RM Plc H1 Adj. Profit Declines; Revenue Up 4%

Zoom Q2 Profit Falls; Lowers FY23 Outlook; Stock Down 8%

Zoom Video Communications, Inc. (ZM) on Monday posted a drop in second-quarter earnings. With the company lowering its annual 2023 outlook, the stock is down 8 percent on Monday’s after-hours trading.

The company posted net income of $45.7 million or $0.15 per share in the second quarter, down from $316.9 million or $1.04 per share in the same period last year.
Excluding items, income was $323.5 million or $1.05 per share in the period, lower than $415.1 million or $1.36 per share in the previous-year quarter.
Quarterly revenues rose to $1.09 billion from $1.02 billion a year ago.

Looking ahead, the company expects third quarter revenues to be between $1.06 billion and $1.10 billion and adjusted EPS between $0.82 and $0.83.

For full year 2023, the company expects total revenue between $4.39 billion and $4.40 billion and adjusted EPS between $3.66 and $3.69. This is lower than the earlier forecast of revenues between $4.53 billion to $4.55 billion on revenues between $3.70 to $3.77.

On average, 28 analysts expect the company to post revenues of $4.54 billion during the year ahead.

Alcon To Acquire Aerie Pharma In $770 Mln Deal

Alcon Inc. (ALC) agreed to Acquire Aerie Pharmaceuticals Inc. (AERI) for $15.25 per share, valuing Aerie at about $770 million.

The purchase price represented a premium of 37% to Aerie’s last closing price.

AERI closed Monday regular trading at $11.15 up $0.16 or 1.46%.

The transaction is expected to be accretive to Alcon’s core earnings per Share in 2024. The transaction is anticipated to close in the fourth quarter of 2022.

Alcon intends to fund the acquisition through short-term and long-term debt.

Alcon said that, through the transaction, it will add the commercial products Rocklatan (netarsudil and latanoprost ophthalmic solution) 0.02%/0.005% and Rhopressa (netarsudil ophthalmic solution) 0.02%, as well as AR-15512, a Phase 3 product candidate for dry eye disease, and a pipeline of several clinical and preclinical ophthalmic pharmaceutical product candidates.

John Wood Group Turns To Profit In H1, Orders Rise; Sees Higher FY22 Revenues

John Wood Group Plc (WG.L,WDGJF.PK), a British engineering and consulting firm, reported Tuesday that its first-half profit was $89 million, compared to last year’s loss of $11 million.

Basic earnings per share were 13.0 cents, compared to loss of 1.7 cents last year.

Adjusted earnings per share were 5.7 cents, compared to 8.9 cents in the prior year.

Adjusted EBITDA was $185 million, down 5.1 percent from the prior year.

Revenue edged down 0.4 percent to $2.56 billion from prior year’s $2.57 billion.

Order book, however, grew 4.7 percent to $6.42 billion from $6.13 billion a year ago.

Looking ahead, the company said it continues to expect higher revenue across business this year and an improved performance in the second half, helped by an improvement in Turbines joint ventures.

At 30 June 2022, revenue in order book from continuing operations for the second half of 2022 was $2.5 billion, an increase of 9 percent compared to the prior year equivalent figure of $2.3 billion.

For fiscal 2022, excluding Built Environment Consulting, Revenue is expected between $5.2 billion and $5.5 billion and adjusted EBITDA between $370 million and $400 million.

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Sasol Limited FY22 Earnings Surge, Declares Dividend; Stock Up

Sasol Limited (STOSF.PK,SSLTY.PK,STO.AX), a South African integrated energy and chemical company, on Tuesday posted a surge in earnings for the fiscal 2022, driven by higher crude oil prices, refining margins, and chemical prices.

For the year to June 30, the Sandton-headquartered firm posted a pre-tax profit of R55.54 billion, compared with R10.71 billion in the previous year.

Profit stood at R41.67 billion or R61.36 per share, higher than last year’s R10.53 billion or R14.39 per share.

Headline earnings per share were R47.58, up from R39.53 a year ago.

Earnings before interest and tax moved up to R61.42 billion from R16.62 billion reported for the previous year.

Operating profit before re-measurement items was at R51.51 billion, versus R39.83 billion, on year-on-year basis.

Adjusted EBITDA totaled at R71.84 billion, compared with R48.42 billion of previous fiscal.

Sasol registered turnover of R275.74 billion as against R201.91 billion of 2021.

For fiscal 2022, the company has declared a final gross cash dividend of 1470 cents per share, to be paid on September 12, to the shareholders of record on September 9.

In Africa, Sasol shares were trading at ZAC 34,361.00, up 3.51 percent.

RM Plc H1 Adj. Profit Declines; Revenue Up 4%

RM plc (RM.L) reported that its first-half adjusted profit before tax declined to 4.2 million pounds from 8.0 million pounds, prior year. Adjusted earnings per share was 4.0 pence compared to 7.5 pence. The Group said the profit reduction was most notable in the RM Technology Division.

Statutory loss before tax was 7.2 million pounds compared to profit of 2.9 million pounds, prior year. Loss per share was 7.1 pence compared to profit of 2.3 pence. The Group said the statutory loss was due to lower operating profits and higher expensed investment program costs.

Revenue increased to 100.3 million pounds from 96.1 million pounds, last year. Revenue increased 4% driven by growth in RM Resources and the return of UK school exams in RM Assessment, the Group noted.

The Board has decided not to pay an interim dividend in 2022 given the elevated costs and timeline associated with the deployment of the IT platform. The Board will review this position again ahead of the preliminary results.

Neil Martin, Chief Executive of RM, said: “Our long-term outlook remains positive, with the opportunity to capitalise on leading positions in resilient markets. Nearer-term, the work required to improve our operating platform and manage the challenging economic backdrop creates volatility that we must manage while we structure ourselves for long-term, sustainable success.”

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