IGL +4.17%: one of few winners today was integrated media business IVE Group. The first half looked a big beat to consensus. EBITDA was up 25% on last year with margins increasing well above expectations. They’ve done well to manage cash flow despite the various supply chain pressures being put on the business, and leverage continues to fall, now just 0.7x EBITDA. For those that remember, IGL traded to below 30c in March 2020 due to leverage concerns, however they’ve done a very good job turning the business around without raising equity, and our patience in the stock has been rewarded. A huge 8.5c fully franked div means IGL is one of the highest yielding shares on the ASX. Guidance was also strong – and conservative given 55% % of it is already banked – looking for $98-101m EBTIDA for the full year, around 10% better than consensus.
MM remains long and bullish IGL in both the Income & Emerging Companies Portfolio’s
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