Bingo Industries (ASX:BIN) Nearly Triples Profits in Fiscal 2020 – The Market Herald

Subscribe

Be the first with news that moves the market

  • Waste management company Bingo Industries (BIN) increased revenue by 21% and nearly tripled net profit after tax in fiscal 2020
  • The recycling giant, which champions the promotion of a “waste-free Australia”, saw its underlying revenue rise from $402.2 million to $486.7 million in the last financial year.
  • More importantly, the company’s underlying earnings before interest, tax, depreciation, and amortization (EBITDA) jumped nearly 41%.
  • The biggest highlight, however, is BIN’s profit margin – the company went from a profit of $22.3 million in FY19 to $66 million in FY20. , an increase of 196%.
  • This year, however, Bingo’s total dividend has increased from 3.72 cents to 3.7 cents for each share held by investors.
  • Following the news, ASX 200-listers shares soared 12.6%, priced at $2.42 per share

Waste management company Bingo Industries (BIN) increased revenue by 21% and nearly tripled net profit after tax in fiscal 2020.

The recycling giant, which champions the promotion of a “waste-free Australia”, saw its underlying revenue rise from $402.2 million to $486.7 million in the last financial year.

More importantly, the company’s underlying earnings before interest, tax, depreciation, and amortization (EBITDA) jumped nearly 41%.

In fiscal 2019, Bingo’s EBITDA reached $108 million, but the company managed to grow that figure to $152.1 million in fiscal 2020.

The biggest highlight, however, is BIN’s profit margin – the company went from a profit of $22.3 million in FY19 to $66 million in FY20. , an increase of 196%.

Speaking on the results, Bingo Managing Director and Chief Executive Daniel Tartak said the company was investing “ahead of the curve”.

“We are now three years into a five-year strategy and have achieved our stated goals, weighting our business model towards post-collection infrastructure assets. This allowed us to achieve a solid result in a difficult market,” said Daniel.

“Our strong fundamentals make us resilient to normal market cycles, so despite the current economic uncertainty and continued softening in our key markets, we are well positioned for future growth throughout the cycle,” he said. he continued.

Bingo Industries has recycling centers located in New South Wales and Victoria and has over 30,000 bins for hire, enabling the management of commercial, liquid and general waste.

Despite the good results, Bingo’s total dividend is down. In fiscal 2019, the company distributed 3.72 cents per share. In fiscal 2020, it provides 3.7 cents for each share held by investors.

Bingo also opted not to provide financial guidance for FY21, citing “considerable uncertainty” around market demand. However, the recycling giant says it will provide updates on trading terms where it can before the current fiscal year’s reporting season.

Following the news, ASX 200-listers shares soared 12.6% and closed at a price of $2.42 each.