Stocks of the Hour: GrainCorp, Pushpay & Magellan Financial

Company News

by Lauren Evans

Global demand for Australian commodities and favourable planting conditions led GrainCorp (ASX:GNC) to report a record half-year result for the six months to March 31. Its profit after tax rose to $246 million from $51 million a year ago, while it confirmed FY22 profit guidance of $310 to $370 million. Graincorp said the conflict in Ukraine prompted buyers to seek alternative sources of supply, while the recent weather events also provided excellent planting conditions. An interim dividend of 24 cents per share will be paid on July 21. Shares are trading 2.3 per cent lower at $10.32.

Pushpay (ASX:PPH) delivered a 7 per cent increase in profit after tax for the full year to March 31, while no dividend was declared. Pushpay said its priorities were impacted by a shift in software buying behavior and consolidation of churches, as well as Covid-19 disruptions and a competitive labor market. Its revenue lifted 12 per cent from the prior year, while the company said it expects to deliver double digit revenue growth of between 10 and 15 per cent in FY23. Shares are trading 1.7 per cent lower at $1.17

Meanwhile, David George was named Magellan Financials' (ASX:MFG) new chief executive officer and managing director, and will start on August 8. For the last 14 years, David was deputy chief investment officer for Public Markets at the Future Fund. Kirsten Morton will become chief operating officer and chief financial officer for Magellan, after filling the CEO role on an interim basis during the global search. Shares are trading 3.5 per cent higher at $16.42.

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