Iress shares rally on full-year earnings beat
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More news: Iress shares gained in early trade after the software group’s full-year statutory profit outstripped consensus estimates.
Shares were up 15.1% to $7.79 at 10:50am AEDT.
Iress reports 11% drop in FY profit, hikes dividend
The news: Financial services software provider Iress Group reported a 10.6% drop in full-year statutory profit to $79.3 million, following the sale of a number of non-core assets over the last two years.
The numbers: The result beat consensus estimates of $53.7 million, according to Visible Alpha data.
Underlying net profit after tax (UPAT), the group’s preferred business profit measure, increased 16.6% year on year to $73.9 million. Revenue fell 7% to $561.7 million.
The group will pay total dividends of 24 cents per share, up from 10 cents per share in 2024.
Iress guided for revenue between $520 million and $528 million in 2026, which would represent a 3-5% uplift year on year. It expects UPAT to grow 15-24% to $84 million-$90 million.
The context: Iress CEO and managing director Andrew Russell said the result reflected the positive impact of a simplified business model. He noted its accelerated business efficiency program has so far delivered around 60% of an expected $30 million in cost savings by the end of FY26.
The source: ASX
