Austal Limited (ASB)

Welcome to InvestSMART

You are currently viewing our site as a guest, which gives you limited access to our site features. By signing up for a free membership, you will receive our Investment Opportunity newsletters and have access to additional features for finding and comparing managed funds and shares. Registration is fast and simple, so please:

Sign Up Today Ľ it's FREE! Already a member? Login now!

General Information
Company Name: Austal Limited
Stock Code: ASB
GICS Sub-Industry: Construction Machinery & Heavy Trucks
Market Cap ($M): 461
Equiv. Shares (M): 346

Current Price Data+
Current Price Open High Low Last Close Volume Price Movement
 $ 1.330 $ 1.345 $ 1.345 $ 1.325 $ 1.345 371,470 $ -0.015  -1.115 %

Current Broker Consensus Recommendation more
Recommendation: Strong Buy (1)
Recommendation Date: 19th Sep 2014
Brokers Surveyed: 1

Company Overview

Business Description:
Austal Limited (ASB) is a global defence prime contractor. The Company designs, constructs and maintains revolutionary platforms such as the Littoral Combat Ship and the Joint High Speed Vessel for the United States Navy, as well as a range of patrol and auxiliary vessels for defence forces and government agencies globally. Austal’s primary facilities comprise a defence shipyard in Henderson, Western Australia; a defence shipyard in Mobile, Alabama; and a commercial shipyard in Balamban, Philippines.

Strategy Analysis:
ASB offers a diversified range of vessels across a wide geographic market. Its current focus is on commercial and defence shipbuilding but a strong A$ and soft European ferry market is forcing a scale down in commercial shipbuilding in Australia and a refocus on defence work. The newly acquired Philippines shipyard will focus on constructing smaller commercial vessels at a more competitive cost. Recent defence contract wins should lessen earnings volatility, as they tend to span over a few years. The establishment of a Service business with long-term maintenance contracts will also provide another stable revenue stream. Austal reported NPAT of $5.4m for the half-year ended 31 December 2012. Revenues from ordinary activities were $389.41m, up 45.6% from the same period last year. Diluted EPS was 2.14 cents compared to (1.26) cents last year. The net operating cash outflow was $20.92m compared to an outflow of $2.9m in the pcp. No dividend was declared.

Financial Summary
Year to Jun NPAT EPS EPS chg (%) PER DPS Yield (%) Franking (%)
2014  F 35.2 10.7 27.2 12.6 2.5 1.9 10.0
2013  F 21.5 8.4 -- 16.1 0.0 0.0 0.0
2012  A -2.7 -1.5 -112.5 -143.8 0.0 0.0 0.0
Source: Morningstar analyst estimates.

Peer Comparison
EPS Growth (%) P/E (%) Dividend Yield (%)
Company Mkt Cap 2012 A 2013 F 2014 F 2012 A 2013 F 2014 F 2012 A 2013 F 2014 F
Austal (ASB) $466 M -0.1471 0.2215 0.1209 11.9662 9.7961 8.7394 0.00 2.23 3.72
Ausdrill (ASL) $326 M -0.6973 0.2243 0.3160 10.7510 8.7815 6.6731 4.31 5.28 6.52

Market Comparison
Earnings P/E Ratio P/B Ratio P/E Growth P/S Ratio
ASB 1.42 11.3 1.06 0.66 0.41
Market 1.00 15.6 1.28 1.72 1.54
Sector 1.08 12.0 0.96 1.40 0.46

Name Position Start Date
Mr Andrew Bellamy Chief Executive Officer 24 February 2011
Mr John Rothwell Non-Executive Chairman 09 October 1987
Mr Dario A Amara Non-Executive Director 16 August 2005
Mr Charles Roland Giles Everist Non-Executive Director 08 November 2013
Mr David Singleton Non-Executive Director 21 December 2011
Hon Ian Gordon Campbell Non-Executive Director (other) 01 August 2007

Name Position
Greg Jason Chief Financial Officer
Brian Leathers Chief Financial Officer USA
Graham Backhouse President Australia
Joey Turano President Philippines
Craig Perciavalle President USA

Substantial Shareholders
Holding Name
24,582,926 (7.10%) Citicorp Nominees Pty Ltd <CFS Developing Companies A/C>
63,903,464 (18.47%) HSBC Custody Nominees
32,200,745 (9.31%) Austro Pty Ltd
26,595,621 (7.69%) Longreach (WA) Pty Ltd
50,322,109 (14.54%) J P Morgan Nominees Australia Limited
43,992,038 (12.71%) National Nominees Limited

Calendar of Events
Date Event
26 August 2015 Report (Annual)
26 August 2015 Report (Prelim)
26 February 2015 Report (Interim)
01 October 2014 Report (Annual)
© 2011 Morningstar, Inc. All rights reserved. The data and content contained herein are not guaranteed to be accurate, complete or timely. Neither Morningstar, nor its affiliates nor their content providers will have any liability for use or distribution of any of this information. To the extent that any of the content above constitutes advice, it is general advice that has been prepared by Morningstar Australasia Pty Ltd ABN: 95 090 665 544, AFSL: 240892 (a subsidiary of Morningstar, Inc.), without reference to your objectives, financial situation or needs. Before acting on any advice, you should consider the appropriateness of the advice and we recommend you obtain financial, legal and taxation advice before making any financial investment decision. If applicable investors should obtain the relevant product disclosure statement and consider it before making any decision to invest. Some material is copyright and published under licence from ASX Operations Pty Limited ACN 004 523 782 ("ASXO"). DISCLOSURE: Employees may have an interest in the securities discussed in this report. Please refer to our Financial Services Guide (FSG) for more information at


Trade Shares Online from $19.95^
Free Guides

The SMH Guide to Leveraged Trading using CFDs

An educational booklet that outlines the different types of Contracts for Difference (CFDs) available in Australia.

More details...


Billionaires bankroll Ten's new direction Media Network sees digital future

The Age 19/12/2013 | Ten Network's programming ambitions will be funded by a $200 million loan guaranteed by three of its billionaire owners, as the free-to-air broadcaster declared digital was the future and pointed to early signs that its switch to an older market demographic was working.

Elders alleges $24m fraud in live cattle division

The Age 19/12/2013 | Troubled rural services group Elders is threatening to call in the police over an alleged $24 million fraud by a "handful of individuals" in its live cattle exports division.

Bega Cheese holds back in three-way bidding war for WCB

The Age 19/12/2013 | Bega Cheese began the battle for Warrnambool Cheese & Butter but three months on it appears to be the first casualty of the bidding war.

Aussie hampers transition

The Age 19/12/2013 | A persistently high Australian dollar is thwarting the Reserve Bank's efforts to ease the transition of the economy away from mining.

RBA keeps its focus on lower dollar

The Age 19/12/2013 | The Reserve Bank is keeping the door open to further interest rate cuts, but believes the "significant amount" of monetary policy easing over the past two years is already stimulating growth.

Pact's struggles weigh down Orora

The Age 19/12/2013 | The underwhelming sharemarket debut of packaging company Pact Group Holdings has weighed on the demerger of Amcor and its $2 billion Australasian packaging and distribution business Orora.


Sponsored Links