Daily Roundup

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Drilling Begins at Broken Hill for Red Hill Minerals

Red Hill Minerals has kicked off a major 4,300-metre diamond drilling program at its Broken Hill Project in New South Wales. The company is targeting a range of in-demand commodities, including copper, gold, lead, zinc, and more, across four priority areas.

This extensive drilling campaign will see six holes drilled, each averaging over 700 metres deep. The Woolly, K1, Dementus, and Immortan targets have been selected based on a thorough review of historical data and new geophysical surveys. Red Hill is hoping to uncover Broken Hill Type, IOCG, and stratabound polymetallic mineralization through this major exploration push.

The drilling is already underway, with an experienced contractor secured to complete the program by early December. Investors will be eager to see what this intensive exploration effort uncovers in the coming months.

Prophecy Tackles Churn and Sales Challenges for Snare Product

Prophecy International Holdings has undertaken a review of its business performance, with a particular focus on its Snare product line. The company has reported higher than usual churn, as well as softer sales activity, primarily in the US market.

To address these issues, Prophecy is implementing initiatives to reduce churn and boost sales pipeline conversion for Snare. However, the company now expects its revenue growth and financial performance to be impacted in the 2026 financial year as a result.

On a positive note, Prophecy says the long-term prospects for Snare and the broader observability tools market remain strong, with the global market forecast to grow significantly over the next few years. The company is also exploring new channel partnerships that hold significant future revenue potential.

To further strengthen its position, Prophecy will be implementing additional cost-saving measures, primarily in personnel, which it estimates will save around $3.2 million per year.

Woolworths Faces Significant Costs from Underpayment Ruling

Woolworths has provided an update on the Federal Court's recent decision regarding historical underpayments of salaried store team leaders. The ruling is complex, and many issues are still to be determined, but Woolworths has conducted a preliminary review.

Based on this, the company estimates a one-off additional impact of between $180 million and $330 million post-tax. On top of that, interest, superannuation, and payroll tax could add another $140 million to $200 million post-tax.

Woolworths says this decision will require significant changes to accepted retail practices, not just for the company, but for businesses across Australia. The retailer has already undertaken an extensive remediation process for the affected salaried store leaders.

While the final liability is still to be determined, it's clear Woolworths is facing a substantial financial hit from this court ruling. Investors will be watching closely as the company navigates the next steps in this complex legal matter.

Frontier Digital Ventures Reports Strong 1H 2025 Results

Frontier Digital Ventures (FDV) has delivered a solid set of financial results for the first half of 2025. Despite a 5% decrease in statutory revenue to $33.3 million, the company reported a 71% increase in statutory EBITDA to $3.2 million.

This strong EBITDA performance was driven by continued growth in FDV's core classifieds business, as well as operational efficiencies across the group. The company's associate businesses, including Zameen and PakWheels, also contributed positively, with EBITDA increasing 191% to $1.9 million.

FDV maintained a healthy cash balance of $10.9 million at the end of June 2025. The group's net loss after tax improved by 17% to $1.1 million, reflecting the operational cost savings implemented during the period.

Overall, FDV has demonstrated its ability to drive profitability and cash flow, even in the face of some top-line pressure. Investors will be encouraged by the company's disciplined approach to managing its business through the current market conditions.

Solvar Wins Federal Court Case Against ASIC

Solvar Limited, the parent company of Money3 Loans, has emerged victorious in a Federal Court case brought by the Australian Securities and Investments Commission (ASIC).

The court rejected most of ASIC's claims against Money3, finding that the company's staff are adequately trained and competent, and that its internal benchmarks for assessing customer suitability were appropriate and compliant with responsible lending obligations.

While the court did find issues with five consumer loans written between 2019 and 2021, where Money3 failed to make reasonable inquiries about living expenses, the overall ruling was a resounding win for Solvar.

The company's Chair, Stuart Robertson, said the decision is reassuring and demonstrates that Money3's practices are largely in order. The CEO, Scott Baldwin, also emphasized Solvar's commitment to customer wellbeing and its ongoing work with community groups to further develop staff capabilities in hardship and customer care.

This Federal Court victory will be a welcome relief for Solvar, allowing the company to move forward with confidence in its lending practices.