delivered top-line growth, it wasn't the same story for its earnings.

According to the release, Janison reported a 5% lift in first-quarter revenue over the prior corresponding period to $13.5 million. This reflects strong growth in Janison Solutions and acquired businesses in the Janison Assessments segment.

However, a 10% increase in operating expenditures meant that its earnings before interest, tax, depreciation, and amortisation (EBITDA) fell 10% during the quarter to $1.9 million.

At the end of the period, the company had a cash balance of $7.8 million.

Commenting on the quarter, management said:

Management is pleased with the revenue growth across all core lines of the business in 1Q24 with the exception of ICAS. Management remain confident for the medium to long-term prospect of ICAS with initiatives such as the University of Sydney partnership and expanding international interest opening new opportunities.

Outlook

Looking ahead, management highlights that the global education sector is "finally returning to normal, post the profound impact of COVID – and looking to growth, presenting significant opportunities for Janison."

And while no guidance was provided with this update, the company intends to do so once it has learned the "outcome of a strong pipeline of strategic Solutions deals [that are] expected to be announced Q2/Q3 FY24."

In the meantime, it will continue to implement strategy and operating plans that drive core business performance over the course of FY 2024.

The post Why are Janison Education shares plummeting 24% today? appeared first on The Motley Fool Australia.

That's because they have been rated as buys and tipped to climb meaningfully from current levels. Here's what analysts are saying about them:

Janison Education Group Ltd (ASX: JAN)

Bell Potter is feeling positive about Janison and believes it is a small-cap ASX share to buy now. It operates in the online enterprise learning and digital assessment segments of the education technology sector.

The broker has been pleased with the company's transition towards providing standardised SaaS platforms. It commented:

JAN has continued to transition away from developing bespoke assessment software for large enterprises and towards providing standardised SaaS platforms, assessment content and delivering high-stakes, high-volume digital exams. As a result, the company has gained scale benefits from an improved customer and product mix and higher-margin, recurring contractual revenues. [..] We believe JAN remains well equipped to provide any digital infrastructure catch-up needed to facilitate a hybrid learning environment.

Bell Potter has a buy rating and 65 cents price target. This implies a potential upside of over 60% for investors.

Readytech Holdings Ltd (ASX: RDY)

Another small-cap ASX share that could be a buy is Readytech. Goldman Sachs is a fan of the provider of mission-critical software-as-a-service (SaaS) solutions for the education, workforce management, government and justice sectors.

The broker notes that these are defensive markets, which bodes well for the company in the tough economic environment. It also feels its shares are undervalued given its positive outlook. It said:

RDY appears to be making solid progress on its strategy to move upmarket and win larger deals contemporaneously with margin expansion, as evidenced by its solid FY24 guidance, however the market may await further proof points until fully crediting RDY with a multiple commensurate to its growth outlook and quality of underlying assets. The company continues to screen undervalued compared to ASX Software peers, trading at ~10x FY24 EV/EBITDA against a mid-to-high teens organic EBITDA growth outlook.

Goldman Sachs has a buy rating and a $4.50 price target on its shares. This suggests a potential upside of 24% from current levels.

The post Very big rewards could be on offer from these small cap ASX shares appeared first on The Motley Fool Australia.

After all, the potential returns on offer from small-cap ASX shares can really give a portfolio a boost.

But which small-cap ASX shares could be worth considering? Two that analysts rate as buys are listed below. Here's what you need to know about them:

Data#3 Limited (ASX: DTL)

Data#3 is a leading Australian IT services and solutions provider focused on helping its customers solve complex business challenges through the use of innovative technology solutions.

Goldman Sachs is very positive on the company and sees it as a small-cap ASX share to buy. The broker highlights its backlog of high-margin orders, attractive valuation, and strong long-term growth outlook. Goldman explains:

As the relatively high-margin backlog converts over CY23, and Services revenue growth outpaces Software, we believe that group GP margins can grow in FY23E and into FY24E. […] Valuation is attractive in the context of DTL's position as a leading beneficiary of increased IT spending in Australia across structural growth areas of software, IT services and cloud/networking infrastructure. NTM P/E of 23x compares favourably to a +21% FY22-25E EPS CAGR, particularly when considering DTL's defensive government exposure.

Its analysts have a buy rating and a $9.30 price target on its shares.

Janison Education Group Ltd (ASX: JAN)

Another small-cap ASX share that has been named as a buy is Janison. It operates in the online enterprise learning and digital assessment segments of the education technology sector.

Bell Potter is a fan of the company and has been pleased with a recent shift in its focus. It said:

JAN has continued to transition away from developing bespoke assessment software for large enterprises and towards providing standardised SaaS platforms, assessment content and delivering high-stakes, high-volume digital exams. As a result, the company has gained scale benefits from an improved customer and product mix and higher-margin, recurring contractual revenues.

The broker currently has a buy rating and 70 cents price target on its shares.

The post 2 very exciting small cap ASX shares to buy: analysts appeared first on The Motley Fool Australia.

However, a number of ASX All Ords shares are performing materially better on Melbourne Cup Day. Here's why these three shares are off to the races today:

EML Payments Ltd (ASX: EML)

The EML share price has bounced back from a heavy decline on Monday and is up 38% to 56 cents. Investors were selling the payments company's shares yesterday after the company revealed that regulatory action was being taken against the UK operations of its Prepaid Financial Services business.

Janison Education Group Ltd (ASX: JAN)

The Janison share price was up as much as 7.5% to 50 cents this morning before giving back some gains. The education technology company's shares are currently up over 3% to 48 cents at the time of writing. That's despite there being no news out of Janison.

Redbubble Ltd (ASX: RBL)

The Redbubble share price has surged over 13% higher to 58.5 cents. Once again, this is despite there being no news out of the ecommerce company today.

Why are these ASX All Ords shares storming higher?

One potential reason for the strong gains being recorded by these ASX All Ords shares is news that Readytech Holdings Ltd (ASX: RDY) has received a takeover offer this morning.

The enterprise technology company is the latest in a growing list of beaten down tech shares that private equity and larger peers have been running the rule over following heavy declines this year.

So, with EML, Janison, and Redbubble all down materially since the start of the year, some investors may be snapping up their shares today on the belief that they could be next in line to receive an offer.

Time will tell if that is the case.

The post Here are 3 ASX All Ords shares that are off to the races today appeared first on The Motley Fool Australia.

This comes after the educational technology company released its full-year results for the 2022 financial year.

At the time of writing, Janison shares are trading 1.18% lower to 42 cents each. The S&P/ASX 200 Index (ASX: XJO) is also down 0.75% so far today.

Let's check the company's latest results.

Janison share price backtracks as company records widening net loss

Janison delivered its FY 2022 results for the 12 months ended 30 June 2022. Here are some of the key takeaways:

• Total group revenue up 20% to $36.3 million
• Gross margin up 9 percentage points to 64% (gross profit of $23 million)
• Earnings before interest, tax, depreciation, and amortisation (EBITDA) down 37% to $1.9 million
• Net loss after tax up 181% to $9.1 million
• $11.8 million cash on hand

What happened to Janison in FY 2022?

In FY 2022, Janison delivered a sound year with 20% revenue growth year-on-year driven by Janison Solutions and Janison Assessments. Both business units contributed of $23.9 million (+4%) and $12.4 million (+72%), respectively.

Janison also delivered further gains in gross profit of 39% to approximately $23.2 million in FY22. This was underpinned by an enhanced customer mix as well as improved pricing and scale benefits.

Operating costs increased by 56% to roughly $21.4 million. The majority of these costs came from investment in enterprise sales and marketing resources for large enterprise procurement opportunities.

Overall, the company registered a net loss of $9.1 million on the back of depreciation and amortisation expenses. This reflects an increase of 181% from the $3.2 million loss incurred in FY 2021.

What's ahead for Janison in FY 2023?

Looking ahead, Janison expects sales momentum and revenue growth to continue in FY 2023.

The group delivered $1.4 million in positive operating cash flow in FY 2022 and is targeting positive net cash flow this year.

For the first half of FY 2023, income from the International Competitions and Assessments for Schools (ICAS) segment is expected to be 15% higher with around $6.5 million in net revenue.

In addition, two new major platform deals secured in Q4 FY 2022 have an aggregate revenue of $1-2 million annual recurring revenue.

Janison also said that it is well positioned to take advantage of Program for International Student Assessment (PISA) opportunities in the United States and United Kingdom in FY 2023.

The Janison share price is down almost 70% since the start of 2022.

The post Janison share price slides as net loss after tax falls by triple digits appeared first on The Motley Fool Australia.

In morning trade, the education software provider's shares are up 13% to 51 cents.

Why is the Janison share price rocketing higher?

Investors have been bidding the Janison share price higher today following the release of a trading update.

According to the release, the company expects to report revenue of $36 million in FY 2022, which represents a 20% or $6 million increase over the prior corresponding period.

While this was driven by growth across all strategic business units, a key highlight was its Assessments business. It reported a 35% increase in delivered tests to 8.7 million for the year.

Janison's annualised recurring revenue (ARR) continues to grow, albeit at a slower rate. The company's ARR grew 9% or $2 million to $25 million in FY 2022.

And thanks partly to an 8-percentage points improvement in its gross margin to 64%, Janison is expecting to report positive earnings before interest, tax, depreciation and amortisation (EBITDA) for the full year.

Outlook

Looking ahead, management is very positive on its prospects in FY 2023. Particularly given its streamlined operating model, which is expected to deliver material cost savings this year.

Combined with its positive growth outlook thanks partly to its robust pipeline of new assessment platform clients, management expects to be cash flow positive in FY 2023.

The release concludes:

Management remains confident in the medium-long term outlook for digital assessments (products and solutions) and the Company's leading position in the market for powering high volume, highly secure and scalable assessments for schools and accreditation customers.

The impact of COVID over the past two years has increased the market size and rate of digital adoption but has pushed out the timing of customers' willingness to commit to large-scale transformations or deployments due to the extent of disruption in the market and resourcing constraints.

The post Janison share price jumps 13% on FY22 trading update appeared first on The Motley Fool Australia.

Tristan Harrison: Washington H. Soul Pattinson and Co. Ltd (ASX: SOL)

Soul Pattinson is a large investment conglomerate that has been listed on the ASX for more than 100 years. The Soul Pattinson share price has fallen by around 11% since the start of this year, boosting the company's prospective dividend yield.

Soul Patts owns a diverse portfolio of defensive and largely uncorrelated assets including holdings of ASX shares TPG Telecom Ltd (ASX: TPG) and Brickworks Limited (ASX: BKW). Other assets span resources, agriculture, financial services, swimming schools and more.

With a market capitalisation of almost $10 billion, Soul Pattinson has plans to make more long-term investments to continue improving its portfolio. It's looking at areas such as education, global shares, financial services, agriculture, the energy transition, and health and ageing.

The Soul Patts share price closed Monday's session 1.04% higher at $27.31.

Motley Fool contributor Tristan Harrison owns shares of Washington H. Soul Pattinson and Co. Ltd.

Brooke Cooper: Adore Beauty Group Ltd (ASX: ABY)  

Adore Beauty is a pure-play beauty retailer stocking more than 260 brands on its online-only store.  

In October, the company released an update for the first quarter of financial year 2022, stating its active customer count had grown to 874,000. Meanwhile, returning customers had increased 63% compared with the prior consecutive quarter. 

Things haven't been all smooth sailing for investors in the online retailer, however. The Adore Beauty share price has slipped by around 20% since the final close of 2021, ending Monday's session at $3.10.  

So, do these recent falls represent a buying opportunity? Some experts believe so, with brokers Morgans and UBS each having a buy rating and $6 price target on the stock. 

Motley Fool contributor Brooke Cooper does not own shares of Adore Beauty Group Ltd. 

Sebastian Bowen: BetaShares Nasdaq 100 ETF (ASX: NDQ)

This exchange-traded fund (ETF) has been in the wars over recent weeks, falling by around 9% since the start of the year. But this is exactly why it might be worth a look in February.

The Nasdaq (the index tracked by NDQ) has not been known to give investors too many pullbacks in recent years, yet here we are. NDQ houses most of the dominant US tech shares. In it, you'll find everything from Apple and Amazon to Netflix and NVIDIA.

As such, this ETF offers an easy way to gain investment exposure to some of the biggest and most dominant companies in the world.

Motley Fool contributor Sebastian Bowen does not own shares of BetaShares Nasdaq 100 ETF.

Bernd Struben: Janison Education Group Ltd (ASX: JAN)

Janison Education provides technology-based education platforms for students and professionals around the world. The business comprises two primary segments – assessment and learning.

With its roots in Australia, some of Janison's online assessments include the NAPLAN and ICAS tests. The company also generates some 20% of its sales outside of Australia, with a presence in around 120 countries.

The COVID-19 pandemic has served to accelerate the global transition to digital learning and assessment. Despite an easing of lockdown restrictions, this trend could see the changeover from paper-based exams to online platforms continue.

The Janison Education share price is up by more than 100% over the past 12 months, having hit a record closing high of $1.44 on 22 November. Janison shares closed Monday's session at $1.255.

Motley Fool contributor Bernd Struben does not own shares of Janison Education Group Ltd.

Aaron Teboneras: Nearmap Ltd (ASX: NEA) 

After losing almost 14% of their value so far in 2022, Nearmap shares could be on the radar for investors this month. 

The aerial imagery specialist provided a sneak peek of its performance for the FY22 period in mid-December. Management highlighted that annualised contract value (ACV) in North America is expected to exceed that of the company's Australia and New Zealand business for the first time.

In the same update, Nearmap also revealed a guidance range of $150 million to $160 million on a constant currency basis. This represents a potential increase of between 17% and 25% compared with the prior year.

Nearmap is scheduled to report its FY22 first-half results on 16 February. The Nearmap share price closed Monday's session more than 7% higher at $1.34 following a stellar day for ASX tech shares.

Motley Fool contributor Aaron Teboneras owns shares of Nearmap Ltd. 

James Mickleboro: Breville Group Ltd (ASX: BRG)

Breville could be a top option for investors in February. It is the leading appliance manufacturer behind a number of popular brands including Kambrook, Sage and the eponymous Breville brand.

Breville's products are sold in more than 50 countries across the world, with markets being added each year. This global expansion, together with favourable consumer trends and the company's ongoing investment in research and development, has many analysts tipping Breville will grow strongly over the next decade.

One of those is Morgan Stanley. This week, the broker put an overweight rating and $36.00 price target on Breville shares. This represents possible upside of around 26% based on the Breville share price of $28.50 at the close of trade on Monday.

Motley Fool contributor James Mickleboro does not own shares of Breville Group Ltd.

The post Top ASX shares to buy in February 2022 appeared first on The Motley Fool Australia.

Interestingly, often SaaS shares slot into the information technology sector. This is a sector that severely underperformed the S&P/ASX 200 Index (ASX: XJO) in 2021, with tech sliding 2.8% while the broader market rallied 13%. Yet, a number of SaaS companies racked up market-beating returns for their shareholders.

Let's take a look.

ASX SaaS shares giving investors the juiciest rewards last year

Imdex Limited (ASX: IMD)

Shares in ASX-listed Imdex hit a home run last year, with the share price rallying 71% during the year.

The mining equipment and technology company attracted the market's attention with a solid FY21 result. Impressively, the $1.12 billion company increased its revenue by 11.2% to $264.4 million year on year. Additionally, net profits surged 45% to $31.67 million.

While a substantial portion of the company's revenue is comprised of once-off sales and equipment rentals, there is a growing portion of SaaS-based revenue. Between FY17 to FY21, rental and SaaS revenue has increased from 44% to 57% of total revenue.

Readytech Holdings Ltd (ASX: RDY)

Entering the arena of the five best ASX SaaS shares of 2021 is ReadyTech Holdings. This company provides cloud-based software to the education, employment, and government sectors. For shareholders, ReadyTech also provided sizeable returns last year — rising 87% in the 12-month timeframe.

According to its FY21 full year presentation, the education software provider achieved respectable growth during the financial year. For instance, revenue increased 27.4% to $50 million compared to the previous year.

Although, earnings decreased to $2.16 million from $3.94 million. However, it's worth noting ReadyTech acquired Open Office for an upfront price of $54 million during this time.

WiseTech Global Ltd (ASX: WTC)

Making the podium finish is cloud-based logistics software provider, WiseTech Global. In 2021, the company dished out a 90% gain to investors.

WiseTech continued to grow its top line during 2021, a year plagued by supply chain and logistics issues. Perhaps this enabled a more robust trading period for the ASX SaaS share. In FY21, revenue increased 18% to $507 million compared to the prior corresponding period.

Additionally, the sticky nature of the company's software was reflected in its percentage of recurring revenue, at nearly 96%.

Janison Education Group Ltd (ASX: JAN)

Breaking into the 100%-plus return club last year and finding itself as the second best-performing ASX SaaS share is Janison Education. The online school assessments provider experienced a 130% rise in its share price in 2021 — a 10 times better return than the benchmark index.

For those unaware, Janison offers assessment platforms to a wide array of customers including the New South Wales government, NAPLAN, Chartered Accountants, and the University of London — to name a few. It appears shareholders weren't too concerned about the widening losses in FY21. Notably, the company grew revenue by 38% to $30.2 million.

Janison has $80 million to $100 million in revenue on its radar through growing its customer contracts and consolidating the digital assessments industry with its acquisition strategy.

Life360 Inc (ASX: 360)

Taking the top spot as the best ASX SaaS share of 2021 is the high-flying family safety service, Life360. Shares in the company gained an impressive 156% in a busy year.

Investors took a closer look at Life360 after Randi Zuckerberg joined the board of the company. At the time, this was considered a vote of confidence to Wilson Asset Management portfolio manager Tobias Yao.

Since then, the company has gone on to make two acquisitions — Jiobit and Tile. These acquisitions totalled more than $200 million worth of investments in 2021.

The post Sticky revenue winners. Here are the 5 best ASX SaaS shares of 2021 appeared first on The Motley Fool Australia.

At the time of writing, shares in the online assessment and learning solutions provider are swapping hands for $1.08, up 14.89%. The Janison share price had been as high as $1.16 around midday. As a result, the company's shares have now set a new 52-week high.

Education's shift to digital

Investors are sending the Janison Education share price soaring on Wednesday. However, with no announcements out of the company, our eyes turn elsewhere for possible catalysts. One may be an article published by Digital Nation this morning where the Janison CEO talks about the COVID-19 induced digital shift within the education sector.

In the discussion, CEO David Caspari highlights the benefits of the digital transformation for students and teachers. As the fast-tracked movement changes the ways businesses operate, Caspari notes that educational continuity is another area in which digital tools can help.

Considering younger generations have grown up surrounded by technology, the sector is filled with people who are digital naturals. As such, Caspari believes that artificial intelligence could be used to free up time for teachers, resulting in better outcomes for students.

Speaking on the integration of digital solutions in education, Caspari said:

I talk to teachers and it's a 24-hour profession, that is not sustainable and technology can help them. Artificial intelligence and our various other technologies can auto mark, can report and analyse on the assessments, all of these things save time for teachers that can be far better used, helping their students and driving teaching and learning outcomes.

Potentially exciting investors, the CEO also shared his belief that the changes inflicted by the pandemic will stick around. Specifically, he believes a hybrid education model of in-person and online is likely to stay.

Janison share price on the uptrend

Today's positive movement only adds to what has been an incredible past year for the Janison Education share price. Riding the digital adoption trend, the company's shares have catapulted 184% during the past 12 months.

While the company's share price was rallying, so too was its revenue. In its FY21 full-year result, Janison reported a 38% increase in group revenue to $30.2 million. Despite this, it remains to be a loss-making business, losing $3.2 million in FY21.

Based on the current Janison share price, the company holds a market capitalisation of $258 million.

The post Janison Education (ASX:JAN) share price surges 18% as CEO spruiks permanent digital shift appeared first on The Motley Fool Australia.

The index has lost more than 2.8% in the past month, but on Thursday it had a massive gain of almost 1.6%.

Where is the market going? Nobody knows.

If you're bewildered about what to do next, some expert opinions might get you started.

This week 2 experts picked out 2 ASX shares each that they thought were ripe for buying right now.

Judge for yourself whether these 4 suggestions tempt you:

Special dividends and buybacks on the cards for Telstra

Ord Minnett senior investment adviser Tony Paterno is high on Australia's largest telco, Telstra Corporation Ltd (ASX: TLS).

"Management is targeting mid single-digit growth in underlying operating earnings to fiscal year 2025," he told TheBull.com.au.

"It expects increasing earnings to be driven by mobile service revenue growth, improving consumer and small business fixed margins and further cost reductions."

Telstra shares have already gained more than 30% this year. But Paterno is excited about more returns forthcoming to shareholders.

"Expect fully franked dividends to remain at a minimum of 16 cents a share," he said.

"Telstra plans to return any excess cash flow to shareholders – in the absence of merger and acquisition opportunities – via an unfranked special dividend, or further on-market share buybacks."

Aussie Aussie Aussie…

Telstra's considerably smaller rival, Aussie Broadband Ltd (ASX: ABB), is the other ASX share on Paterno's current hit list.

The internet service provider's stock price has risen a stunning 141% this year.

Paterno explained that management has taken advantage, recently raising $114 million through institutional investors and currently conducting a share purchase plan for retail shareholders.

"The war chest of capital is intended to fund one or more acquisitions and to accelerate the company's ambitions in the business market," he said.

"The company has signed a 10-year fibre capacity swap agreement with VicTrack in Victoria. VicTrack's fibre network will provide ABB with a shortcut to a wider distribution footprint in regional Victoria without deploying incremental capital."

Both a COVID beneficiary and post-pandemic growth contender

One of Spotee.com.au chief executive Chris Batchelor's tips is education technology provider Janison Education Group Ltd (ASX: JAN).

"It provides online assessments and e-learning solutions," he said.

"It recently acquired the global rights to 2 exams administered by schools to provide standardised testing across school-aged students."

Janison shares have had a nice run, increasing 146% over the past 12 months to leave it with a market capitalisation of $230 million.

But Batchelor is optimistic there's more to come.

"In our view, Janison is poised to generate significant growth in the years ahead. It also benefits from the pandemic, as education providers require technology-based solutions."

How about an ASX share that'll give you 33% of your money back 

Security services and technology provider Ava Risk Group Ltd (ASX: AVA) was Batchelor's other buy recommendation.

"The company announced the sale of its services business and a capital return to shareholders of 16 cents a share."

Based on the share price of 48 cents after market close on Thursday, that's a 33% return for these ASX shares.

Batchelor disclosed that he personally owns Ava Risk stock.

"The existing technology business was recently trading on an undemanding price-earnings multiple of about 11 times," he said.

"Revenue and other income grew significantly in fiscal year 2021, despite the pandemic. The company's valuation multiples look attractive."

The post 4 ASX shares looking ripe for the picking now appeared first on The Motley Fool Australia.

At the final bell today, Janison shares were up 0.6% to 84.5 cents.

Janison share price climbs after revenue growth of 38%

The Janison share price finished the day in positive territory after the company delivered its FY21 results for the 12 months ending 30 June 2021. Here are some of the highlights:

• Total group revenue of $30.2 million, up 38% on the prior corresponding period (FY20 $21.9 million);
• Gross margin of 55%, up 9 percentage points (FY20 46%);
• Earnings before interest, taxes, depreciation and amortisation (EBITDA) of $3 million, up 21% (FY20 $2.5 million);
• Net loss after tax (NPAT) of $3.2 million, down 49% (FY20 $2.2 million);
• $23 million cash on hand with no debt

What happened to Janison in FY21?

Janison said FY21 has proven to be a successful year operationally, with group revenue expanded through its three main drivers. This includes the PISA for Schools rollout (available in 15 countries, up from 7 in FY20), ICAS growth of $6 million in new revenue, as well as capturing acquisition and expansion opportunities.

The Programme for International Student Assessment (PISA) is an online platform that measures a 15-year-old's ability in mathematics, science, and reading.

Annual recurring revenue (ARR) surged by 117% to $18.3 million, weighted heavily towards new clients and products. 

In addition, the sales mix continued to improve as customers opted for the company's standardised assessment platform. In turn, this led to Janison achieving a more efficient business with higher gross profit margins.

The company also said it is continuing to invest in its core assessment platform to maintain its market-leading position.

What this means for the Janison share price going forward remains to be seen.

What's next for Janison in FY22?

Looking ahead, Janison expects sales momentum and revenue growth to run into FY22. It sees education, and assessments, continuing to be digitised post-COVID-19, further expanding the company's footprint.

The global education technology market is currently worth approximately US$268 billion, and is forecast to rapidly increase.

Janison noted school lockdowns have the potential to delay revenue but also present opportunities, such as its remote exams.

The company however did not provide a sales or profit guidance for FY22.

The post Janison (ASX:JAN) share price up after strong FY21 financial scorecard appeared first on The Motley Fool Australia.

At the time of writing, Janison shares are swapping hands for 79.5 cents, up 4.6%. The company hit a multi-year high of 81 cents in mid-April and has been teetering ever since.

What did Janison announce?

Investors are closing in on new territory, as Janison shares push higher following its latest release.

In its announcement, Janison advised that it has been accredited by the OECD as the sole provider for the PISA for Schools assessment in the United Kingdom. This also includes Scotland, Wales, and Northern Ireland.

Janison's coverage as the national service provider of PISA for School has now expanded to 6 countries. Australia and the United States signed on to the program in March 2021 and October 2019, respectively.

The Programme for International Student Assessment (PISA) is an online platform that measures a 15-year old's ability in mathematics, science, and reading. The program seeks to improve individual school teaching efforts using the benchmark as a comparison.

Under the deal, the OECD has accredited Janison as the exclusive provider of the PISA for Schools assessment across the United Kingdom for 2 years. This will allow the company to form relationships and engage with government and schools to roll-out the platform.

Janison CEO, David Caspari commented:

The Board and management of Janison are extremely honoured to be partnering once again with the OECD in the roll-out of such an incredible assessment and benchmarking tool – the only test of its kind in the world.

This is our mission – to be a global force for good by powering best-in-class educational assessments with passion and purpose. I congratulate the Janison team for working seamlessly with the OECD to secure, not one, but four, new countries simultaneously.

Addressable market opportunity

Janison stated that in the academic year between 2019 and 2020, there were roughly 7,200 secondary schools in the United Kingdom. This reflects a market size of 260% greater than the size of Australia (2,775 schools).

Furthermore, the company highlighted that the addressable market for the United Kingdom stands at $50 million per annum. In comparison, Janison has signed on approximately 10% of schools in Australia, generating sales revenue of $1.5 million per year in total. Pleasingly, more schools are expected to join the program before testing commences in August.

Janison share price snapshot

Over the last 12 months, Janison shares have surged to more than 160%, with year-to-date performance sitting close to 40%.

Based on today's price, Janison has a market capitalisation of about $167 million, with 210 million shares outstanding.

The post Why the Janison (ASX:JAN) share price is nearing its multi-year high appeared first on The Motley Fool Australia.

Programme for International Student Assessment (PISA) is an online platform that measures a 15-year old's ability in mathematics, science, and reading. The program seeks to improve individual school teaching efforts using the benchmark as a comparison.

At the time of writing, the educational technology company's shares are trading at  78.5 cents, up 4.6%. Earlier in the day, the Janison share price reached a record high of 80.5 cents.

What's driving the Janison share price higher?

Investors are pushing Janison shares into new territory after the company provided a positive update.

According to its release, Janison advised that it has signed agreements to roll out the OECD's PISA for Schools assessment to more than 200 Australian schools. This achievement represents more than 10% of all Australian secondary schools that are adopting the international student assessment program.

Test launched in March 2021, Janison stated that the first 6 weeks of availability to Australian schools had been overwhelming. The schools that have signed up are a mix of independent and government schools across several states in Australia.

The PISA for Schools assessment costs $7,000 per school and is licenced for a period of 12 months. With 200 schools signed up, Janison forecasts a minimum of $1.4 million in revenue per annum, excluding GST.

Words from management

Janison CEO David Caspari commented:

I am delighted with the pace in which this program is being rolled out across Australia and the impact it will make to the lives of thousands of secondary school children. We are honoured to be partnering with the OECD and to be playing a pivotal role in the delivery of this global program.

The reaction in Australia is mirrored in several other jurisdictions – this is our 10th market globally and we are receiving a similar response across the world. As we roll out the product to the remaining 80+ markets over the next few years, we anticipate educators will seize the opportunity for gold standard data.

The Janison share price has jumped more than 160% within the past 12 months and is up almost 40% year-to-date.

The post Janison (ASX:JAN) share price hits record high today. Here's why appeared first on The Motley Fool Australia.