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.

The global serviced offices provider released fresh guidance this afternoon, shedding light on how the business is tracking as FY26 progresses. Recent share price behaviour and shareholder activity are providing additional context.

Let's take a closer look at the release.

FY26 guidance upgraded

In an ASX announcement released today, Servcorp lifted its FY26 outlook across all key metrics.

Underlying NPBT is now expected to be between $80 million and $84 million, up from previous guidance of $72 million to $76 million. Underlying free cash flow guidance was also upgraded to no less than $100 million, compared with prior guidance of at least $90 million.

Importantly for income investors, Servcorp said its dividend is not expected to be below 32 cents per share, up from a previous floor of 30 cents.

Management attributed the upgrade to strong operating momentum, improved occupancy, pricing discipline, and leverage from mature locations. Cost control and better cash conversion across the global portfolio also played a role.

The company now enters the year with a strong balance sheet, high cash levels, and no debt.

Insider buying sends a strong signal

One of the more notable developments over the past year has been the level of insider buying at Servcorp.

Founder, CEO, and Executive Chairman, Mr Alfred George Moufarrige, has been a consistent buyer of Servcorp shares. According to disclosed director transactions, he has purchased well over 400,000 shares across multiple transactions in 2025, with several large off-market buys around the $7 level.

While insider buying is never a guarantee of future performance, sustained buying by a founder-led CEO is often interpreted as a strong vote of confidence in the company's outlook and valuation.

Dividend appeal and technical picture

At the current share price, Servcorp offers a trailing dividend yield of around 4%, fully franked. With free cash flow guidance upgraded and a payout ratio near 50%, the dividend appears well supported.

From a technical perspective, Servcorp shares remain in a broader uptrend. The stock is trading above its 200-day moving average, with support forming around $6.80 to $7. Resistance remains near the recent highs around $7.40.

Foolish Takeaway

Servcorp may not be the most exciting stock on the ASX, but steady earnings, rising cash flow, a solid dividend, and insider buying make it one to watch.

With upgraded guidance now in place and a strong balance sheet underpinning returns, the company appears well-positioned to deliver reliable income while continuing to compound value over time.

The post Servcorp upgrades guidance, insiders keep buying. Is this ASX dividend stock quietly setting up? appeared first on The Motley Fool Australia.

Dividend gains and passive income are one thing, but enormous returns are just as great for investors looking for a way to make cash. Here are two overlooked shares which have rocketed this year.

Dateline Resources Ltd (ASX: DTR)

Dateline Resources is an Australian-based gold and rare earth mining and exploration company focused in the United States. Its main projects include the Colosseum Gold-REE Project in California and the Gold Links Mine in Colorado. The company also has an interest in the Argos Strontium Project. The project focuses on strontium minerals used in magnets and pyrotechnics. 

The ASX miner's shares are trading 7.14% higher on Thursday morning at 29 cents per share. Dateline Resources has seen some incredible share price growth recently. The stock is trading an explosive 9,733.33% higher than this time last year. That means just $500 invested 12 months ago is now worth $49,166.65!

It looks like the small-cap miner could have some good growth prospects too. It's important to note that the company has not defined a rare earths resource at Colosseum yet which is economically viable to mine. But it is currently conducting an evaluation of its gold system at the same site. This will determine if developing a gold mine is worthwhile or not. If it is, Dateline Resources could be set for even more growth. 

Servcorp Limited (ASX: SRV)

Servcorp provides flexible workspace solutions like serviced offices, virtual offices, and coworking spaces in major cities around the world. Founded in Sydney, the company is able to offer businesses access to a professional and prestigious address, across 150 locations. It can also give IT and administrative support to help clients operate more flexibly and cost-effectively. 

The ASX small-cap company's shares are trading 0.57% lower at the time of writing, at $7.02 a piece. Over the past month, the shares have slumped 4.62%, but over the year, they're still 43.27% higher.

Servcorp's shares have stormed higher at the same surprising rate as Dateline Resources, with its investors enjoying some robust gains over the past 12 months as the under-the-radar business continues strengthening.

The company recently posted record profits, rising free cash flow, and maintains a cash and investment balance north of $140 million. Shareholders have also been rewarded dividends of 28 cents per share in FY25, up 12% from the prior year and management has indicated that in FY26, payouts won't fall below 30 cents.

The post 2 little-known ASX shares making investors an outrageous amount of money appeared first on The Motley Fool Australia.

Servcorp Ltd (ASX: SRV), best known for its global network of serviced and virtual offices, has been one of the most surprising success stories on the ASX in recent years.

Its share price has surged more than 47% year to date and 144% over the past two years (excluding dividends). Over the same period, the All Ordinaries Index (ASX: XAO) is up just over 10% and 32.5% respectively.

Far from being a property behemoth like Charter Hall Group (ASX: CHC) or Goodman Group (ASX: GMG), Servcorp remains a smaller, under-the-radar operator quietly expanding at a speed the big names would envy. Where others build growth on layers of debt, Servcorp has constructed its global empire on discipline, cash, and creativity.

Global presence, local discipline

Servcorp isn't a flashy tech name or a traditional property play. Instead, it sits in a unique position between real estate and services, providing flexible offices, virtual offices, and meeting rooms in premium buildings across 20 major cities around the world, from New York and London to Tokyo, Dubai, and Paris.

Founded in Sydney, the company's model allows it to capture the benefits of global property exposure without being tied to any single market. In a post-pandemic world where flexibility and agility reign supreme, Servcorp's offering has found a sweet spot.

Yet what makes Servcorp even more distinctive is its personality. While most companies issue dry, cookie-cutter investor presentations, Servcorp's annual reports have become something of a collector's item. Each year brings a fresh design. This year's edition is part comic book, part yearbook, and entirely Servcorp: solid performance and unexpectedly fun.

It's a rare blend of serious numbers and light-hearted flair, the kind of contrast that captures exactly how the business operates: a disciplined compounder that still enjoys the process.

Quiet compounding at work

Servcorp has been quietly compounding through strong cash generation, disciplined expansion, and consistent dividend growth.

The company recently posted record profits, rising free cash flow, and maintains a cash and investment balance north of $140 million (an impressive feat in a sector where debt is often the default). That war chest gives Servcorp enviable flexibility for future growth and shareholder returns.

Shareholders have also been rewarded with higher dividends: 28 cents per share in FY25, up 12% from the prior year and management has indicated that FY26 payouts won't fall below 30 cents.

Servcorp's leadership keeps reinvesting with purpose, not ego. The company grows patiently and profitably. While the market chases hype and headlines, this quiet achiever proves that real compounding comes from focus, integrity, and time.

From small cap to something much bigger

Finding small caps that grow into medium or large-cap companies is one of the most rewarding aspects of investing.

Many of today's ASX heavyweights began life as far smaller enterprises that steadily reinvested profits and expanded their market reach.

Servcorp may never dominate the headlines, but its steady results and shareholder focus make it a standout example of how small, disciplined companies can quietly build lasting value.

The post The ASX small-cap compounding faster than the market's biggest names appeared first on The Motley Fool Australia.

With $10,000 ready to deploy, I'd be looking to spread it across three different types of dividend opportunities: a proven stalwart, diversified funds, and an emerging up-and-comer. 

This way, you're not relying on just one source of returns, but building a blend of stability, breadth, and growth.

The dividend king: Washington H. Soul Pattinson (ASX: SOL)

If there's one company that deserves the title of Australia's "dividend king," it's Washington H. Soul Pattinson; better known as Soul Patts. This investment house has been around for more than a century and has increased its dividend for over 25 consecutive years.

What makes Soul Patts unique is its structure. It's not a traditional operating business but rather a diversified investment company. Its portfolio stretches across blue-chip ASX shares, private credit, unlisted assets, and even venture capital. That means investors get access to a wide spread of businesses and asset classes under one roof.

Looking ahead, Soul Patts is in the process of merging with Brickworks, which will bring a fresh set of property assets into the mix. It's this diversification, combined with its track record of market-beating total returns, that makes Soul Patts one of the most reliable dividend names on the ASX. 

Diversification made easy: VHY & UMAX

For those who want dependable income without picking individual shares, dividend-focused ETFs are an attractive option. Two that stand out to me are:

• Vanguard Australian Shares High Yield ETF (ASX: VHY): This fund invests in many of the ASX's biggest dividend payers, including banks, miners, and telcos. Importantly, it caps any single company's weighting, so you're not overexposed to one sector. At present, it offers a yield of around 4.6%, distributed quarterly.
  
• BetaShares S&P 500 Yield Maximiser Fund (ASX: UMAX): While VHY focuses on local shares, UMAX ETF generates income from the US market using a covered-call strategy. By selling call options over the S&P 500 index, it collects premiums and distributes them to investors, resulting in a yield above 5%. The trade-off is reduced upside in strong bull markets, but for income-focused investors, the regular distributions can be appealing.
  
  

Together, these ETFs offer a simple, low-maintenance way to achieve diversification across both Australian and global income streams.

The up-and-comer: Servcorp (ASX: SRV)

Finally, I'd dedicate a portion of the $10,000 to a smaller company that combines dividends with growth potential. Servcorp is a global provider of serviced offices, virtual offices, and co-working spaces.

Servcorp has been quietly delivering impressive results. In FY25, it reported record profits, rising free cash flow, and boosted dividends. Its share price has climbed strongly this year, but management still holds more than $140 million in cash and investments, showing the business is being run conservatively.

The company declared a final dividend of 14 cents per share, bringing the total FY25 payout to 28 cents — up 12% from the prior year. And management has flagged that FY26 dividends aren't expected to fall below 30 cents per share.

Servcorp may not carry the same name recognition as a bank or mining giant, but its global footprint — spanning New York, London, Tokyo, and beyond — positions it well for the continued demand in flexible office solutions. For income investors who also want growth exposure, Servcorp offers an intriguing blend of both.

Foolish takeaway

If I had $10,000 to invest in dividend shares right now, I'd look to split it between a rock-solid stalwart, the broad diversification of ETFs, and a smaller growth-plus-income story.

This mix offers the best of all worlds: the comfort of a proven dividend payer, the breadth of diversified income streams, and the excitement of an up-and-comer with room to expand. Dividends aren't just about receiving cash; they can be the foundation of a long-term wealth-building strategy.

The post Where I'd invest $10,000 in ASX dividend shares right now appeared first on The Motley Fool Australia.

Eye-catching fonts, vivid imagery, and candid commentary from CEO Alf Moufarrige have become a hallmark of the company's style. Moufarrige goes beyond the numbers, weaving in business stories and frank insights that set Servcorp apart from traditional property developers and REITs.

On Friday, Servcorp reported its full-year results for FY25. Since the announcement, shares have climbed more than 9%, extending a rally that has seen the stock rise over 50% across the past twelve months.

Earnings hit record highs

The headline figure was an underlying net profit before non-cash impairments and tax (NPBIT) of $69.1 million. That marked a 23% increase on FY24 and highlighted the company's ability to lift earnings despite a mixed environment for office property.

Underlying free cash generation also impressed, rising 17% to $84.9 million. This robust cash position gave management confidence to lift dividends while keeping more than 140 million dollars in cash and investments on hand at 30 June.

Statutory profit also grew strongly. Net profit before tax came in at $62.6 million, up 46% year on year, while net profit after tax rose 36% to $53.1 million. Earnings per share (EPS) climbed 35% to 53.8 cents. Net tangible assets increased 22% to $2.17 per share.

Dividends step up

Income investors have reason to smile. The board declared a final dividend of 14 cents per share, 10% franked, bringing the total FY25 payout to 28 cents per share, up 12% from FY24.

Looking ahead, Servcorp suggested that dividends for FY26 are not expected to fall below 30 cents per share. 

Building for stability

Founded in Australia, Servcorp provides serviced offices, virtual offices, co-working spaces, and meeting rooms in major cities around the world. Its footprint spans markets such as New York, London, Paris, Tokyo, Hong Kong, Dubai, and Sydney.

This model allows the company to benefit from global exposure without relying heavily on any single property market. The mix of flexible office solutions has also found a place in a post-pandemic world, where businesses value adaptability over long-term leases.

Foolish Takeaway

Servcorp is the kind of "boring but beautiful" stock that often flies under the radar. Its steady rise in profits, disciplined cash management, and consistent dividends have quietly created meaningful shareholder value. With the share price already up sharply in 2025, investors may be taking greater notice of this global office provider's strong run.

The post Real estate small cap is rallying again after results appeared first on The Motley Fool Australia.

Here are three property stocks that are outperforming their peers today.

3 ASX real estate shares outperforming today

Servcorp Ltd (ASX: SRV) shares hit a 52-week high

The property sector's leader today is office-space solutions company Servcorp Ltd (ASX: SRV).

Servcorp shares are up by 11% to $4.84 apiece at the time of writing. The real estate stock lifted to a new 52-week high of $4.85 in earlier trading.

This followed the company releasing its FY24 results. Servcorp reported an underlying net profit before non-cash impairments and tax (NPBIT) of $56.6 million, up 18% from the prior corresponding period (pcp). The company also advised it had $72.5 million in underlying free cash, also up 18% from FY23.

The ASX real estate share will pay a final dividend of 13 cents per share with 20% franking on 2 October. This brings its full-year dividend to 25 cents per share, up 14% on FY23.

Servcorp said the FY25 dividend would be no less than 26 cents per share. Based on today's Servcorp share price of $4.84, this would equate to a dividend yield of 5.37%.

The ASX real estate share has risen 45.95% in the year to date.

Growthpoint Properties Australia Ltd (ASX: GOZ) lifts on FY24 results

Growthpoint is an Australian real estate investment trust (REIT) with a portfolio of office and industrial properties.

The ASX real estate share is up 5.2% on Thursday to $2.39 after the REIT released its full-year FY24 results.

Growthpoint reported funds from operations (FFO) of $180.4 million, equating to 23.9 cents per share, which is above the REIT's upgraded guidance. It recorded a statutory net loss of $298.2 million in FY24 compared to a loss of $245.6 million in FY23. This was largely due to lower property revaluations.

The ASX real estate share will pay a distribution of 19.3 cents per share, in line with guidance and representing a payout ratio of 80.7%. This is within the target payout ratio range of 75% to 85% of FFO.

The ASX 300 real estate stock has lifted 2.58% in the year to date.

Stockland Corporation Ltd (ASX: SGP) share price higher despite profit fall

Stockland is a diversified property group and one of Australia's largest residential land and housing developers.

The Stockland share price is firing on Thursday, up 4.24% to $4.80 per share. Investors appear impressed with the property giant's full-year FY24 results.

The company reported a statutory profit of $305 million for FY24, down from $440 million in FY23. This partly reflected $310 million of net asset devaluations vs. $250 million net devaluations in FY23.

Stockland reported a pre-tax FFO of $843 million, down 4.5% on FY23. Pre-tax FFO per security was 35.4 cents. This was at the top end of Stockland's guidance range of 34.5 to 35.5 cents.

The ASX 200 real estate stock will pay a distribution of 16.6 cents on 30 August. This brings the ASX real estate share's full-year distribution to 24.6 cents per security compared to 26.2 cents per share in FY23.

The Stockland share price has risen by 8.2% in the year to date.

The post 3 ASX real estate shares rising strongly on FY24 results (one by 11%) appeared first on The Motley Fool Australia.

You see this market size discrepancy play out in almost every area of economic activity, including the healthcare space, defence, aerospace, or the housing industry. However, for some ASX shares, expansion into the US doesn't always work out for the best.

A cautionary tale 

Servcorp Limited (ASX: SRV) provides serviced offices, virtual offices, coworking spaces, and meeting rooms. Its business had been ailing for a long time in the US market, describing its problems as being too culturally Australian for the American market. Furthermore, it has recently announced a move to halve the company's US offices, naming the COVID-19 crisis as the last straw.

Treasury Wine Estates Ltd (ASX: TWE) has also been having problems in the US market for well over a year, due to an industry wide glut that has been compounded by the coronavirus crisis. This ASX share has flagged a demerger of its Penfolds business by the end of FY21. In addition, it has been under increasing pressure since the end of January to act on poorly performing US assets, particularly after a raft of departures from its US business had impacted earnings.

The retail space

So, expansion into the US can go badly, but it can also go very well. Sezzle Inc (ASX: SZL) is an ASX share that is a native US BNPL company. In fact, it is not active in the Australian market at all. In my view this provides the company with an immediate advantage over, say, Afterpay, as it already has a head start in the much larger US market.

In fact, Sezzle reported on 7 July that at the end of H2 FY20 the company had a pre-existing network of 1.48 million consumers and 16,112 merchants. Significantly, 87.5% of the company's consumers were repeat purchasers.

Chasing on Sezzle's heels in the US is its BNPL competitor, Zip Co Ltd (ASX: Z1P). Zip Co has entered the US via the acquisition of US BNPL company QuadPay. This provides it with a pre-existing network for its additional credit offerings. On completion, this will boost the company's global network to 3.5 million customers and 26,200 merchants. Of these, 1.5 million, over 3,500 merchants are from the QuadPay network in the US. 

The defence market

There are several Australian defence contractors with active operations in the US. This is a market where $729 billion was spent in 2019 alone – greater than the cumulative defence spending of countries like China, Saudi Arabia, Russia, the United Kingdom, India, France, Japan, Germany, and South Korea. 

Austal Limited (ASX: ASB) is Australia's largest ASX defence share, as well as being the world's largest builder of aluminium ships. In June, the company also announced the provision of US$50 million in funding from the US government. This is to maintain, protect, and expand US domestic production of steel shipbuilding capabilities for capital projects over the next 24 months.

In February, Austal had a forward order book of $4.9 billion, most of which is to build ships for the US Navy.

Xtek Ltd (ASX: XTE) is another Australian defence contractor with existing ties to US defence forces. The company has entered the US retail market via the acquisition of HighCom, a US body armour manufacturer. Furthermore, agencies of the United States Department of Defense use the company's electric-powered, hand-launched unmanned aircraft system. 

I think the potential for XTEK to expand in the US is huge. By purchasing an existing, successful franchise it can leverage that company's networks and sales channels. XTEK has a range of products for use by security and defence sector entities that can be distributed via these channels.

Foolish takeaway

The US is definitely the place to be for many sectors. However, not all ASX shares that try to enter the US markets are successful. I would look at companies that have either a proven track record of achievement, like Austal or Sezzle. Or alternatively, a company that has acquired a successful US-based business to give themselves a head start, such as Zip Co or XTEK.

The post ASX shares tapping into the US market appeared first on The Motley Fool Australia.

The share price move could be related to a sell-side broker or analyst upgrading their rating on the business or a buy-side fund manager buying up large volumes of the stock. Alternatively, it could be related to any number of other factors meaning there are more buyers than sellers for the shares today.

Even after today's rise the stock is still down more than 40% over the past year as Servcorp is facing rising competition from probably thousands of start-up shared workspace operators globally.

This competition includes the deep-pocketed WeWork shared office provider that is dominant in the U.S. and also now operates in Melbourne and Sydney.

WeWork reportedly lost US$2 billion in its most recent financial year as it aggressively fights for market share. This shows the kind of tough competition Servcorp is now facing, as it still posted a net loss of $6.1 million on sales of $164.2 million for the six months ending December 31 2018. Excluding "restructuring" costs Servcorp's net profit came in at $14.5 million.

It's also a founder led business with a strong balance sheet, which means potential investors face a conundrum as to whether the stock is "cheap" or a "value trap".

The post Why the Servcorp share price jumped today appeared first on The Motley Fool Australia.

Will the market be able to bounce back on Monday? Here are five things to watch:

ASX futures pointing higher.

According to the latest SPI futures, the Australian share market is expected to open the week higher. SPI futures are pointing to the market opening 0.4% or 26 points higher on Monday despite a mixed night of trade on Wall Street on Friday. The Dow Jones finished the week 0.1% lower, the S&P 500 edged slightly higher, and the NASDAQ rose 0.25%.

Oil prices tumble.

Energy shares Beach Energy Ltd (ASX: BPT) and Santos Ltd (ASX: STO) could come under pressure after oil price tumbled lower at the end of the week. According to Bloomberg, the WTI crude oil price fell 0.6% to US$69.80 a barrel and the Brent crude oil price dropped 0.5% to US$77.64 a barrel. Concerns over global trade wars has been blamed for the decline.

Bendigo and Adelaide Bank shares go ex-dividend.

This morning the shares of regional bank Bendigo and Adelaide Bank Ltd (ASX: BEN) go ex-dividend for its final dividend of 35 cents per share. This will then be paid to eligible shareholders on September 28. In addition to Bendigo and Adelaide Bank, the shares of Servcorp Limited (ASX: SRV) and Villa World Ltd (ASX: VLW) go ex-dividend this morning.

Another bid coming for Capilano Honey?

On Friday the Capilano Honey Ltd (ASX: CZZ) share price surged over 5% higher to $21.00 in late trade. This pushed its shares above the $20.06 takeover offer it received from Bravo HoldCo in mid-August. According to the AFR, Bega Cheese Ltd (ASX: BGA) could have been the buyer of its shares and may be interested in making a counter bid.

Australian dollar drops below 72 U.S. cents.

U.S. dollar earners such as Appen Ltd (ASX: APX) and Ardent Leisure Group (ASX: AAD) will be smiling this morning after the Australian dollar continued its decline. Over the weekend the Aussie dollar dropped below 72 U.S. cents to a year-to-date low of 71.77 U.S. cents.

The post 5 things to watch on the ASX on Monday appeared first on The Motley Fool Australia.

Here's a short recap of the Australian market:

• S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) lower 0.29% to 6,266.00
• ALL ORDINARIES (Index: ^AXAO) (ASX: XAO) lower 0.14% to 6,373.80
• AUD/USD at US 73 cents
• Gold at US$1,194.55 an ounce
• Brent Oil at US$73.15 a barrel

The best-performing ASX 200 share today was Altium Limited (ASX: ALU), the electronic PCB software company rose 31.7% today in response to its report yesterday.

Hot on its heels was WiseTech Global Ltd (ASX: WTC), the logistics company's share price climbed 27.2% with investors loving what they read in its report.

TPG Telecom Ltd (ASX: TPM) shares climbed 21.6% today after the telco confirmed it was considering merging with Hutchison Telecommunications (Aus) Ltd (ASX: HTA), which rose 51.7%. Telco giant Telstra Corporation Ltd (ASX: TLS) shares also rose by 7.2%.

The Bapcor Ltd (ASX: BAP) share price fell by 4.1% after reporting a solid increase of its profit.

Nearmap Ltd (ASX: NEA) shares rose by 7.3% after reporting its FY18 result to investors.

Sydney Airport Holdings Ltd (ASX: SYD) shares rose 3.6% today after its revenue and distribution flew higher.

Shares of Servcorp Limited (ASX: SRV) dropped 1% after a large fall of profit.

Finally, Adelaide Brighton Ltd. (ASX: ABC) shares dropped 7.1% after reporting.

Here are some of today's top stories:

• National Storage REIT (ASX:NSR) reports FY18 result, raising $175 million
• Results: Why the Wellcom Group Limited (ASX:WLL) share price popped today
• Why Lovisa Holdings Ltd (ASX:LOV) shares have been smashed today
• Why shares in Worleyparsons Limited (ASX:WOR) have jumped to a 5-year high
• Should you buy this small cap share after today's profit result?

The post ALL ORDINARIES finishes lower Wednesday: 10 shares you missed appeared first on The Motley Fool Australia.

In constant currency terms revenue was down by only 1%. The company said that the flexible workspace industry has seen unprecedented change, with commercial real estate experiencing significant disruption bringing new competition & challenges.

Like for like floor occupancy was 72% at 30 June 2018, down from 74% at the end of FY17. All floors occupancy was also down 200 basis points to 71% at 30 June 2018.

The USA segment was a key detractor from the result, excluding the USA like for like performance was flat compared to FY17.

Servcorp reported that net profit before tax (NPBT) was $32.1 million – 33% lower than FY17. This includes a one-off $5.8 million strategic initiative expense.

Net profit after tax (NPAT) declined by 75% to $10 million. A $13 million non-cash adjustment relating to the USA deferred tax asset following the USA Federal corporate tax rate reduction was the main culprit for the large decrease. Earnings per share (EPS) declined by just over 75% to 10 cents per share.

Pleasingly, the full year dividend was maintained at 26 cents per share. Management also provided a forecast that the FY19 dividend would be 26 cents per share too.

Operating cash flow fell by 8% to $50.1 million and cash on the balance sheet declined by 10% to $97.1 million.

Outlook

Servcorp believes that global flexible workspace will grow from 5% of all commercial real estate to 20% in the medium-term. In FY19 alone Servcorp estimates it will add around 7.5% capacity including the first location in Germany. Servcorp wants to be the premium provider in a more mainstream industry.

The company's Board forecast that NPBT will be between $34 million to $40 million in FY19, representing growth of approximately 6% to 25%.

Foolish takeaway

Based on a 26 cents per share full year dividend Servcorp offers a partially franked dividend yield of 6.4%.

This yield is attractive in this low-interest era. However, it seems as though the industry is about to get a lot more supply and demand. If the supply is installed first then Servcorp could face price competition in the shorter-term.

Servcorp is an interesting business, although it is not in a sector that really aligns with my own style of investing.

The post Servcorp Limited (ASX:SRV) reports profit down 75%, is it a buy? appeared first on The Motley Fool Australia.

In that time the S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) has risen 8.8%, whilst an equally weighted portfolio of my 10 picks would have delivered capital gains of 91.6%! Both figures are before dividends.

Although three years is not that long, this suggests that buying high quality businesses and holding for the long-term delivers excellent returns. The trouble is that sitting and doing nothing is hard to do.

Flight Centre Travel Group Ltd (ASX: FLT) – capital return: 43.2%, dividend return: 10.5%

Travel retailer Flight Centre continues to grow revenue in the face of stiff online competition although operating margins and return on capital have fallen in recent years. This could be partly down to a weaker Aussie dollar and so may reverse in future years.

REA Group Limited (ASX: REA) – capital return: 131.5%, dividend return: 6.9%

Online property portal REA Group is a truly exceptional business enjoying huge pricing power, low capital needs, network effects and a dominant market share. Future returns could moderate given the company's increasing maturity in Australia but planned overseas expansion provides growth potential.

Servcorp Limited (ASX: SRV) – capital return: -28.5%, dividend return: 12.4%

Serviced office provider Servcorp's business has proven less resilient than I originally thought. The company has short-term contracts with customers so revenue can fall away quickly when economic conditions deteriorate, whilst it is left carrying high fixed costs. The US division is still yet to reach profitability despite years of investment.

Navitas Limited (ASX: NVT) – capital return: -2.2%, dividend return: 13%

Education provider Navitas is another poor performer although the stock generated a modest positive return after dividends. Revenue growth in its main University Pathways division which provides services to international students has stalled due to a couple of college closures but long-term sector tailwinds remain.

CSL Limited (ASX: CSL) – capital return: 113.8%, dividend return: 6%

Blood products manufacturer CSL is one of the highest quality stocks on the ASX. The company enjoys numerous competitive advantages including unmatched R&D capabilities, the broadest product range in its industry and cost leading plasma collection and product manufacturing facilities.

Altium Limited (ASX: ALU) – capital return: 402%, dividend return: 14.1%

Printed circuit board software developer Altium has been the standout performer in the portfolio. It is one of the few stocks that have successfully transitioned from micro cap status to a global leader. Altium has sticky customer due to the costs of switching software and operates in a growing global market.

Sydney Airport Holdings Ltd (ASX: SYD) – capital return: 35.5%, dividend return: 17.2%

Sydney is and will remain a world class travel destination and so Sydney Airport will continue to benefit from the secular growth in global tourism. The airport also enjoys high pricing power as it is currently the only international airport in the city.

AUB Group Limited (ASX: AUB) – capital return: 55.7%, dividend return: 13.5%

Most roll-ups come undone but insurance broker AUB Group has executed a successful growth by acquisition strategy over the years. A major strength of its approach is its co-ownership model where acquirees retain an equity stake in their businesses.

Breville Group Ltd (ASX: BRG) – capital return: 68.6%, dividend return: 13.2%

Breville makes innovative kitchen appliances and is a globally respected brand. It regularly receives awards for its products and generates 75% of profits from outside Australia. Management are aiming to accelerate growth in coming years through more rapid product development, geographic expansion and acquisitions.

Nick Scali Limited (ASX: NCK) – capital return: 97.7%, dividend return: 24.6%

Nick Scali has cultivated a desirable brand and has benefited from the housing boom which has coincided with the roll-out of its store network. As a retailer it has high operating leverage and so profit has outstripped revenue growth in recent years. However, this works both ways and there are signs that the housing market is now moving into reverse.

The post My 10 best mid-cap share picks revisited appeared first on The Motley Fool Australia.

The following three stocks have experienced share price declines over the last year, but they all have one secret weapon in common:

* All cash and total liabilities balances above are as at the company's last reporting date. 

As you can see, these companies all have significant amounts of cash and short term investments that are higher than total liabilities.

This in an important metric I usually check particularly when a company's share price has declined significantly for the following reasons:

• Low debt levels typically result in lower ongoing obligations for the company and more free cash flow
• Cash gives management enough runaway to implement new strategies and grow the business
• The company's fate is not in the hands of external financiers who may act to significantly dilute existing shareholders

Risks

Whilst having low levels of debt relative to cash is desirable, it should not be the only consideration, particularly when the market is already losing confidence in the company.

Investors should always consider the prospects of the business looking ahead as well as management's ability to use that cash effectively to grow shareholder value.

Foolish Takeaway

Given Servcorp's challenges with strong competition in the US and the recent change of leadership at Perpetual, my preferred pick from the above list would be Nanosonics. This company has a huge market opportunity with its trophon technology.

Mind you I think this emerging investment opportunity could be even more exciting than Nanosonics.

The post Here's the secret weapon behind these 3 beaten down stocks appeared first on The Motley Fool Australia.

Here's a short recap of the Australian market:

• S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) up 0.54% to 6,015.20
• ALL ORDINARIES (Index: ^AXAO) (ASX: XAO) up 0.47% to 6,100.00
• AUD/USD at US 75 cents
• Gold at US$1,324.40 an ounce
• Brent Oil at US$74.73 a barrel

The biggest news of the day was Australia and New Zealand Banking Group's (ASX: ANZ) half-year profit report, the big bank delivered cash profit growth of 4%. The share price finished 2.35% higher today.

Servcorp Limited (ASX: SRV) finished the day down 13.6% after the company downgraded its profit guidance due to weaker US operations.

The Ramsay Health Care Limited (ASX: RHC) share price went down 4.5% today after it turned out the CEO sold around $4.8 million of shares.

Pro Medicus Limited (ASX: PME) won a new contract, which sent the share price up by 2.13%.

It wasn't good news for Blue Sky Alternatives Access Fund Ltd (ASX: BAF) shareholders as the listed investment company announced today that it had sold two of its investments, one for less than its carrying value, this sent the share price down 2.82%.

WiseTech Global Ltd (ASX: WTC) went up by 5.3% after upgrading its revenue guidance for FY18.

Another share to do well today was IOOF Holdings Limited (ASX: IFL), the wealth business pointed out to shareholders how well its new acquisition performed in the ANZ result, which sent the share price up 4.68%.

Finally, Sigma Healthcare Ltd (ASX: SIG) had another good day with the share price going up by 5.2% on no company news.

Here are some of today's top stories:

• Sydney and Melbourne house prices fall again
• RBA keeps rates on hold: So buy these 3 dividend shares
• Why regulators roasted Commonwealth Bank of Australia again

The post ALL ORDINARIES finishes higher Tuesday: 8 shares you missed appeared first on The Motley Fool Australia.

This was due to disappointing performance of their USA operations which are now expected to deliver an FY 18 net loss of $9 million up from the previously expected $1 million loss. The Servcorp CEO is now expected to travel to the USA this week to help turnaround the business.

The company also expects the performance of its operations in Singapore and Saudi Arabia to be $4 million below expectations.

Foolish Takeaway

The US has long been a challenge for Servcorp with competition from the innovative WeWork. This has led to previous share price crashes with institutional investors Commonwealth Bank of Australia (ASX: CBA) and Perpetual Limited (ASX: PPT) decreasing their holdings.

While the decrease in price might tempt investors looking for a bargain, I would avoid this one for now.

The post Why the Servcorp Limited share price is down 17% today appeared first on The Motley Fool Australia.

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

The Avz Minerals Ltd (ASX: AVZ) share price has dropped 11% to 18.7 cents a day after providing an update on its drilling results at the Manono project in the Democratic Republic of the Congo. Although the lithium-focused mineral exploration company delivered positive results, I feel the market still has a lot of questions over the viability of the project due to its location.

The Graincorp Ltd (ASX: GNC) share price has fallen 5.5% to $8.40 after the grains exporter's shares were downgraded by two leading brokers. Yesterday Bell Potter downgraded its shares and today Credit Suisse has downgraded Graincorp to a neutral rating from outperform. It has, however, held firm with its $9.06 price target. The broker appears concerned that recent weather could reduce its crop.

The Ramsay Health Care Limited (ASX: RHC) share price has tumbled 4% to $62.18 after it emerged that CEO, Craig McNally, offloaded almost $4.8 million worth of the private hospital operator's shares last week. Although Mr McNally still has a considerable holding and was selling for tax reasons, it hasn't gone down well with shareholders. I'm bearish on Ramsay's prospects so would suggest investors consider following Mr McNally's lead and selling shares.

The Servcorp Limited (ASX: SRV) share price has plunged 16% lower to $4.01 after the serviced office provider released a trading update. According to the release, Servcorp has downgraded its full-year profit before tax guidance to between $30 million and $35 million compared to prior guidance of $45 million and $55 million. I'm surprised the selloff wasn't more severe after such a shocking downgrade.

The post Why these 4 ASX shares dropped lower today appeared first on The Motley Fool Australia.

First, it can reinvest it back in the business in order to grow the business. This is a god idea if each dollar reinvested can return meaningfully more than one dollar in value for shareholders.

Second, a company can pay down its debt. This is a good idea if the interest rate on its debt is higher than the company could expect to get by reinvesting the money in the business, or if debt is becoming too high.

Third, the company can use its cash to acquire other, complementary businesses. This is a good idea if there are genuine synergies between the businesses that mean the return on the cash used to acquire other businesses is beneficial for shareholders.

Lastly, a company can return cash to shareholders if it cannot use it in a manner that generates sufficient returns. As such, small cap companies who are in growth phases might generally be dissuaded from paying out large percentages of their earnings to shareholders. However, this is not always the case.

Here are three quality small-cap companies, which have the cash to pay a good dividend to shareholders.

Servcorp Limited (ASX: SRV)

Servcorp provides executive services and virtual offices, as well as IT, communication and secretarial services worldwide. Servcorp paid a dividend of 26 cents in 2017 at a payout ratio of 63%. At the current share price, that represents a return of 5.4%. Analysts have forecast a dividend of 26 cents again in 2018.

OFX Group Ltd (ASX: OFX)

OFX Group offer international payment and foreign exchange services. Last year, it paid a dividend of 5.7 cents per share, a return of 3.7% at the current share price and a payout ratio of 71%. Analysts have forecast a dividend of 6 cents in 2018, a return of 3.9% if you buy the shares today.

APN Outdoor Group Ltd (ASX: APO)

APN Outdoor is an outdoor advertising company that operates in Australia and New Zealand. It offers advertising via digital and static billboards, as well as transit, rail, and airport advertising. Its 2017 dividend was 19.2 cents, representing a 4.6% return at the current share price. To achieve this, its payout ratio was 64%. Analysts have forecast a dividend of approximately 19 cents again in 2018.

Foolish takeaway

Small caps don't always retain their earnings for the purposes of growth. Servcorp, OFX Group and APN Outdoor are small cap companies that earn good cash profits and can pay a good percentage of these out to shareholders.

The post 3 quality small cap companies I'd buy for the dividend appeared first on The Motley Fool Australia.

Blackwall Ltd (ASX: BWF)

Blackwall Ltd manage, develop and finance income-producing real estate on behalf of retail, high-net worth and institutional property investors.

Blackwall Ltd posted a strong result for the six months to December 2017 driven by the continued expansion of the WOTSO co-working sites, striking new WOTSO site deals at Westfield Chermside, Bondi and Sippy Downs within the results period reported.

Recurring revenue from WOTSO and the property/funds business has risen 35% on the previous corresponding period with the NPAT of $6.8million increasing more than 500% due to an $8.8million one-off performance fee injection from the resale of the wholesale investment trust controlling 55 Pyrmont Bridge Road and Penrith Fund No 3.

Since listing 7 years ago, Blackwall has generated more than $17 million in performance and transaction fees and at December 31 2017 the company's net asset backing had grown to 49c per share.

CEO Stuart Brown told Motley Fool Australia the company did not have "passive reliance on market movements" to drive profits and while performance fees may be one-off, the company had a "good track record of generating them", with an average of $2 million in performance fees logged for each 12-months since they've been listed.

More good news for Blackwall Ltd shareholders comes in a fully-franked interim dividend of 1.9c per share payable April 11.

Blackwall has taken on the likes of Servcorp Limited (ASX: SRV) in the shared office space with key institutional investors showing interest in the company by picking up shareholdings in recent times.

Blackwall Ltd has appeared on analysts' radars as a strong performer in recent times, able to increasingly improve its bottom line and "leverage any uplift the industry is enjoying" to its advantage.

BlackWall Property Trust (ASX: BWR)

BlackWall Property Trust is a total return property investment trust controlling assets of $260 million and posted a $5.2 million NPAT for the half-year period, with property income up 23% on the previous corresponding period and a focus on SME leasing.

CEO Stuart Brown told Motley Fool Australia BlackWall Property Trust would rather have a building "leased to 100 SMEs rather than 1 corporate" to spread leasing risk and generate better cashflow.

The sale of Bakehouse Quarter, expected to be completed by October, will generate about $30 million in cash with an unfranked interim dividend of 5c per share to be paid out too shareholders on April 9.

Savvy growth investors will keep their eyes on both Blackwall Ltd and BlackWall Property Trust in the short-term future.

The post Why Blackwall Ltd and BlackWall PropertyTrust shares are heading higher today appeared first on The Motley Fool Australia.

The group will pay a final dividend of 13 cents per share, 50% franked, to take total annual dividends to 26 cents per share on full year earnings of 41.4 cents per share. The total dividend payout for the year was up an impressive 18%. The stock trades on around 15x its trailing earnings.

The group operates 155 office floors, across 55 cities, in 23 countries and also provides some IT and business administration support to the offices. The group grew total office numbers over the year at a healthy rate including opening 7 new floors over the year. However, occupancy of like-for-like floors as at June 30 2017 was 76%, while all floor occupancy stood at 73%.

If the occupancy rates are not high enough it may negate the growth in the number of offices available, which is probably why the revenue and profit result are largely flat on the prior year.

Its management team forecast a net profit between $45 million to $55 million in FY 2018, which would represent some reasonable growth on the prior year. The group also flagged that the shared workspace industry is in a state of "unprecedented transition" and that it is seeing "many new participants" competing for their share of the rising client demand fueled by the growth of the digital economy.

One fast-growing rival to watch out for is U.S giant WeWork, which is well funded and expanding aggressively around the world's major cities including in Australia.

The post Why the Servcorp Limited share price is falling today appeared first on The Motley Fool Australia.