Latest news with #InvictaHoldings'
IOL News
2 days ago
- Business
- IOL News
Invicta Holdings reports strong global earnings growth driven by operational improvements
The strength of Invicta Holdings' operational model and strategic initiatives for its industrial consumables and capital equipment businesses allowed it to maintain stability and growth in the face of a tough operating environment in the year to March 31, 2025, despite currency volatility and supply chain shipping and logistics challenges, as well as delays at ports due to congestion. Image: Supplied Invicta Holdings, which is listed on the JSE, has marked a year of impressive financial achievements, reporting a sustainable operating profit growth of 16% to R752 million for the year ending March 31. This positive performance reflects the strategic focus on streamlining operations and capitalising on market opportunities, according to CEO Steven Joffe. In a statement released after the results announcement, Joffe expressed satisfaction with the company's progress, noting a 13% rise in sustainable headline earnings per share, which now stands at 553 cents. 'These numbers reflect the robust and consistent nature of the group's core operations,' he said. The South Africa-based company is renowned for its industrial consumables, capital equipment, and auto-agri replacement parts on a global scale. Key initiatives have included the redemption of all preference shares and the disposal of the Kian Ann warehouse in Singapore, both vital steps in enhancing operational efficiency. 'We are pleased with this strong set of results,' Joffe added, underlining the importance of these changes amid challenges presented by currency fluctuations and significant delays in shipping and logistics. The CEO also highlighted the role of the South African Reserve Bank's decision to cut interest rates three times during the financial year as a necessary measure to stimulate economic activity. 'We hope the cuts will continue, as interest rates remain high,' Joffe stated. Another critical factor in this period of growth was Eskom's power supply stability, which has enabled Invicta's customers to conduct business without interruptions for over 300 consecutive days—a significant achievement given the company's historical struggles with load shedding. The strategic disposal of the Singapore property netted the group a dividend of SGD$20m from Kian Ann, coupled with the recent redemption of outstanding preference shares amounting to R703m on July 8, 2024. 'Through this rationalisation of our capital structure, we have unlocked additional value for ordinary shareholders,' said Joffe, emphasising the future benefits shareholders can anticipate. To further bolster its value, Invicta repurchased and cancelled 4.9 million ordinary shares for R157m, with full effects expected in the coming year. A significant step in April was the full acquisition of Nationwide Bearing Company (NWB) in the UK, alongside the strategic disposal of KMP Holdings to Kian Ann Engineering, Invicta's joint venture. Moreover, the establishment of a start-up business named KSP in the US is part of ongoing efforts to solidify Invicta's presence in key markets. This new venture, operating out of Alexandria, Louisiana, aims to enhance the product line of Invicta's KTSUA undercarriage business. However, not all segments experienced growth; revenue from the Replacement Parts for Earthmoving Equipment (RPE) decreased markedly by 48% to R567m. Despite these fluctuations, NWB showed a commendable performance in its inaugural year, while Kian Ann Group saw a revenue increase of 16% and sustainable operating profit up by 12% to SGD$29m. Addressing the outlook, Joffe underscored the importance of agility in the face of global uncertainty, stating, 'We will continue working hard to generate cash. Having a relatively debt-free business gives us the necessary time to respond to difficult situations.' Moreover, the group intends to return about a third of its earnings annually to shareholders through share buybacks or dividends. Visit:
Yahoo
11-04-2025
- Business
- Yahoo
Invicta Holdings Limited (JSE:IVT) is definitely on the radar of institutional investors who own 39% of the company
Institutions' substantial holdings in Invicta Holdings implies that they have significant influence over the company's share price The top 8 shareholders own 52% of the company Insiders own 12% of Invicta Holdings This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality. A look at the shareholders of Invicta Holdings Limited (JSE:IVT) can tell us which group is most powerful. We can see that institutions own the lion's share in the company with 39% ownership. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn). Because institutional owners have a huge pool of resources and liquidity, their investing decisions tend to carry a great deal of weight, especially with individual investors. Hence, having a considerable amount of institutional money invested in a company is often regarded as a desirable trait. Let's take a closer look to see what the different types of shareholders can tell us about Invicta Holdings. See our latest analysis for Invicta Holdings Institutional investors commonly compare their own returns to the returns of a commonly followed index. So they generally do consider buying larger companies that are included in the relevant benchmark index. We can see that Invicta Holdings does have institutional investors; and they hold a good portion of the company's stock. This suggests some credibility amongst professional investors. But we can't rely on that fact alone since institutions make bad investments sometimes, just like everyone does. If multiple institutions change their view on a stock at the same time, you could see the share price drop fast. It's therefore worth looking at Invicta Holdings' earnings history below. Of course, the future is what really matters. Hedge funds don't have many shares in Invicta Holdings. Titan Share Dealers Proprietary Limited, Asset Management Arm is currently the largest shareholder, with 21% of shares outstanding. In comparison, the second and third largest shareholders hold about 6.4% and 5.7% of the stock. We did some more digging and found that 8 of the top shareholders account for roughly 52% of the register, implying that along with larger shareholders, there are a few smaller shareholders, thereby balancing out each others interests somewhat. While studying institutional ownership for a company can add value to your research, it is also a good practice to research analyst recommendations to get a deeper understand of a stock's expected performance. While there is some analyst coverage, the company is probably not widely covered. So it could gain more attention, down the track. The definition of company insiders can be subjective and does vary between jurisdictions. Our data reflects individual insiders, capturing board members at the very least. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it. I generally consider insider ownership to be a good thing. However, on some occasions it makes it more difficult for other shareholders to hold the board accountable for decisions. Our information suggests that insiders maintain a significant holding in Invicta Holdings Limited. Insiders own R346m worth of shares in the R2.8b company. This may suggest that the founders still own a lot of shares. You can click here to see if they have been buying or selling. The general public-- including retail investors -- own 38% stake in the company, and hence can't easily be ignored. While this group can't necessarily call the shots, it can certainly have a real influence on how the company is run. We can see that Private Companies own 11%, of the shares on issue. It might be worth looking deeper into this. If related parties, such as insiders, have an interest in one of these private companies, that should be disclosed in the annual report. Private companies may also have a strategic interest in the company. I find it very interesting to look at who exactly owns a company. But to truly gain insight, we need to consider other information, too. I always like to check for a history of revenue growth. You can too, by accessing this free chart of historic revenue and earnings in this detailed graph . If you are like me, you may want to think about whether this company will grow or shrink. Luckily, you can check this free report showing analyst forecasts for its future . NB: Figures in this article are calculated using data from the last twelve months, which refer to the 12-month period ending on the last date of the month the financial statement is dated. This may not be consistent with full year annual report figures. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
Yahoo
12-03-2025
- Business
- Yahoo
Invicta Holdings (JSE:IVT) shareholders have earned a 36% CAGR over the last five years
Long term investing can be life changing when you buy and hold the truly great businesses. While the best companies are hard to find, but they can generate massive returns over long periods. To wit, the Invicta Holdings Limited (JSE:IVT) share price has soared 303% over five years. This just goes to show the value creation that some businesses can achieve. So let's assess the underlying fundamentals over the last 5 years and see if they've moved in lock-step with shareholder returns. Check out our latest analysis for Invicta Holdings To quote Buffett, 'Ships will sail around the world but the Flat Earth Society will flourish. There will continue to be wide discrepancies between price and value in the marketplace...' One imperfect but simple way to consider how the market perception of a company has shifted is to compare the change in the earnings per share (EPS) with the share price movement. During five years of share price growth, Invicta Holdings achieved compound earnings per share (EPS) growth of 16% per year. This EPS growth is slower than the share price growth of 32% per year, over the same period. This suggests that market participants hold the company in higher regard, these days. That's not necessarily surprising considering the five-year track record of earnings growth. The graphic below depicts how EPS has changed over time (unveil the exact values by clicking on the image). It might be well worthwhile taking a look at our free report on Invicta Holdings' earnings, revenue and cash flow. When looking at investment returns, it is important to consider the difference between total shareholder return (TSR) and share price return. The TSR incorporates the value of any spin-offs or discounted capital raisings, along with any dividends, based on the assumption that the dividends are reinvested. So for companies that pay a generous dividend, the TSR is often a lot higher than the share price return. As it happens, Invicta Holdings' TSR for the last 5 years was 358%, which exceeds the share price return mentioned earlier. The dividends paid by the company have thusly boosted the total shareholder return. We're pleased to report that Invicta Holdings shareholders have received a total shareholder return of 30% over one year. That's including the dividend. However, that falls short of the 36% TSR per annum it has made for shareholders, each year, over five years. Before forming an opinion on Invicta Holdings you might want to consider the cold hard cash it pays as a dividend. This free chart tracks its dividend over time. For those who like to find winning investments this free list of undervalued companies with recent insider purchasing, could be just the ticket. Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on South African exchanges. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
