But the team at Jarden has run the ruler over the results and thinks that if the company continues to execute well, the shares could lock in even more gains.

Solid earnings increase

Firstly, let's look at the profit result. Michael Hill reported group sales of $371 million, up 3% on the previous corresponding period, but comparable EBIT was up 28.6% to $31 million. Net profit was up 32% to $22.3 million.

The company's gross margin was steady at 61.2%, with increases in the gold and silver price offset by "overall product mix and focused promotional activity".

And the company's net cash position was $20.7 million, $30.5 million better than for the previous period.

Michael Hill did not declare a dividend but indicated that the board did intend to pay a full-year dividend, "subject to current trading conditions continuing and in line with the company's dividend policy''.

And, encouragingly, same-store sales for the group for the first eight weeks of the current half were up 6% on the previous corresponding period.

Michael Hill Chief Executive Officer Jonathan Wecker said regarding the results:

Since joining the business in August, I have spent most of my time in stores and with our teams and customers. The feedback was consistent, that when we simplify how we operate, stay close to the customer and focus on retail fundamentals, performance improves. Over the half, we acted on that by tightening our product focus, improving our go-to-market, clarifying expectations in stores, and improving how we communicate across our teams. Momentum built through the Christmas trading period, and we saw that come through in stronger sales and improved comparable EBIT. This consistent customer-centric focus has also delivered organic growth across the network, resulting in a broader customer base choosing Michael Hill. Pleasingly, positive sales performance has continued into the first eight weeks of the second half, with group same store sales up 6%.

Shares looking cheap

The Jarden team analysed the first-half results for the ASX retail company and said the uptick in same-store sales was a sign of a shift in momentum.

They added:

The improvement in sales momentum is now evident across multiple periods in all markets and is an encouraging sign of: 1) a healthier operating backdrop; and 2) the brand refresh ⁄ product innovations resonating with customers.

Jarden said they had increased their forecast for full-year earnings at Michael Hill by 21%, "driven by better-than-expected contributions in Canada and Australia''.

Jarden has lifted its 12-month price target on the shares from NZ$0.70 to NZ$0.80, which would be a 50.3% return including expected dividends.

Michael Hill's Australian shares were last trading at 46 cents, not far off their 12-month high of 47.5 cents.

The post This ASX retailer, trading near its 12-month highs, could add another 50% Jarden says appeared first on The Motley Fool Australia.

In midday trade, the Michael Hill share price is up 2.27% to 45 cents. Earlier in the session, the stock reached 46.5 cents, a 12-month high and a 5.68% gain on the day.

The shares are now up almost 35% in 2026.

Here is what the company reported.

Earnings growth returns

For the 26 weeks ended 28 December 2025, Michael Hill delivered comparable EBIT of $31 million. This reflects an increase of 28.6% on the prior corresponding period.

Group revenue increased 3% to $371 million, supported by positive performances in Australia and Canada and a return to growth in New Zealand. Same-store sales rose 3.8% across the group.

Gross margin was broadly steady at 61.2%, compared to 61.3% a year earlier. Management said higher gold and silver input costs were largely offset by improved product mix and disciplined pricing.

Reported EBIT came in at $38.9 million, compared to $32.4 million in the prior half. The difference between comparable and reported EBIT primarily reflects lease accounting impacts under AASB 16.

Balance sheet strengthens, inventory reduced

Inventory declined by $11.3 million to $201.9 million during the half. Net cash at period end stood at $20.7 million, compared to a net debt position of $9.8 million a year earlier. That represents a $30.5 million improvement.

The company said it refinanced its existing debt facility on improved terms and continued to focus on working capital discipline.

The store network reduced to 285 locations across Australia, Canada, and New Zealand, down from 294 at the end of FY25 H1.

No interim dividend declared

The board has elected not to declare an interim dividend for the half year.

However, management indicated it intends to return to dividends at the full-year result, subject to trading conditions.

Trading update shows continued momentum

Michael Hill also provided an update for the first 8 weeks of the second half of FY26.

Group sales are up 4.5%, with same-store sales increasing 6% year-on-year.

Looking at a regional basis:

• Australia same-store sales up 6.5%
• Canada up 13%
• New Zealand up 7.1%

Management also cited solid trading across Valentine's Day and Lunar New Year periods.

Foolish Takeaway

The latest result shows improving profitability, stronger cash generation, and better inventory management. While revenue growth remains modest, margin resilience and cost discipline appear to be supporting earnings growth.

With shares at a 12-month high, attention now turns to whether trading momentum continues into the second half.

The post Michael Hill shares hit 12-month high after first-half profit jump appeared first on The Motley Fool Australia.

In order to receive a dividend, you must own the ASX share before its ex-dividend date.

Here is a sample of the large number of ASX All Ords shares with ex-dividend dates next week.

ASX All Ords shares about to go ex-dividend

Which companies will we hear from today?

The big one today is the half-yearly report from supermarket network Coles Group Ltd (ASX: COL).

Woolworths shares ripped this week after the ASX All Ords consumer staples giant reported a 16% profit lift to $859 million for 1H FY26.

We'll also hear from TPG Telecom Ltd (ASX: TPG), Michael Hill International Ltd (ASX: MHJ), and Pexa Group Ltd (ASX: PXA).

The latest report from The Star Entertainment Group Ltd (ASX: SGR) will also be interesting, as investors seek further news on the turnaround plan for the beleaguered casino operator.

Yesterday, Star Entertainment shares bounced on news of a debt refinancing deal, including extra liquidity to fund the turnaround plan.

The post 35 ASX All Ords shares with ex-dividend dates next week appeared first on The Motley Fool Australia.

In a statement released to the ASX on Tuesday, the jewellery retailer said first-half sales were $370.3 million, up 3.1% on the previous corresponding period and 3.8% higher on a same-store basis.

Stronger across the board

The company's Canadian division delivered record sales, with 6.1% growth, while Australian sales were up 4.8% and New Zealand reversed previous declines, growing 1.8%.

The company's gross margin was expected to be "broadly flat" on the previous corresponding period at 61.3%, while inventories were expected to be about $11 million lower, "as part of a deliberate plan to improve working capital efficiency".

The company finished the half with a positive net cash position of about $10 million, which was an improvement of $30 million over the first half of the previous year.

As the company said, there was also movement on the number of stores:

The half saw the successful opening of three Michael Hill flagship stores, Rundle Mall, Adelaide (refurbishment), Bondi Junction, Sydney (new store) and Yorkdale, Toronto (refurbishment), with all stores incorporating our new brand design and a modernised in-store customer experience. For Michael Hill, three stores were closed (AU: 1, NZ: 2) and one new AU store was opened, taking the network to 248 (AU: 123, NZ: 43, CA: 82).

The number of Bevilles stores operated by the company was steady at 37, meaning the total number of stores operated was 285, compared with 294 for the same period the previous year.

Michael Hill Chief Executive Officer, Jonathan Waecker, said it was a good result.

Under new leadership, the group delivered profitable quarter-on-quarter growth, driven by significant performance improvements in the final 10 weeks of the half, resulting in a materially improved trading trajectory relative to the early FY26 trading update presented at the October AGM. A sharper focus on execution, and the early impact of actions taken to stabilise and strengthen the business, delivered a markedly improved performance through the half. During the critical Christmas trading period, a strong focus on driving customer demand, combined with more disciplined product planning, store operations, and targeted promotional activity, delivered profitable net sales growth while maintaining margin. This translated into a meaningful uplift in EBIT year on year, alongside disciplined working capital management, including a significant reduction in inventory, resulting in the group returning to a positive net cash position at the half.

Mr Waecker added that management had "confidence in our continued focus on delivering profitable sales growth and building momentum across all markets''.

Michael Hill shares were 12.2% higher at 41.5 cents in early trade. The company was valued at $142.4 million at the close of trade on Friday.

The post Jeweller's shares shine on strong first-half sales appeared first on The Motley Fool Australia.

The promising stock in question is Aussie retail jewellery chain Michael Hill International Ltd (ASX: MHJ).

In early afternoon trade today, Michael Hill shares are down 4.0%, changing hands for 36 cents apiece.

That puts shares in the ASX retailer down a sharp 34.6% year to date, which could represent an opportune buying opportunity for FY 2026.

Here's why.

ASX All Ords retail stock tipped for big turnaround

Michael Hill reported its full-year financial results (FY 2025) yesterday, 25 August.

Macquarie noted that those results were "directly in line with recent trading update", though the ASX All Ords retail stock closed down 5.1% on Monday.

Among the highlights, Michael Hill reported FY 2025 revenue of $643.7 million, broadly flat compared to FY 2024.

The gross margin came in at 60.5%, down 0.1% year over year. Management noted that the impact of record gold prices and ongoing heightened promotions were largely offset by the introduction of new higher margin products.

Pleasingly, the ASX All Ords retail stock returned to profit, reporting a statutory net profit after tax (NPAT) of $2.1 million, up from the $500,000 loss posted in FY 2024.

In a promising trend, the second half of the financial year saw an improving same-store sales trend across all the company's segments.

Pointing to that uptick, Macquarie said, "2H25 improvement, evidence of improving trading conditions and margin expanding merchandising strategies, supports our outperform rating."

According to the broker:

While trading conditions remained challenging, Group revenue growth was positive in 2H (except NZ), and MHJ successfully offset the impacts of continued aggressive promotional trading conditions and record high gold prices with the introduction and mix of higher margin products. This supported a GP margin of ~60.5% for the year, broadly in line with the prior year (60.6%).

In another promising trend, the ASX All Ords retail stock is having a strong start to the new financial year. For the first seven weeks of FY 2026, Michael Hill said group sales were up 3.0%, and group same-store sales were up 3.2% compared to the same period last year.

Commenting on the strong start to FY 2026, Macquarie said:

The early FY26 trading update suggests that the momentum from 2H25 has accelerated, and with further rate cuts forecast for NZ and Australia, we see scope for that momentum to build further. As the largest profit geography, a recovery in Australia has the potential to significantly lift Group EBIT.

Time to buy?

Connecting the dots, the broker concluded:

While MHJ faces near-term operating headwinds, the magnitude of the prevailing discount to assessed fair value, the expected recovery in GP margins and identified multi-channel growth initiatives combine to support our outperform rating.

Macquarie has a 12-month price target of 75 cents per share on the ASX All Ords retail stock. That's more than 108% above current levels.

The post Why Macquarie thinks this ASX All Ords retail stock could more than double your money in 12-months appeared first on The Motley Fool Australia.

That's according to the team over at Macquarie Group Ltd (ASX: MQG).

The potentially resurgent company in question is Aussie retail jewellery chain Michael Hill International Ltd (ASX: MHJ).

Michael Hill shares closed on Friday trading for 41 cents apiece.

That sees this ASX All Ords stock down 26% since this time last year. And stockholders won't have gotten any relief from dividends this past year. Michael Hill's last interim dividend payout was delivered on 22 March 2024.

But according to Macquarie, the year ahead should be much more profitable for stockholders, not just in terms of share price gains but also with a potential return of the Michael Hill dividend.

Here's what the broker had to say.

Time to buy this beaten-down ASX All Ords stock?

Michael Hill reported its FY 2025 trading update results on 31 July.

Commenting on the ASX All Ords stock's full-year performance, Macquarie said, "In a difficult trading environment, the delivery of flat group revenue in FY25 was a solid result, with only NZ in negative territory."

The broker added:

Initiatives aimed at protecting near term GP [gross profit] margins, and providing a platform for reflation towards a target level of ~64% gained traction over the year, and in 2H25 MHJ addressed some of the operating cost pressure that underpinned lower comparable EBIT [earnings before interest and tax] in 1H25 vs pcp, including the closure on EBIT loss making stores, supply chain improvements and enhanced product ranging, pricing and promotional programs.

Looking ahead, Macquarie expects Michael Hill could double its earnings inside the next two years. And that should become evident in the year ahead.

Macquarie said:

We see a clear path for MHJ to deliver near-term comparable EBIT of ~ $30m (double the FY24/FY25 level), probably achievable in FY27, with a step change toward that target expected in FY26.

As for the return of that welcome passive income, the ASX All Ords stock is unlikely to pay a final dividend this year. But Macquarie expects the Michael Hill dividend to make a comeback in FY 2027, or sooner.

"We continue to forecast no dividend for FY25," the broker said. "While our forecast have dividends resuming on FY27, we would expect the board to review the possible resumption of dividends in FY26, depending on trading outcomes."

Connecting the dots, Macquarie concluded:

While MHJ faces near-term operating headwinds (albeit reducing), the magnitude of the prevailing discount to assessed fair value, the expected recovery in GP margins and identified multi-channel growth initiatives combine to support our outperform rating.

Macquarie has a 12-month target price of 75 cents per share for the ASX All Ords stock.

That's 83% above Friday's closing price of 41 cents per share.

The post Why Macquarie thinks this ASX All Ords stock is set to rocket 83% appeared first on The Motley Fool Australia.

The consumer discretionary sector was the second-best performer among the 11 market sectors on Thursday, behind technology.

The S&P/ASX 200 Consumer Discretionary Index (ASX: XDJ) rose 1.11% while the S&P/ASX 200 Info Tech Index (ASX: XIJ) rose 1.34%.

Meanwhile, the ASX All Ords finished the session down 0.18% to 8,999 points.

Retail sales 'surge' last month: ABS

Today, the Australian Bureau of Statistics reported a 'retail sales surge' last month.

The ABS said Australian retail turnover rose 1.2% in June 2025, according to seasonally adjusted figures.

This follows a 0.5% rise in May after a flat April 2025. 

Robert Ewing, ABS head of business statistics, said:

The strong June month rise in retail turnover was driven by discounts linked to sales and new product releases.

After steady growth throughout the year, mid-year sales events increased spending on discretionary items like furniture, electrical goods and clothing items.

The ABS said non-food related spending across all industries drove most of the rise in retail turnover.

Spending increased the most in household goods retailing (+2.3%) and other retailing (+1.9%).

Ewing said:

Consumers are targeting sales events with a focus on value for big ticket items like household furniture, bedding, electronic devices and TVs.

Turnover for electrical and gaming retailers was lifted further by the much-anticipated launch of the Nintendo Switch 2, which delivered record sales.

Spending increased in department stores (+1.9%) and clothing, footwear and personal accessory retailing (+1.5%) due to end-of-financial-year sales and winter clothing sales. 

ASX retail shares perform strongly on Thursday

Among the best-performing ASX retail shares on Thursday were several sector heavyweights.

Eagers Automotive Ltd (ASX: APE) shares rose 2.45%, Aristocrat Leisure Ltd (ASX: ALL) shares lifted 2.35%, JB Hi-Fi Ltd (ASX: JBH) shares rose 1.3%, Wesfarmers Ltd (ASX: WES) shares ascended 1.19%, and Harvey Norman Holdings Ltd (ASX: HVN) shares increased 1.05%.

Other strong performers included Peter Warren Automotive Holdings Ltd (ASX: PWR) shares, up 3.26%, and Mexican restaurant network Guzman Y Gomez Ltd (ASX: GYG) shares, up 3.11%.

ASX jewellery retail shares Michael Hill International Ltd (ASX: MHJ) and Lovisa Holdings Ltd (ASX: LOV) rose 2.5% and 2.15%, respectively.

The new retail figures follow better-than-expected inflation data for the June quarter released yesterday.

The data suggested the inflation beast is now contained in Australia.

This may have contributed to the surge in retail sales last month.

The post ASX retail shares outperform on Thursday amid a 'sales surge' in June appeared first on The Motley Fool Australia.

Let's see what is getting investors excited on Friday:

Adore Beauty Group Ltd (ASX: ABY)

The Adore Beauty share price is up 5% to 91 cents. Investors have been buying the online beauty retailer's shares after it released a trading update for FY 2024.

Adore Beauty revealed that it delivered unaudited FY 2024 revenue of $195.7 million for the 12 months ended 30 June. This is up 7.4% on the prior corresponding period, which management believes is a strong result in a challenging retail environment.

This growth was underpinned by Adore Beauty's continued focus on customer centricity, which has seen its returning customer base grow 5.8% to a record 519,000. Total active customers increased 1.6% to 814,000 for the year.

Management also advised that it expects an FY 2024 EBITDA margin between 2.2% to 2.5%. This would mean EBITDA in the range of approximately $4.3 million to $4.89 million.

The ASX retail share's CEO, Tamalin Morton, commented:

Adore Beauty continues to deliver revenue and active customer growth, even as cost-of-living pressures impact consumer sentiment and trading conditions more broadly.

Our solid performance over FY24 has reaffirmed the resilience of both our business and the beauty and personal care category, and we continue to focus on meeting customer needs, while growing both sales and profitability.

Michael Hill International Ltd (ASX: MHJ)

The Michael Hill International share price is up 7.5% to 57.5 cents. This has also been driven by the release of an FY 2024 trading update.

According to the release, the jewellery retailer expects to report sales growth of 3.8% in FY 2024. This follows a stronger second half, with group sales rising 4.9% on the prior corresponding period.

Michael Hill's growth was even stronger late in the financial year, with group sales rising 6% during the last seven weeks. This was driven by positive momentum across all markets and channels.

In light of this, management expects its earnings before interest and tax (EBIT) to be in line with analyst expectations. It is forecasting group comparable EBIT of between NZ$14 million to NZ$16 million.

The ASX retail share's CEO, Daniel Bracken, said:

While challenging economic conditions have persisted across all markets throughout the year, particularly in the fine jewellery segment, the Group has continued to outperform the category, with a focus on retail fundamentals and execution of its clearly articulated strategies.

Particularly pleasing was the consistent performance of our Canadian business throughout the year.

The post Why these ASX retail shares are surging while the market dives appeared first on The Motley Fool Australia.

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

Core Lithium Ltd (ASX: CXO)

The Core Lithium share price is down 6% to 15.5 cents. This was despite the lithium miner announcing the appointment of its new CEO this morning. The company has appointed Paul Brown as CEO, effective 4 June 2024. The release notes that Mr Brown has a successful professional career spanning 25 years in the Australian resources industry. This includes as the current CEO of $49 million Hastings Technology Metals (ASX: HAS). The company said: "The Board's priorities in selecting a new CEO were identifying someone with lithium mining experience who will consider all options for the restart of mining operations to guide Core's activities in response to the low price lithium environment."

Duratec Ltd (ASX: DUR)

The Duratec share price is down 4% to $1.06. This has been driven by a guidance downgrade from the engineering, construction, and remediation contractor. It was targeting revenue of $570 million to $610 million and EBITDA of $45 million to $52 million in FY 2024. However, due to delays in expected project awards, Duratec now expects revenue of $550 million to $565 million and EBITDA of $46 million to $48 million.

Galan Lithium Ltd (ASX: GLN)

The Galan Lithium share price is down 17% to 24 cents. This morning, this lithium developer announced firm commitments for an equity raising of $14 million to institutional, sophisticated, and professional investors. These funds will be raised at 23 cents per new share. This represents a 20.7% discount to where its shares last traded. The equity raising will provide working capital headroom and financial flexibility for the ongoing development of the Hombre Muerto West (HMW) Phase 1 construction.

Michael Hill International Ltd (ASX: MHJ)

The Michael Hill share price is down 19% to 49.5 cents. Investors have been hitting the sell button today in response to the release of a trading update from the jewellery retailer. It notes that the positive sales momentum it had been expecting through the second half has not materialised. As a result, second half sales are broadly in line with the first half and its margins remain under pressure. This led to its first half earnings being wiped out by a loss in the third quarter.

The post Why Core Lithium, Duratec, Galan Lithium, and Michael Hill shares are sinking today appeared first on The Motley Fool Australia.

Some for the better.

Some for the worse.

This could explain why some of the ASX All Ords shares are outperforming the All Ordinaries Index (ASX: XAO)'s 0.6% intraday gains, while some are decidedly lagging.

So, without further ado, here are the four companies in question.

(Broker data courtesy of The Australian.)

ASX All Ords stocks getting broker downgrades

The first company getting a broker re-rate today is iron ore miner Rio Tinto Ltd (ASX: RIO).

The Rio Tinto share price is up 2.5% today at $135.46 a share. This sees the ASX All Ords share up 24% over 12 months.

Following on that strong run, Citi doesn't believe there's much more upside ahead for the Rio Tinto share price over the coming year.

The broker cut its rating to 'neutral'. Although Citi left its target price for Rio Tinto shares unchanged at $137.00, which still represents a potential upside of 1.4% from current levels. Not to mention the 4.8% fully franked trailing dividend yield.

According to Citi's Paul McTaggart, the mining giant is no longer trading at a "deep discount to valuation" following on the big share price surge.

McTaggart also isn't convinced China's new stimulus measures are enough to rekindle its struggling property sector and materially boost iron ore demand.

According to McTaggart (quoted by The Australian):

While the recent Politburo meeting pledged to support the property sector through supply and inventory management to stabilise house price and sales, Citi thinks this is unlikely to stimulate incremental steel demand.

Furthermore, China steel mills are now loss-making again, and we are heading into a period of seasonal weakness for mining equities.

Also getting downgraded today is jewellery retailer Michael Hill International Ltd (ASX: MHJ).

The Michael Hill share price is down a painful 20% today to 50 cents per share following a disappointing trading update released after market close on Friday. The company reported its sales margins remain under more pressure than management had anticipated.

This profit warning saw Citi cut the ASX All Ords share to a 'neutral' rating and reduce its target price by 21% to 68 cents a share. Notably, that's 36% above the current level.

Commenting on the trading update, Citi's James Wang said:

Further, the absence of comments about any recent improvement makes us cautious on the outlook. Ongoing gross margin weakness also raises questions around the effectiveness and sustainability of the brand elevation strategy.

Michael Hill shares are down 51% over 12 months.

Two shares with brightened outlooks

On the other side of the ledger, ASX All Ords share Pointsbet Holdings Ltd (ASX: PBH) was just raised to an 'overweight' rating by JP Morgan.

The Pointsbet share price is up 11% today at 51 cents.

The strong run, and broker upgrade, follow on this morning's announcement of boosted FY 2024 earnings guidance for the sports betting company.

The ASX All Ords share lifted the forecast for its normalised earnings before interest, taxes, depreciation and amortisation (EBITDA) loss for the full year to the range of $4 million to $6 million. That's up from the prior guidance of a full-year EBITDA loss of $9 million to $14 million.

Which brings us to the fourth ASX All Ords share getting a broker re-rate today, bank stock Bendigo and Adelaide Bank Ltd (ASX: BEN).

The Bendigo share price is up 1.4% today at $10.88 a share.

Following on Friday's trading update, Citi has increased its price target by 9% to $9.25 a share. Which tells me the broker expects some headwinds for the bank stock ahead. Though less than it previously expected.

Among the positive metrics Bendigo Bank reported on Friday was an increase in its net interest margins (NIMs) over the 10-month period.

Bendigo Bank's NIM post revenue share arrangements was 1.87%, up from 1.83% reported in 1H FY 2024.

The ASX All Ords share has gained 26% over 12 months.

The post Why brokers just revised their outlook for these 4 top ASX All Ords shares appeared first on The Motley Fool Australia.

And the market is reacting to their results in a big way. Let's take a look at the moves being made.

Right now, the All Ords is down 1.4% at 7,404.9 points.

3 All Ords shares making moves on half-year earnings

First up is the share price of All Ords online beauty retailer Adore Beauty Group Ltd (ASX: ABY). It hit a high of $1.075 today – marking a 4.9% gain.

Adore Beauty posted its earnings for the first half of financial year 2023 this morning, detailing $93.6 million of revenue – down 17% on that of the prior comparable period, which saw most of Australia locked down. Meanwhile, it revealed a $90,000 loss for the period.

The company also lowered its full year guidance, saying it no longer expects to see double digit revenue growth in the second half. That comes as inflation and waning consumer sentiment take their tolls.

Next, the share price of All Ords jewellery retailer Michael Hill International Ltd (ASX: MHJ) gained 4.4% to peak at $1.075 earlier today.

The company posted an 11% jump in half year revenue, sending it a record $363.4 million. It also declared a 4 cent per share interim dividend – up 14% year-on-year.

It expects its full year earnings before interest and tax to come in ahead of that of financial year 2022.

Making the biggest move of the three All Ords stocks is the City Chic Collective Ltd (ASX: CCX) share price. It plummeted 13.7% to a low of 50.5 cents earlier today.

As previously forecast, the plus size fashion retailer posted $168.6 million of revenue – an 8% fall as it cycled strong pandemic-related trading and struggled against lower consumer demand.

Its underlying operating EBITDA came to a $3.4 million loss while it posted a statutory net loss after tax of $27.2 million.

Looking beyond the first half, the company noted trading was down 17% year-on-year in the first seven weeks of the second half.

Though, it expects to deliver a positive net cash position by the end of this fiscal year. Currently, it has a $13.4 million net debt position.

The post 3 ASX All Ords shares on the move following results announcements appeared first on The Motley Fool Australia.

But the value investing strategy is not without its pitfalls. Investors need to be able to sniff out genuine value shares they believe are trading below their intrinsic value, whilst at the same time avoiding the perils of value traps.

So, if you're keen for some insights into which ASX shares could potentially be trading at bargain prices right now, you're in luck! Because we asked our Foolish contributors which companies they believe could be flying well under the radar in the new year. Here is what the team came up with:

6 best ASX value shares for 2023 (smallest to largest)

Shaver Shop Group Ltd (ASX: SSG), $150.66 million

Michael Hill International Ltd (ASX: MHJ), $419.56 million

Universal Store Holdings Ltd (ASX: UNI), $435.01 million

Adairs Ltd (ASX: ADH), $497.5 million

MFF Capital Investments Ltd (ASX: MFF), $1.42 billion

JB Hi-Fi Limited (ASX: JBH), $5.15 billion

(Market capitalisations as at market close on 17 January 2023)

Why our Foolish writers love these ASX value shares

Shaver Shop Group Ltd

What it does: Shaver Shop operates in Australia and New Zealand. It has been operating since 1986 and now has more than 120 stores selling male and female hair removal products such as electric shavers, clippers and trimmers, and wet shave items. It also sells a wide range of products across oral care, hair care, massage, air treatment, and beauty categories.

By Tristan Harrison: Starting with how good value Shaver Shop is, this ASX share is currently priced at around eight times FY24's estimated earnings and less than 10 times FY23's estimated earnings, according to Commsec data. As such, the dividend income alone could amount to a dividend yield of around 12.6% in 2023.

The beauty and personal care market is growing, and Shaver Shop's sales have steadily grown over the past decade. Reopened stores after lockdowns are generating good sales levels (up 13% year over year) to 6 November 2022, with a higher gross profit margin.

Growth of exclusive products generates around 60% of gross profit for Shaver Shop. The company is looking to grow these sales, as well as expand its store network in New Zealand. Plus, it's expanding the range of products it's selling.

For these reasons, I believe Shaver Shop would make a top buy for ASX value investors right now.

Motley Fool contributor Tristan Harrison does not own shares of Shaver Shop Group Ltd.

Michael Hill International Ltd

What it does: Founded in 1979, Michael Hill is a jewellery retailer spanning Australia, New Zealand, and Canada with 280 stores. The company's brand has become synonymous with high-quality rings, earrings, necklaces, and more through its prominent advertising.

By Mitchell Lawler: Michael Hill does not have the hallmark traits of an ASX share I'd typically be interested in. It operates in a highly competitive market that is difficult to differentiate in, and the lack of meaningful revenue growth compared to five years ago leaves plenty to be desired.

However, management has done a great job of guiding the company through the pandemic. Where other retailers went boom and then bust – or simply went bust – Michael Hill has maintained a commendable earnings margin.

Furthermore, the company's balance sheet is now in impeccable condition. At the end of June 2022, Michael Hill held $95.8 million in cash and no debt – allowing the company to conduct a $10.2 million share buyback and pay 7.5 cents per share in dividends in FY22.

At a price-to-earnings (P/E) ratio of nine times, based on the current share price, I think there could be some decent upside to Michael Hill shares this year.

Motley Fool contributor Mitchell Lawler does not own shares of Michael Hill International Ltd.

Universal Store Holdings Ltd

What it does: Universal Store is the retail company behind the eponymous Universal Store brand. It also recently completed the acquisition of Byron Bay-based fashion brand Thrills.

By James Mickleboro: Although Universal Store's shares have rebounded strongly from their 52-week low, I don't believe it is too late to invest. Based on Goldman Sachs' earnings per share (EPS) forecast of 37.3 cents, at the time of writing, the company's shares are trading at around 15 times forward earnings.

I feel this is great value given that Goldman is forecasting a 22.4% earnings before interest and tax (EBIT) compound annual growth rate (CAGR) over the next three years (FY22-25). This is expected to be underpinned by the company's exposure to younger consumers, which should remain resilient relative to the broader population in the current environment, thanks to an increase in the minimum wage.

Goldman has a buy rating and $7.20 price target on Universal Store shares. 

Motley Fool contributor James MIckleboro does not own shares of Universal Store Holdings Ltd.

Adairs Ltd

What it does: Adairs retails home furnishings in Australia and New Zealand, boasting more than 170 stores. It also operates subsidiaries Mocka and the recently acquired Focus on Furniture.

By Brooke Cooper: The Adairs share price has suffered lately, falling by around 27% in 12 months. However, I believe it's now trading at a decent price.

The company posted earnings per share (EPS) of 26.4 cents for financial year 2022 (FY22) – leaving it with a price-to-earnings (P/E) ratio of 10.5.

Additionally, Adairs' paid loyalty program has more than a million members – a competitive advantage expected to grow by up to 10% annually in coming years. The company also has a five-year target of $1 billion in annual sales – up from $565 million in FY22.

Finally, Goldman Sachs says the company's business is more resilient than some may assume and tips its dividends to grow 11% by FY24.

Motley Fool contributor Brooke Cooper does not own shares of Adairs Ltd.

MFF Capital Investments Ltd

What it does: MFF Capital is a listed investment company (LIC) that invests in a portfolio of mostly US-listed shares.

By Sebastian Bowen: I think MFF Capital shares represent compelling value right now. This LIC invests in a concentrated portfolio of international shares. Some of its current holdings include Mastercard, Asahi Group, and Amazon.

By investing in top-quality names like these, MFF has been able to deliver double-digit returns, on average, for many years now.

However, as it stands today, this LIC is trading at a significant discount to the underlying value of its investment portfolio. As such, I think investors are getting a bargain at the current price, the equivalent of buying $1 worth of assets for 90 cents.

Motley Fool contributor Sebastian Bowen owns shares of MFF Capital Investments Ltd, Mastercard, and Amazon.

JB Hi-Fi Limited

What it does: JB Hi-Fi sells home entertainment and technology products through its eponymous stores, and home appliances through its Good Guys stores. It operates through a network of physical stores across Australia and New Zealand and its growing online platform.

By Bronwyn Allen: I like this business because it's simple to understand. JB Hi-Fi sells TVs, laptops, mobile phones, and loads of other electronic gadgets that people seem to love buying and endlessly upgrading. JB Hi-Fi also sells home appliances, which we all need to replace now and then.

Plus, Aussies are a property-mad bunch who love renovating, which means thousands of householders are buying a whole slew of appliances at once for every new kitchen, laundry, and living room created per year. So, I believe the ongoing demand for JB Hi-Fi's products is strong. It's no surprise to me that the company was among the top three best-performing ASX 200 retail shares in 2022.

While the JB Hi-Fi share price actually lost 13.2% in value last year, this followed a 99% surge from its COVID-crash trough through to the end of 2021. So, this pull-back looks like a buy-the-dip opportunity for 2023 to me.

From a value perspective, JB Hi-Fi shares are trading on a very low and, for me, extremely appealing price-to-earnings (P/E) ratio of 9.54, according to the ASX.

Motley Fool contributor Bronwyn Allen does not own shares of JB Hi-Fi Limited.

The post Top ASX value shares to buy in 2023 appeared first on The Motley Fool Australia.

But, there are some names out there that don't have any debt. Not only does this mean that they don't have to contend with interest costs, but it could mean the overall business is in a stronger position.

Paying down debt could be a smart move for some management teams.

Let's have a look at some of the names that have strong balance sheets and are dividend payers.

New Hope Corporation Limited (ASX: NHC)

New Hope is one of the largest coal miners in Australia. It's currently benefiting from strong coal prices and this has meant the business can pay big dividends while also paying off its debt.

On 28 October 2021, the ASX share fully repaid the debt drawn under its syndicated debt facility of $310 million and then terminated that facility in July 2022. Its modelling indicates it doesn't require any funding for general corporate purposes and advances the execution of a broader strategy.

With its FY22 result, it declared a final dividend of 31 cents per share and a special dividend of 25 cents per share. At the current New Hope share price, those two dividends equate to a grossed-up dividend yield of 13.3%.

Deterra Royalties Ltd (ASX: DRR)

Deterra Royalties owns royalties, including the Mining Area C royalty that is used by BHP Group Ltd (ASX: BHP). It's looking for more opportunities to add to the portfolio.

The business is committed to paying out 100% of its net profit after tax (NPAT) as a dividend to investors.

Its FY22 dividend per share of 33.76 cents was an 89% increase, which represents a grossed-up dividend yield of 11.5%.

Alumina Limited (ASX: AWC)

The company says that its strategy is to "invest world-wide in bauxite mining, alumina refining and selected aluminium smelting operations through our 40% ownership of Alcoa World Alumina & Chemicals (AWAC), the western world's largest alumina business."

In its recent FY22 half-year result, the ASX share announced that its underlying NPAT went up 73% to $119.6 million. It also grew its interim dividend by 24% to 4.2 cents per share.

The last two dividends amount to a grossed-up dividend yield of 10.2%.

Michael Hill International Ltd (ASX: MHJ)

Michael Hill is one the largest jewellery businesses in Australia. It also has operations in Canada and New Zealand.

The company's recent FY22 result saw the business grow revenue by 7% and net profit increased 13.9% to $46.7 million. The dividend was grown by 66% to 7.5 cents per share. At the current Michael Hill share price, the dividend yield is 6.7%. It had $95.8 million of cash at the year end.

Super Retail Group Ltd (ASX: SUL)

The Super Retail business is made up of a few retailing brands including Supercheap Auto, Rebel, BCF and Macpac.

While there may be a bit more economic uncertainty, the ASX share has started FY23 strongly, with group like for like sales rising by 17% in the first six weeks of FY23.

In FY22 it paid a full-year dividend of 70 cents per share, which equates to a grossed-up dividend yield of 10.4%.

The post Dividend beasts: 5 ASX shares with monster yields and no debt appeared first on The Motley Fool Australia.

Shares of the iconic jeweller currently trade for $1.095 each. Earlier, they hit a high of $1.12 apiece shortly after market open.

Let's go over the highlights of the report.

What did Michael Hill Report?

• Group operating revenue up 7% year over year (yoy) to $595.2 million
• Comparable earnings before interest and tax (EBIT) up 11.1% yoy to $62.9 million
• Statutory net profit after tax (NPAT) up 13.9% yoy to $46.7 million
• Unfranked final dividend of 4 cents per share

Michael Hill reported delivering "record sales, gross margin, and profit" during FY22. This was despite its retail stores losing an aggregate total of 10,000 trading days due to COVID-19 lockdowns and other restrictions during the period.

One highlight of the year was that Michael Hill reported its profit grew faster than sales. The company attributed this to "margin expansion driven by strategic initiatives across product, stores, digital and loyalty".

A share buyback program will begin on 19 September and is expected to conclude on 28 August next year. A total of 19,414,267 ordinary fully paid shares, or 4.9% of this securities class, will be repurchased for a total value of around $22.7 million at the time of writing.

The unfranked final dividend of 4 cents per share has a record date of 9 September and a payment date of 23 September.

What else happened in FY22?

Michael Hill's digital sales delivered record numbers with sales of $42 million, partly because customers were forced to shop from home during lockdowns. Online sales comprised 7.1% of the company's total revenues. This channel is also becoming more important as part of its omnichannel marketing structure, the company said.

FY22 was also a year Michael Hill strengthened its balance sheet considerably, with the company noting the period ended with it holding $95.8 million in cash and no debt on its books. It was boosted by an influx of cash from the company selling its Canadian credit book for $14.2 million.

Michael Hill has 280 retail stores, noting that it closed six underperforming stores and opened one new one in Australia during the reporting period.

What did management say?

Michael Hill International managing director and CEO Daniel Bracken said:

Pleasingly, FY23 has started with both strong sales and gross margin performance. Our current bridal campaign has been extremely well received by customers and clearly demonstrates our commitment to brand elevation, our heritage, quality and craftmanship. With the significant impacts from Covid behind us, we are still mindful of potential economic disruptions. That being said, over the last few years, we have demonstrated the resilience of our business, strength of our brand and determination of our team.

What's next?

Michael Hill strongly emphasises sales and margin growth, which it pursues through several avenues. One aspect is increasing membership of its Brilliance by Michael Hill loyalty programme, which provides a source of regular and profitable customers.

Another aspect is the ongoing evolution of its products, with the company noting the popularity of synthetic diamonds will likely increase moving forward. Further improvements to its artisanal factories in Australia are scheduled, which will help make its supply chain more robust.

Michael Hill is also expanding into new territories and offering a new range of services. One market, in particular, is Quebec, Canada where the company said it's expanding its web presence. Some new services in the works also include bespoke design, financial services, and sustainability.

Michael Hill share price snapshot

The Michael Hill share price is down 21.4% year to date. Meanwhile, the S&P/ASX 200 Index (ASX: XJO) is down 7% over the same period.

The company's market capitalisation is roughly $421 million including today's price action.

The post Michael Hill share price surges 7% on record profit appeared first on The Motley Fool Australia.

Rising interest rates means borrowing money becomes more expensive. So, naturally, if you can generate capital from within the business, it makes for a smoother path ahead.

Spheria Opportunities Fund portfolio manager Marcus Burns told a conference recently that his fund seeks mid- and small-cap ASX shares that precisely fit this bill.

"We do believe balance sheets are really important."

The era of near-zero interest rates encouraged a grow-at-all-costs mentality that produced many false idols.

"For a period of time no one really cared about debt because it was so cheap," he said.

"And all the pundits tell [businesses] to invest heavily, gear up the business… That's great in theory until you have to raise money, because [now] debt's risen in terms of cost."

As examples, Burns presented two of his fund's holdings that he has high hopes for.

Usually expensive market leader selling for cheap right now

Online real estate classifieds site provider REA Group Limited (ASX: REA) is one that Burns admitted he's bought and sold in the past, and has recently rebought.

The portfolio manager pointed out REA's "very good history" of cash flow management.

"Something like 96% cash flow conversion, which is extremely strong," he said.

"Everyone knows the business is a market leader. The only negative about the stock is that it does get expensive occasionally."

The share price has cooled off 27% year-to-date.

"We've added it back into the portfolio at a decent weight."

Burns is not the only fan of REA shares.

"Combined with its strong pricing power and new acquisitions and revenue streams, the company has been tipped to continue growing at a solid rate for many years to come by the team at Goldman Sachs," reported The Motley Fool's James Mickleboro last week.

"In light of this, the broker currently has a buy rating and $164.00 price target on REA's shares."

That's an upside in excess of 30% from the current level.

REA Group is due to report its preliminary numbers on Friday.

Showed tremendous resilience through the pandemic

Burns' team bought into jewellery retailer Michael Hill International Ltd (ASX: MHJ) after a change in management.

"CEO Daniel Bracken came across about two years ago and he's executed an incredible internal turnaround," said Burns.

"Loyalty programs, putting much more online, got rid of high-low pricing… which has given a big fillip to the revenue growth."

And of course, Michael Hill's cash flow has been exceptional in recent times.

"Their cash flow conversion is very strong, particularly in [financial year] 2021 when massive amounts of free cash were generated by the management team, despite the fact that 23 or 24 of the trading days were closed," said Burns.

"So they weren't a COVID beneficiary at all… so it traded very well during that period."

The Michael Hill share price has dropped about 28% so far this year, but Burns feels like "the forgotten gem" is well set for future growth.

"Balance sheet's net cash of to the tune of almost $100 million, trades at about 4 times EBIT," said Burns.

"So even though we're going through a potential consumer downturn, and people are worried about spending, [the shares are] still trading on extremely low levels despite the fact that [the business is] trading very strongly."

Michael Hill is scheduled to report its preliminary numbers on 22 August.

The post 'Forgotten gem': 2 mid-cap ASX shares this fundie loves appeared first on The Motley Fool Australia.

These three stocks are posting notable gains on Friday. Keep reading to find out what's buoying their share prices amid today's sea of red.

3 ASX All Ords shares defying today's downturn

Sezzle Inc (ASX: SZL)

The share price of All Ords BNPL favourite Sezzle has climbed back on the horse today, recovering some of the 57% fall it posted over the first four days of the week.

Right now, the Sezzle share price is trading 2.5% higher at 20.5 cents.

The company binned its planned multi-million-dollar merger with fellow ASX BNPL favourite Zip Co Ltd (ASX: ZIP) earlier this week.

Its stock plummeted nearly 39% when the news was released on Tuesday before slipping another 22% on Wednesday.

Michael Hill International Ltd (ASX: MHJ)

Sezzle is joined in the green today by shares in its ASX All Ords peer Michael Hill.

The jewellery retailer's share price has lifted 3.7% to trade at $1.12 right now.

Its gains come on the back of a trading update detailing decent growth in the June quarter, topping off a strong full year of sales, released after the market closed on Thursday

The company's managing director and CEO Daniel Bracken commented on its recent performance, saying:

I'm delighted with our full year trading results, despite the continued backdrop of COVID disruptions and the resulting loss of 10,000 store trading days, we have delivered the highest sales and margin in the history of the Michael Hill brand.

Booktopia Group Ltd (ASX: BKG)

The final ASX All Ords share recording a decent gain on Friday is Booktopia.

Its share price is currently 33.5 cents, 8.06% higher than its previous close.

There's been no news from the online book retailer today.

However, its shares tumbled nearly 5% yesterday when the company announced it had dumped its CEO Tony Nash following an internal business review.

The post 3 ASX All Ords shares sidestepping the selling today appeared first on The Motley Fool Australia.

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

Ardent Leisure Group Ltd (ASX: ALG)

The Ardent Leisure share price is up 4% to 54.7 cents. This may have been driven by comments out of WAM Capital Limited (ASX: WAM), which described the entertainment company as undervalued. It said: "We believe Ardent Leisure Group's current share price materially undervalues the company relative to global peers, while opportunity exists to unlock further value via development of excess land assets."

Michael Hill International Ltd (ASX: MHJ)

The Michael Hill share price is up 4% to $1.12. This morning this jewellery retailer released a trading update and revealed strong quarterly sales growth. This is expected to underpin a 7.3% increase in full-year sales in FY 2022. EBIT is expected to be between NZ$60 million and NZ$63 million, up from NZ$56.6 million in FY 2021.

National Storage REIT (ASX: NSR)

The National Storage share price is up over 2% to $2.25. This appears to have been driven by a broker note out of Ord Minnett. This morning its analysts retained their buy rating and lifted their price target on the self-storage centre operator's shares to $2.70. It was pleased to see management guide to earnings growth ahead of consensus estimates in FY 2022.

WiseTech Global Ltd (ASX: WTC)

The WiseTech share price is up 3.5% to $44.22. Investors have been buying this logistics solutions company's shares after it upgraded its FY 2022 earnings guidance. Due to strong top line growth and cost efficiencies, FY 2022's EBITDA is now forecast to be between $310 million and $320 million. This compares to its previous guidance range of $275 million to $295 million.

The post Why Ardent Leisure, Michael Hill, National Storage, and WiseTech shares are rising appeared first on The Motley Fool Australia.

These companies have managed to defy waning consumer sentiment triggered by the rising cost of living.

The higher-for-longer inflation, interest rate hikes, and falling asset prices are major risk factors for the sector.

Small-cap ASX retail shares outperforming the big end of town

This explains why some of our biggest ASX retail shares have slumped by 20% or more in the past year. This includes the JB Hi-Fi Limited (ASX: JBH) share price and Wesfarmers Ltd (ASX: WES) share price.

However, there have been a number of retail gems at the smaller end of the market that have delivered double-digit returns in the past financial year.

I am not talking about illiquid micro-caps, where a single trade can drive their share prices into the stratosphere. These are ASX consumer discretionary shares with a market cap of at least $100 million.

The top-performing ASX retail shares in FY22

What's more, you probably haven't heard of some of these names. And in another blow to our Aussie ego, a few of these are New Zealand businesses listed on the ASX!

The best performing ASX retail share in FY22 is Mydeal.Com Au Ltd (ASX: MYD). The online retailer surged just over 60% over the financial year.

What really helped was Woolworths Group Ltd (ASX: WOW) buying an 80% interest in the company as opposed to operational growth. But a win's a win!

The second top performer for the year is NZME Ltd (ASX: NZM). The Kiwi media and entertainment group managed to deliver a 41% increase in share value.

This will be enough to embarrass its Aussie peers like Nine Entertainment Co Holdings Ltd (ASX: NEC) and Seven West Media Ltd (ASX: SWM). Nine fell 29% while Seven is about flat over the period.

More Kiwis beating the Aussies

But NZME isn't the only New Zealand media share to be shooting the lights out. In third spot is the SKY Network Television Limited (ASX: SKT) share price with its gain of around 32% for the year.

Adding insult to Aussie injury is New Zealand-founded jeweller Michael Hill International Ltd (ASX: MHJ). The ASX retail share jumped around 27% in value thanks to strong sales across all of the company's markets and its ability to hold margins.

Meanwhile, the Supply Network Limited (ASX: SNL) share price isn't far behind with a gain of around 24%. This is no doubt helped by the Australian and New Zealand auto parts retailer issuing a pleasing FY22 sales and profit guidance.

The post Top 5 outperforming ASX retail shares in FY22 that you may not have heard of appeared first on The Motley Fool Australia.

Businesses that have seen declines but are still doing well operationally could be ideas to consider, according to brokers.

The below two share ideas have price targets much higher than their current values. A price target is where brokers and analysts think the share price will be in 12 months' time.

Breville Group Ltd (ASX: BRG)

Breville is a business that sells kitchen appliance products to more than 70 countries around the world.

It's currently rated as a buy by the broker UBS with a price target of $34. That's a potential rise of more than 60%.

The company recently reconfirmed its FY22 guidance. It said that it expects earnings before interest and tax (EBIT) for the full 2022 financial year to be consistent with the markets' consensus forecast of around $156 million. This included an assumption of no material supply chain interruptions beyond what was experienced in the first half of FY22.

Breville also pointed out that the ASX share continues to geographically expand. It is now live in Norway, Finland, Denmark, and Sweden. In June, it's planning to expand to South Korea and then to Poland in July.

UBS thinks that the company can deliver ongoing double-digit earnings per share (EPS) growth over the next few financial years.

According to UBS, the Breville share price is valued at FY23's estimated earnings.

Michael Hill International Ltd (ASX: MHJ)

Michael Hill has more than 280 jewellery stores globally across Australia, New Zealand, and Canada. Its global HQ, wholesale, and manufacturing divisions are located in Brisbane, Australia.

Citi currently rates Michael Hill as a buy, with a price target of $1.61. That implies a possible upside of more than 40% on the business.

Citi thought that the company's recent trading update was better than the broker was expecting, with good profit margins and sales.

As a refresher, in that quarter for the three months to March 2022, all store sales increased 11.1% while same store sales rose by 4.8%.

The ASX share also pointed to "sustained margin expansion", with margin growth of between 200 basis points to 300 basis points in all markets and channels compared to the third quarter of FY21.

It's also seeing "strong digital growth". Digital sales in the year to date were up 31.1% and represented 7.6% of total sales, up from 6.3% of total sales in FY21. It's doing strategic market analysis to identify new territories for international digital expansion. This is "progressing well".

The company also said that it's continuing to explore potential acquisition targets with its "strong balance sheet". Management said that it's being disciplined with its working capital management and there are no adverse supply chain impacts on its stock levels.

According to Citi, the Michael Hill share price is valued at 10 times FY23's estimated earnings.

The post Potential buys from experts: 2 compelling ASX shares appeared first on The Motley Fool Australia.

So here are 5 such ASX dividend shares that are scheduled to trade ex-dividend tomorrow.

5 ASX dividend shares going ex-dividend tomorrow

South32 Ltd (ASX: S32)

Mining company South32 is about to cut off access to its upcoming interim dividend. The diversified miner will be paying out a fully franked dividend worth 8.7 US cents (AUD value to be determined) on 7 April.

Rio Tinto Limited (ASX: RIO)

Rio is another mining giant that is set to trade ex-div tomorrow. In this iron ore giant's case, we know that investors will receive $6.6284 in fully franked dividends per share on 21 April. That's the largest interim dividend Rio has ever paid.

G8 Education Ltd (ASX: GEM)

A company in a slightly different sector, G8 Education shares will also be going ex-dividend tomorrow. Investors can look forward to a fully franked payment of 3 cents per share on 1 April (no April Fool's here). But get in quick if that takes your fancy.

Michael Hill International Ltd (ASX: MHJ)

Jewellery company Michael hill is next up. Michael Hill shares are also fast closing the window to receive this company's upcoming dividend. The jeweller will be forking out 3.5 cents per share, this one unfranked, later this month on 25 March.

Regis Healthcare Ltd (ASX: REG)

Regis is last on our list, but not necessarily least. Investors who own the shares before tomorrow can expect to receive a partially franked at 50% dividend of 3.52 cents per share on 8 April next month.

The post Want the dividends from these 5 ASX shares? You'd better be quick! appeared first on The Motley Fool Australia.