Search ASX code:
Generic filters

Search ASX code:
Generic filters

Search ASX code:
Generic filters

This year. We're going Beyond.

What I’m looking for in the Brickworks (ASX:BKW) report

Brickworks Limited (ASX: BKW) is going to hand in its FY21 half-year result today. I’m on the lookout for a number of different things in that report.

Brickworks is a business with a few different segments. It has an Australian building products division, a US building products division, a large holding of Washington H. Soul Pattinson and Co. Ltd (ASX: SOL) shares and a 50% ownership of an industrial property trust.

I believe that Brickworks has a compelling future and it’s one that I particularly like as an ASX dividend share idea.

In the result, I’m going to have my eye out for these three things:

Australian demand turning into profit growth

At the AGM a few months ago, Brickworks said that the Australian building products division had made a strong start to FY21 and that demand was good.

I’m interested to see whether this continued for the rest of the half-year period and what management’s comments are about the rest of the financial year. Brickworks does well with the things in the company’s control, such as investing in high-quality facilities and achieving efficiencies. But what the things outside of its control?

Will the growth continue over the rest of the year? Or will it slow down?

A US recovery?

Another area I’m particularly interested to see is the progress (or not) that’s going on in the US with its acquisitions.

The US has been heavily impacted by the COVID-19 pandemic, and certain sectors have been taking the brunt of it. At the AGM, Brickworks said that its US sales were below expectations partly because of project delays.

Are those projects still being delayed? Are there green shoots of a recovery? How effectively has Brickworks managed to find those efficiencies? Hopefully Brickworks can give some details on these matters.

Progress with the mega warehouses

A key part of my positive outlook on Brickworks shares over the next few years is the planned mega warehouses for Coles Group Ltd (ASX: COL) and Amazon, being built within the industrial property trust.

Once those two huge warehouses are built, the profit distributions from the trust to Brickworks are expected to increased by at least 25%, as well as increasing the gross assets by around $900 million. That’s a big increase.

These properties are important for the future growth of Brickworks. Are they on time and on track budget wise? Are there any more details it can tell the market about the rental profit growth expectations? What about the rest of the spare land that could be built on – are there any more deals?

Keep a look out for the Rask Media coverage

I’ll be providing coverage of the Brickworks result later this morning after the official release of the numbers. I will share my thoughts on how the company performed.

Before you consider Brickworks, I suggest getting a free Rask account and accessing our full stock reports. Click this link to join for free and access our analyst reports. 

Is BNPL the opportunity of a lifetime or is the sector a ticking time bomb?

Rask's analyst has just finished a 7,500-word report, The Ultimate BNPL Sector Report, taking a deep dive into this booming ASX sector. It shines a spotlight on each of the major players. You can get the full analyst report for FREE by CLICKING HERE NOW or entering your email below.

Note: the report is 100% free.

Unsubscribe anytime. Read our TermsFinancial Services GuidePrivacy Policy. We’ll never sell your email address. Our company is Australian owned.

Is BNPL the opportunity of a lifetime or is the sector a ticking time bomb?

Rask's analyst has just finished a 7,500-word report, The Ultimate BNPL Sector Report, taking a deep dive into this booming ASX sector. It shines a spotlight on each of the major players. You can get the full analyst report for FREE by CLICKING HERE NOW.

Note: the report is 100% free.

At the time of publishing, Jaz owns shares of WHSP.

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.

Keep reading:

Rask Media’s Ultimate BNPL Sector Report

Afterpay, Zip, Sezzle… is this the opportunity of a lifetime? Or is BNPL a ticking time bomb? This 7,500-word analyst report takes a deep dive into the BNPL sector and shines a spotlight on each of the major players in this booming market. 

Unsubscribe anytime. Read our TermsFinancial Services GuidePrivacy Policy. We’ll never sell your email address. Our company is Australian owned.

As we emerge from COVID-19, some tech companies are growing faster than ever. Rask’s investment analysts have identified 3 growth stocks set to benefit. Big time.

Enter your email below to access this report for free, including the names, ticker codes and analysis.

Unsubscribe anytime. Read our TermsFinancial Services GuidePrivacy Policy. We’ll never sell your email address. Our company is Australian owned.