Ryder Capital (RYD) H2 2024 earnings summary

Executive summary

• Achieved a pre-tax NTA gain of 25.15% for FY24, outperforming all comparable ASX equity indices and the company’s own hurdle rate.

• Total comprehensive income after tax was $18.1m, a significant turnaround from a $6.9m loss in FY23.

• Share price increased from $0.965 to $1.125, with total shareholder return of 25.13% (excluding franking).

• Final fully franked dividend increased to 5.0 cents per share, bringing the annual dividend to 9.0 cents per share.

Financial highlights

• Revenue from ordinary activities rose 18% to $3.7m year-over-year.

• Profit after tax attributable to members increased 34% to $2.03m.

• Net tangible assets per share (pre-tax) rose to $1.3875 from $1.1865 year-over-year.

• Gross portfolio performance was 27.08%, outperforming the ASX Small Ordinaries (9.34%) and the company’s hurdle rate.

• Cash and cash equivalents at year-end were $1.8m, down from $9.8m, reflecting active capital deployment.

Outlook and guidance

• Portfolio well positioned for FY25, with continued focus on value in small and micro-cap stocks.

• Management remains cautious amid global economic uncertainty and high interest rates but sees opportunity in undervalued holdings.

• Board intends to continue share buybacks when accretive and maintain steady to increasing fully franked dividends.