Nuix shares dropped to a record low after the technology company said its 2022 revenue fell as much as 14 per cent. The stock closed at 63.5¢ and traded as low as 55¢ on Monday, tumbling further from its 2020 offer price of $5.31 a share.
Revenue will fall between $151 million and $154 million and annualised contract value is expected to be in the range of $160 million to $163 million, compared with $165.6 million in financial 2021. Nuix’s earnings before interest, tax, depreciation and amortisation (EBITDA) will be just $10 million to $12 million, or $25 million to $27 million excluding its substantial legal costs and losses.
It was a bright day otherwise for the ASX’s tech sector as bullish sentiment returned to global equities beginning with Wall Street on Friday.
The S&P/ASX 200 Index advanced 1.2 per cent, or 81.5 points, to 6687.1; the All Ordinaries 1.3 per cent to 6888.
US consumers have moderated their inflation expectations, fuelling a rally on the hope that central banks can cool their tightening impulse. Respondents predicted an annual rate of 2.8 per cent over the next five to 10 years, down from June’s 3.1 per cent and the lowest since July of last year, the University of Michigan’s survey showed on Friday.
However, New Zealand June quarter inflation hastened to 7.3 per cent from 6.9 per cent, ahead of economists’ forecast for 7.1 per cent, Stats NZ said on Monday.
US retail sales also beat expectations with a 1 per cent increase last month, defying fears the world’s largest economy is headed for a hard landing at the hands of the US Federal Reserve. On the Nasdaq, Netflix shares rallied 8.2 per cent to $US189.11.
Tyro Payments rose 7.7 per cent to 70¢, Life360 climbed 8.2 per cent to $3.81, and WiseTech Global firmed 7.2 per cent to $47.29.
Imugene added 6 per cent to 26.5¢ and EML Payments rose 7.4 per cent to $1.09.
Supporting the positive mood in the equity market was China’s pledge to maintain finance to the stricken property sector designed to avert a wave of defaults for planned projects. China’s banking regulator instructed banks to lend to eligible developers.
Japan’s sharemarket was closed and Hong Kong’s Hang Seng was headed for a gain of 2.5 per cent before the closing bell in Sydney.
ANZ shares were in a trading halt as it planned a $3.5 billion capital raising to fund its $4.9 billion acquisition of Suncorp’s banking business. The entitlement offer will be conducted at $18.90 a share, a 12.7 per cent discount to ANZ’s closing price of $21.64 on Friday.
Suncorp shares rose 6.1 per cent to $11.78. ANZ walked away from takeover talks with the unlisted MYOB to pursue its Suncorp deal.
Commonwealth Bank of Australia added 1 per cent to $94.24, National Australia Bank rose 1.9 per cent to $29, and Westpac increased 1.3 per cent to $20.15.
Rich Lister Nick Politis topped up his stake in Australia’s largest car dealership group, Eagers Automotive. He acquired an extra 10,000 shares in Eagers at $11.33 on July 15. Eagers shares rose 2.8 per cent to $11.68.
Botox injections and beauty treatments group Silk Laser rallied 6.8 per cent to $2.35, as it stepped up its expansion with the acquisition of Victorian group Unique Laser, which runs five outlets.
Lynas will change the way it processes rare earths in Malaysia to ensure its output is not hampered by an unreliable water supplier. A rise in prices for rare earths helped to add $197.2 million to Lynas cash balance in the past three months despite production volumes slumping 26 per cent below levels achieved in January-March. Lynas rose 0.7 per cent to $8.12.
Woolworths Group snapped up retail digital media company Shopper Media Group for $150 million cash. Its shares ended the day down 0.2 per cent at $37.42.
Whitehaven Coal shares reclaimed a record high, smashing its 2011 intraday peak of $5.97 thanks to the surging coal price, opening at $5.99, and finishing up 5.2 per cent at $5.90.
It achieved a record average coal price of $514 a tonne over the June quarter, up from $325 a tonne averaged over the financial year.
The coal miner expects to report full-year EBITDA of $3 billion, versus $200 million in 2021. It finished the financial year with no debt and net cash of $1 billion.
Fetching latest articles