Daily Roundup

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XRF Scientific Ltd caps strong year with revenue growth and international expansion

XRF Scientific Ltd delivered solid FY2026 results, with revenue climbing 8% to $64.4 million, though profit growth proved more modest at 1%. The company maintained its dividend at 4.5 cents per share, fully franked, signaling confidence in its underlying performance.

Beyond the headline numbers, the company's adjusted profit before tax tells a more encouraging story, rising 10% to $16.1 million. This outperformance reflects strong demand from mining and industrial sectors, particularly across Asia, where international sales have accelerated. The company's gross margins held firm at 49.3%, while operating cashflow came in at a healthy $11.4 million.

XRF has been actively pursuing growth through strategic acquisitions and geographic expansion. The company acquired CGA Elemental Analysis Instrument business for $4 million in cash and opened new international offices in India and the USA. The Precious Metals and Capital Equipment divisions were standout performers, driving much of the year's growth. With a debt-free balance sheet and positive cashflow generation, XRF appears well-positioned to fund further expansion initiatives.

Pro Medicus delivers impressive growth on the back of strong contract wins

Pro Medicus Ltd reported a stellar FY2026, with underlying net profit after tax surging 24.1% to $144.7 million on the back of revenue growth of 22.9% to $261.7 million. On a constant currency basis—stripping out foreign exchange volatility—the performance looked even more impressive, with underlying NPAT climbing 32.5% and revenue up 28.4%.

The company's North American operations proved particularly robust, with revenue in that region jumping 45.9% to $190.9 million, now representing the lion's share of total sales. Pro Medicus secured 10 new contracts worth $407 million during the year and renewed six existing contracts with five-year extensions, providing substantial revenue visibility heading forward.

The company's balance sheet remains fortress-like, with cash and financial assets reaching $252.3 million—up nearly 20%—and zero debt. That strong financial position enabled a 91% cash conversion rate and supported a 25.5% increase in total dividends to 69 cents per share, with the final dividend set at 37 cents.

CEO Dr Sam Hupert highlighted the company's positioning to capitalise on artificial intelligence trends, particularly in diagnostic imaging where Pro Medicus's platform is used by 11% of the US market. The company is also developing digital pathology solutions and AI-driven reporting tools, both expected to unlock additional revenue streams. With underlying EBIT margins of 75% and a strong pipeline of opportunities, Pro Medicus looks set for continued momentum in FY2027.

BHP posts record production and bumper dividend payout

Mining giant BHP Group delivered strong FY2026 results, with revenue climbing 15% to US$58.76 billion and profit after tax rising 9% to US$9.83 billion. More impressively, underlying EBITDA reached approximately US$33 billion with a commanding 59% margin, reflecting the company's operational excellence and pricing power.

The company achieved record iron ore production and shipments, while copper output held steady at approximately 2 million tonnes for the second consecutive year. Copper proved particularly lucrative, contributing more than half of underlying EBITDA. BHP's net debt fell below US$9 billion, providing substantial financial flexibility.

Shareholders will be pleased with the dividend outcome. BHP declared a final dividend of 99 US cents per share—the largest in four years—bringing total dividends to US$1.73 per share. The company also flagged FY2027 capital and exploration expenditure of approximately US$11 billion, with copper growth projects self-funding through strong free cashflow generation.

BHP outlined ambitious growth plans, including the Jansen potash project in Canada and a new mine in the Pilbara, positioning the company for sustained value creation. The company remains focused on safety, technology integration, and operational excellence as it navigates an evolving commodity landscape.

Smart Parking accelerates growth with 63% revenue surge

Smart Parking Ltd reported record FY2026 results, with revenue jumping 63% to $126.3 million and adjusted EBITDA climbing 50% to $30.8 million. The company achieved 72% of its revenue growth through organic strategies and yield enhancement, demonstrating the quality of its underlying business momentum.

The company expanded its ANPR site network by 16% year-on-year to 1,525 locations, with particularly strong growth in the UK market driven by enhanced debt resolution processes and increased Penalty Charge Notice issuance. Strategic acquisitions, including Peak Parking in the US, bolstered the expansion. Net statutory profit after tax rose 28% to $6.9 million, while operating cash returns climbed 30% to $20.2 million.

Smart Parking ended the year with a robust cash position of $17.4 million and no debt, providing a solid foundation for future growth. The company announced a $5 million on-market share buyback, commencing 1 September 2026, signaling management confidence in the valuation.

Looking ahead, Smart Parking is targeting 3,000 ANPR sites by December 2028, with a focus on expanding its presence in the US and European markets. The company's growth trajectory remains compelling, underpinned by strong organic momentum and strategic M&A activity.

Cogstate posts record contracted revenue despite modest near-term recognition

Cogstate Ltd delivered record financial results for FY2026, with revenue reaching $60.9 million, up 15% year-on-year, and profit before tax climbing 15.9% to $16.1 million. The company achieved a 25% EBIT margin and 30% EBITDA margin, reflecting operational leverage in its clinical trials business.

The standout metric was record sales contracts of $89 million, up a stunning 116% from FY2025, providing substantial revenue visibility. However, the company expects only $48.3 million of this to flow through FY2027 results, up 54% year-on-year, reflecting the timing of contract recognition. The company ended the year with $34.8 million in cash and no debt.

Cogstate declared a fully franked annual dividend of 4 cents per share and announced plans to invest in AI and automation to enhance scalability and margins. The company's diversified CNS clinical trials portfolio continues to attract sustained demand, positioning it well for continued growth. Management expects to maintain FY2026 EBITDA margins in FY2027 despite increased investments in technology and platform enhancements, supported by the record contracted future revenue base.