Schaffer Corporation (SFC) H2 2024 earnings summary

Executive summary

• Revenue increased 23% to $226.2 million for FY24, with net profit after tax (NPAT) up 99% to $27.1 million compared to FY23.

• Strong performance in both Automotive Leather and Building Materials (Delta) divisions, with Automotive Leather NPAT up 39% and Delta NPAT up 125% year-over-year.

• Group Investments contributed $10.5 million NPAT, including an $8.1 million unrealised revaluation gain from South Connect Jandakot.

• Fully franked dividends of $0.90 per share declared, unchanged from the prior year.

Financial highlights

• Revenue: $226.2 million (FY23: $183.6 million), up 23%.

• Statutory NPAT: $27.1 million (FY23: $13.6 million), up 99%.

• EPS: $1.99 (FY23: $1.00), up 99%.

• Net cash from operating activities: $47.7 million.

• Net debt reduced by $17.5 million to $33.6 million.

Outlook and guidance

• Automotive Leather expects further margin improvement in FY25 as new program launches stabilise.

• Delta continues to benefit from government infrastructure investment but faces risks from project delays and cost pressures.

• Group Investments will continue to focus on value-add property and quality equities for medium- to long-term capital gains.