What Happened To WiseTech Global Ltd shares today?

February 21, 2018

Rask ASX News Team

Free high-quality* financial news for everyone (*with an occasional spelling mistake). That's our mission. It's what we do. Visit raskmedia.com.au to find the latest news, insights, video and audio content.

More analysis

WiseTech Global Ltd (ASX: WTC) shareholders might be feeling a bit shell-shocked after its shares fell 21% to $11.57, following the public release of its half year financial report.

Of course, given that WiseTech shares are up 124% over 12 months, the pain might not be quite so acute:

The WiseTech share price over the last 12 months. (source: Google Finance)

During the half WiseTech grew its revenue 21% to $93.4 million, and operating profit, or EBITDA (what the heck is EBITDA?) grew 26% to $22.5 million. Net profit after tax grew 8% to $15.6 million. WiseTech reported earnings per share of 5.3 cents, and announced 1.05 cents per share in dividends.

Management stated that customers remain quite loyal, with annual ‘attrition’ (customers that leave) running at below 1%.

WiseTech continues to invest heavily in software development, with 37% of revenue being reinvested, the company said. Between 2014 and the end of 2018, WiseTech will have invested over $200 million in research & development (R&D).

CEO Richard White stated: “We will continue to drive our ‘5 levers of growth’ across the business: relentless innovation and product development, growing revenue from existing customers, acquiring new customers, stimulating network effects and accelerating organic growth through targeted acquisitions in new geographics and logistics adjacencies.”

WiseTech forecast revenue growth of between 35% and 41% for the full year, delivering revenue of between $207 million and $217 million. EBITDA growth of 32% to 39% is forecast, resulting in EBITDA of between $71 million and $75 million.

Join Rask’s Investor Club Newsletter Today

You can join Rask’s FREE investor’s club newsletter today for all of the latest news and education on investing. Join today – it doesn’t cost a thing. BUT, you’ll need a good sense of humour and a willingness to learn.

Join today.

Keep Reading

Disclaimer: This article contains general information only. It is no substitute for licensed financial advice and should not be relied upon. By using our website you agree to our Disclaimer & Terms of Use and Privacy Policy.

$50,000 per year in passive income from shares? Yes, please!

With interest rates UP, now could be one of the best times to start earning passive income from a portfolio. Imagine earning 4%, 5% — or more — in dividend passive income from the best shares, LICs, or ETFs… it’s like magic.

So how do the best investors do it?

Chief Investment Officer Owen Rask has just released his brand new passive income report. Owen has outlined 10 of his favourite ETFs and shares to watch, his rules for passive income investing, why he would buy ETFs before LICs and more.

You can INSTANTLY access Owen’s report for FREE by CLICKING HERE NOW and creating a 100% FREE Rask Account.

(Psst. By creating a free Rask account, you’ll also get access to 15+ online courses, 1,000+ podcasts, invites to events, a weekly value investing newsletter and more!)

Unsubscribe anytime. Read our Terms, Financial Services Guide, Privacy Policy. We’ll never sell your email address. Our company is Australian owned.

Information warning: The information on this website is published by The Rask Group Pty Ltd (ABN: 36 622 810 995) is limited to factual information or (at most) general financial advice only. That means, the information and advice does not take into account your objectives, financial situation or needs. It is not specific to you, your needs, goals or objectives. Because of that, you should consider if the advice is appropriate to you and your needs, before acting on the information. If you don’t know what your needs are, you should consult a trusted and licensed financial adviser who can provide you with personal financial product advice. In addition, you should obtain and read the product disclosure statement (PDS) before making a decision to acquire a financial product. Please read our Terms and Conditions and Financial Services Guide before using this website. The Rask Group Pty Ltd is a Corporate Authorised Representative (#1280930) of AFSL #383169.