Bravura Solutions Ltd (ASX: BVS) shares are catching the eye of investors on Wednesday.
In morning trade, the ASX All Ords stock is up 20% to a 52-week high of $2.78.
This follows the release of the wealth management software company's half year results.
ASX All Ords stock jumps 20% on results release
- Revenue up 0.4% to $127.5 million
- Earnings before interest, tax, depreciation, and amortisation (EBITDA) up 200% to $23.8 million
- Cash EBITDA of $20 million
- Underlying net profit after tax of $11.3 million
- Unfranked interim dividend of 1.6 cents per share and special dividend of 8.92 cents per share
What happened during the half?
For the six months ended 31 December, the ASX All Ords stock reported a modest 0.4% increase in revenue to $127.5 million. This reflects a 1.1% increase in EMEA revenue to $90.4 million, which offset a 1.3% decline in APAC revenue to $37.1 million.
Both businesses delivered strong earnings growth during the six months. EMEA segment EBITDA was up 24.9% to $31.6 million and APAC segment EBITDA surged 248.6% to $12.2 million.
And with corporate costs and operating expenses falling, this underpinned an underlying net profit after tax of $11.3 million. This compares to a loss of $1.7 million during the prior corresponding period.
In light of this return to profit, the Bravura board elected to resume dividend payments. This includes an ordinary interim dividend of 1.6 cents per share and a special dividend of 8.92 cents per share. The latter relates to the sale of a licence to Fidelity.
The dividends are unfranked and have a record date of 31 March 2025 and a payment date of 16 April 2025.
Guidance upgrade
Also giving the ASX All Ords stock a boost today is news that management has upgraded its revenue and earnings guidance for FY 2025.
It now expects:
- Revenue of $248 million to $252 million (prev. $241 million to $245 million)
- EBITDA of $46 million to $49 million (prev. $41 million to $44 million)
- Cash EBITDA of $38 million to $41 million (prev. $33 million to $36 million)
Commenting on the company's performance and outlook, group CEO and managing director, Andrew Russell, said:
We are successfully executing to the four strategic pillars of our Energise, Build and Grow strategy. Our operational business improvement execution is delivering CEBITDA margin expansion and profitability improvement through both revenue growth and cost reduction. Consequently, we are upgrading our guidance again for revenue, EBITDA and CEBITDA.
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