XRF Scientific (XRF)

[mark100]

XRF is a new IPO that I invested in. It listed on Tuesday with the 20c shares closing 21.5c. Today they put on 21% to close at 26c.

XRF is a manufacturer and distributor of scientific equipment servicing the mining industry. Some of the equipment they make includes Laser Spectrometers, Fusion machines and Analytical Fluxes. This equipment is used to analyse samples of minerals and chemicals etc

The IPO raised $4.6m after setting out to raise a minimum of $2m and maximum of $5m. There are 69m shares on issue with a further 7m to be issued soon in consideration for an acquisition set out in the prospectus. So there will soon be 76m shares on issue, giving a fully diluted market cap of $20m based on today’s closing price of 26c.

XRF is forecasting NPAT of $2.28m for FY07 and intend to pay a dividend. XRF is trading at around 8.7x its forecast earnings.

For those wanting more detail I suggest you read the prospectus.

I’ve also copied a couple of articles below that give a bit more explanation.

From today’s Australian:
XRF Scientific (XRF) 21c
OR why bother digging at all? The bourse's latest two newcomers are the latter-day equivalent of the 1880s goldfields shopkeeper or publican, in that they hope to get rich by providing equipment and services to the miners.

As a purveyor of high falutin' equipment such as laser plasma spectrometers, fusion machines and chemical fluxes, XRF offers miners more effective ways to analyse what's been extracted.
Every shipment of iron ore has to be accurately checked for ferrous content, or else the unhappy Chinese/Japanese buyers at the other end will reject the cargo.

There are various ways of doing this, but XRF claims to have the better mousetrap.

XRF's core gig is patented fusion machines, which sound like a 25th century energy source, but in fact convert mineral samples into glass discs at high temperatures. X-ray analysis then determines the purity of the sample.

XRF's backers took their time to find the dough, but managed to raise $4.56 million, higher than the minimum $2 million but shy of the maximum $5 million.

While there's plenty of work locally given the extent of mining expansion, XRF is eyeing offshore expansion. "We have big plans and the market will hear much more from XRF in the years ahead," promises chairman Paul Rengel.

XRF forecasts a profit of $2.28 million in 2006-07 on revenues of $12.6 million.

Criterion is easily blinded by science but rates XRF a solid BUY. The stock is trading on a PE of around seven times and directors are "committed" to paying a dividend next April.


Analyse this: XRF Scientific in $5m IPO
Andrew Trounson
September 13, 2006

LASER spectrometers and complex chemical solutions may have little in common with picks and shovels, but the global boom in minerals is also boosting demand for the analytical equipment that miners need to assess what they dig out of the ground.

Melbourne and Perth-based materials analysis group XRF Scientific is aiming to capitalise on rising commodity demand to accelerate its expansion into the Chinese, Indian and eastern Europe growth markets.

XRF Scientific, which manufactures analytical instruments and chemical solutions, yesterday launched an initial public offering to raise $5 million to fund its offshore expansion.

The strategy to develop new markets also includes the possibility of acquiring global competitors that are predominantly small family-owned businesses.

The patented fusion machines, which are not unique to XRF Scientific, convert mineral samples into glass discs at temperatures of over 1000 degrees Celsius. These discs, when subjected to X-ray analysis, provide a complete elemental breakdown.

The machines are manufactured in Victoria while the various chemical solutions that the samples must first be dissolved in are manufactured in Perth.

Also in Victoria, XRF manufactures laser spectrometers that produce bright sparks of light which can be beamed on to substances to analyse and give an elemental breakdown.

"There are

[yogi-in-oz]

:)

Hi folks,

XRF ..... figure this one should be strong this week, as a positive
aspect comes into play on 15-18012008 ... :)

have a great weekend

paul

:)

=====

[The Big Ease]

Yogi, dont get me wrong. but i have no idea what youre on about with some of these posts. what are you referring to? how to do you arrive to such conclusions? where do you obtain your info?

[winner69]

Wonder if Mark is still a believer - price half what is was at the IPO

Any current views?

[yogi-in-oz]

Yogi, dont get me wrong. but i have no idea what youre on about with some of these posts. what are you referring to? how to do you arrive to such conclusions? where do you obtain your info?

:)

.... it's quite "ease", Big Ease.

Markets can only move in 2 directions ... ie ... up or down ... yes???

When a positive time cycle comes into play, then we may expect
market sentiment towards a particular stock to be positive
and price will likely rally .....

..... likewise, when negative time cycles fall into place, then
we may espect market sentiment towards the stock to be
negative and the price will likely fall ..... "ease", eh???

Now, there's a PRICE axis on every chart and a TIME axis that is
rarely analyzed by most chartists ... even though it by nature
it is CONSTANT and therefore easier to analyze.

So, by using Gann's astroanalysis of the TIME axis, we can DOUBLE
the amount of relevant information coming out of any chart, but
unlike PRICE, the TIME axis can be forecast ahead, more easily ... :)

If we use astroanalysis to CONFIRM our regular TA, then we have
a technical indicator, that is INDEPENDENT of variable price data.

Astroanalysis of the markets was developed early last century, so
for truckloads of information, just google WD Gann and Sepharial.

A$40.oo ephemeris is used to determine, whether time cycles will
likely be positive or negative.

have a great weekend

paul

:)

=====

[Huang Chung]

Can't say I'd ever heard of an ephemeris Yogi.

For other ignorami like myself, here's the Wikipedia description:

http://en.wikipedia.org/wiki/Ephemeris

Yogi....I have to admit, I'd just be happy getting tonight's winning lotto numbers from you.....:)

[Snow Leopard]

:)

.... it's quite "ease", Big Ease.

Markets can only move in 2 directions ... ie ... up or down ... yes???

When a positive time cycle comes into play, then we may expect
market sentiment towards a particular stock to be positive
and price will likely rally .....

..... likewise, when negative time cycles fall into place, then
we may espect market sentiment towards the stock to be
negative and the price will likely fall ..... "ease", eh???

Now, there's a PRICE axis on every chart and a TIME axis that is
rarely analyzed by most chartists ... even though it by nature
it is CONSTANT and therefore easier to analyze.

So, by using Gann's astroanalysis of the TIME axis, we can DOUBLE
the amount of relevant information coming out of any chart, but
unlike PRICE, the TIME axis can be forecast ahead, more easily ... :)

If we use astroanalysis to CONFIRM our regular TA, then we have
a technical indicator, that is INDEPENDENT of variable price data.

Astroanalysis of the markets was developed early last century, so
for truckloads of information, just google WD Gann and Sepharial.

A$40.oo ephemeris is used to determine, whether time cycles will
likely be positive or negative.

have a great weekend

paul

:)

=====

At last I understand :eek:.
So I predict using this astronaut stuff at midday tomorrow it will be 12:00 and that quarter to six in the evening will occur at 17:45.
Longer term a longer than usual February is confidently forecast to commence at the end of January but otheriwse 2008 will be fairly normal.

Disclaimer: The above is only guaranteed for the Australian Eastern Daylight Time Zone and does not include acts by state or federal governments. Results in your own time zone may vary. You are advised to consult your own alarm clock.

regards
Paper Tiger

[yogi-in-oz]

At last I understand :eek:.
So I predict using this astronaut stuff at midday tomorrow it will be 12:00 and that quarter to six in the evening will occur at 17:45.
Longer term a longer than usual February is confidently forecast to commence at the end of January but otheriwse 2008 will be fairly normal.

Disclaimer: The above is only guaranteed for the Australian Eastern Daylight Time Zone and does not include acts by state or federal governments. Results in your own time zone may vary. You are advised to consult your own alarm clock.

regards
Paper Tiger

:)

..... you've got it, PT ... it's so easy, that even you have picked it up, very quickly ... :)

have a great weekend

paul

:)

=====

[Huang Chung]

Wadda 'bout my lotto numbers Yogi!! :D

[The Big Ease]

At last I understand :eek:.
So I predict using this astronaut stuff at midday tomorrow it will be 12:00 and that quarter to six in the evening will occur at 17:45.
Longer term a longer than usual February is confidently forecast to commence at the end of January but otheriwse 2008 will be fairly normal.

Disclaimer: The above is only guaranteed for the Australian Eastern Daylight Time Zone and does not include acts by state or federal governments. Results in your own time zone may vary. You are advised to consult your own alarm clock.

regards
Paper Tiger

oh thats great! hehe

[mark100]

I dumped it a long time ago winner69. Management didn't seem up to the job. Haven't followed it since

[steve fleming]

some impressive growth here:

Revenue from continuing operations, up 61% to $20.3 million (FY10: $12.6 million);
Earnings Before Interest and Tax (EBIT), up 904% to $3.8 million (FY10: $0.4 million);
Net Profit After Tax (NPAT), up 770% to $2.6 million (FY10: $0.3 million);

Market cap just under $30m, revenues and margins are likely to continue to expand.

Nice exposure to mining (XRF manufactures equipment and chemicals, which are distributed to laboratories in
Australia and overseas and used in the preparation of samples for analysis).

Dividends reinstated as well.

[Huang Chung]

G'day Steve

Geos love their XRF machines! Sometimes I think they rely on them too much.

Almost as ubiquitous as the rock hammer these days!

[soulman]

Could XRF be a T/O target for the likes of CPB. I will have XRF on my to buy list.

They actually have CPB as one of their clients.

[macduffy]

Agree with that, soulman. I've long seen XRF as a potential target for CPB who have a track record of taking out smaller firms in their wider field of scientific testing and analysis.

I hold quite a few CPB, one of my best ASX performers of recent years. Otherwise, might have already had a nibble at XRF!

[soulman]

A decent result. Bought some for their dividends.....

I just like coy with net cash position and pay dividends with the likes of FWD, BSA, XRF, MND, GNG all in buy on weakness watchlist.

[Snoopy]

some impressive growth here:

Revenue from continuing operations, up 61% to $20.3 million (FY10: $12.6 million);
Earnings Before Interest and Tax (EBIT), up 904% to $3.8 million (FY10: $0.4 million);
Net Profit After Tax (NPAT), up 770% to $2.6 million (FY10: $0.3 million);

Market cap just under $30m, revenues and margins are likely to continue to expand.


Had a look at this because of the announced SCT joint venture for FY2013. Growth in eps terms not as impressive as you think because many new shares were issued in the Sigma Chemicals purchase and FY2010 being the year most affected by the GFC.

I calculate eps/dps figures as follows:

2008: 1.0, 0
2009: 2.1, 0.5
2010: 0.6, 0.75
2011: 2.8, 0
2012: 2.8, 1.0

Nevertheless the margins are decent ( FY2011: 14.2%, FY2012 13.8% ) with ROE quite respectable considering the company has no debt now ( FY2011: 14.8%, FY2012 13.5% ).

At 25.5c XFR is on an historic PE of 9.1. Probably about right considering some customers might be having a tougher year in FY2013.

SNOOPY

[percy]

https://stocknessmonster.com/announcements/xrf.asx-6A992651/
A great presentation.
Yet another of DMX's portfolio that I followed them into.
www.dmxam.com.au

[percy]

https://stocknessmonster.com/announcements/xrf.asx-6A1002762/
Another positive presentation.
Interesting noting a new machine for a new sector.Look forward to more details.
To save hiccups with their divie, I elected to take DRP.New shares were allocated a few days ago.

[Nigel]

What price did you enter at Percy? This looks like one of those stocks that flies under the radar. Has quietly improved earnings and divs over the past few years. I have a small parcel, considering increasing my stake.

[percy]

What price did you enter at Percy? This looks like one of those stocks that flies under the radar. Has quietly improved earnings and divs over the past few years. I have a small parcel, considering increasing my stake.

I brought 30,000 shares at 28.5 cps on July 27th.On 16th October I received 1,400 shares as per DRP,taking my holding to 31,400.
Not sure I am doing the right thing,but instead of adding to the Aussie companies I already hold, I have been spreading myself around,having added ACF,UBN and UCM to the portfolio.

[percy]

https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02363770-6A1028480?access_token=83ff96335c2d45a094df02a206a 39ff4
A very positive update with a strong out look.

[percy]

https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02363770-6A1028480?access_token=83ff96335c2d45a094df02a206a 39ff4
A very positive update with a strong out look.

That result has seen the share price rise from 29 cents on the 14th April to 39.5 cents today,a huge36% increase.

[percy]

Trading at 45 cents today.
Result due end of August.

[Ricky-bobby]

Nice pick Percy, have been watching! No $$ in unfortunately…

[percy]

Great seeing XRF close at 50 cents tonight.

[peat]

nice one Percy
I recall noticing you talk about this and almost followed you when it was 29 ;+(

[percy]

Peat.
I am very excited with how a lot of my small cap Aussie stocks are performing,and am looking forward to the August result season.Most have PE ratios that are a lot lower than their growth rates.Most I have followed www.dmxam.com.au into.
ACF..Good update and strong out look.
ADA.Good contract win and good out look.
AFL.Expanding rapidly..........................................D MX
KNO.A good acqusition........................................ .DMX.
LGP.Another one with a good acquisition..................KW..
PTB.Latest acquisition looks a good bolt on..............DMX.
PTG.Strong growth............................................ ....DMX.
SES.Right sector............................................ ........DMX and KW.
SEQ.Good update and strong out look.......................DMX..
SHM.Modest ratios.Talk of capital management could prove interesting..DMX
UBN.sp increasing,so perhaps next announcement should be very positive..DMX
XRF............................................... .................................................. ...DMX
And the lotto ticket IVZ is getting a lot of interesting posts on HC.

[percy]

XRF.
https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02410786-6A1046861?access_token=83ff96335c2d45a094df02a206a 39ff4
Another stunner.

[percy]

https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02416809-6A1048591?access_token=83ff96335c2d45a094df02a206a 39ff4
Looks to be a good bolt on.

[percy]

XRF still going great guns.61 cents today cum div.

[percy]

It is with a sense of great excitement that I report XRF's share price is currently 65.5 cents.

[Hawkeye]

It is with a sense of great excitement that I report XRF's share price is currently 65.5 cents.

Tell me about it, I only managed to get a small holding before prices bolted away last month

[percy]

Tell me about it, I only managed to get a small holding before prices bolted away last month

I see they are still trading cum divie today.
So we will get the divie.

[percy]

I see they are still trading cum divie today.
So we will get the divie.

68 cum divie.Great.!

ps.Thanks DMX, you have done it again..!!

[RupertBear]

68 cum divie.Great.!

ps.Thanks DMX, you have done it again..!!

Well done Percy, sounds like you are well positioned, again :)

[percy]

Well done Percy, sounds like you are well positioned, again :)

Yes "well positioned" and having some fun.
Sold UBN as they should have been cash flow positive by now, and also sold a spec gold stock NXM that went for a run..Yes sold too early.
Funds have been recycled into 2 more DMX stocks,AER bought at 15 cents on 7th of this month,and on the 8th bought PPL at 3.4 cents.. PPL have shot up to 5.6 cents.[64.7%]
Both AER and PPL have been bought to hold, as their prospects look exciting.

[RupertBear]

Yes "well positioned" and having some fun.
Sold UBN as they should have been cash flow positive by now, and also sold a spec gold stock NXM that went for a run..Yes sold too early.
Funds have been recycled into 2 more DMX stocks,AER bought at 15 cents on 7th of this month,and on the 8th bought PPL at 3.4 cents.. PPL have shot up to 5.6 cents.[64.7%]
Both AER and PPL have been bought to hold, as their prospects look exciting.

AER and PPL look interesting. Epic timing getting into PPL at 3.4 cents! Well done you! :)

[percy]

AGM presentation very positve.
https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02438740-6A1057198?access_token=83ff96335c2d45a094df02a206a 39ff4

RB.Sold about a third of my XRF and recycled the funds into SWK just before they took off.Lucky as.

[percy]

Results for announcement to the market
Revenue from ordinary activities Up 24% to $18,534,615 from $14,960,987
Earnings before interest and tax (EBIT) Up 19% to $3,706,709 from $3,110,764
Profit from ordinary activities after tax Up 15% to $2,744,456 from $2,382,067
Net profit attributable to members Up 17% to $2,791,931 from $2,382,067
Another cracker result..Well done XRF.

[percy]

From this mornings Tip sheet The Bull,Buy;XRF.
This equipment and chemicals manufacturer posted solid results for the 2022 first half. Revenue grew by 24 per cent and net profit after tax increased by 17 per cent. Also, results indicated continuing momentum into the second half, with record orders. Increasing capital expenditure is expected in the mining exploration sector, which should provide strong tailwinds for XRF.

[percy]

Another great update.
https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02511370-6A1087155?access_token=83ff96335c2d45a094df02a206a 39ff4

[percy]

An excellent result,and a positive presentation.

https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02556550-6A1105595?access_token=83ff96335c2d45a094df02a206a 39ff4

[peat]

Up 14%
havent read the news yet but market tells me all

nice one Percy

[DarkHorse]

Wish I'd been paying attention when Percy highlighted this one earlier in the year. Well done!

[peat]

couldnt help but notice

[percy]

I do not think I have ever seen this from a company before.

REVENUE AND COSTS ARE EXPECTED TO CONTINUE TO RISE IN FY23, WITH NO NEGATIVE IMPACT TO MARGINS

[Sideshow Bob]

Nice one Percy. :)

[peat]

a chance to enter again if it hits 60.

[percy]

a chance to enter again if it hits 60.

May pay to get in before it hits 70.....lol.

[peat]

Indeed up nearly 9% today!

[peat]

Indeed up nearly 9% today!

[percy]

https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02583779-6A1115997?access_token=83ff96335c2d45a094df02a206a 39ff4

Peat trust you are onboard again.

[peat]

yes its a ripper.

Profit Before Tax this quarter $2.4m PCP $1.7m 45%

[bull....]

own this one as well

[percy]

own this one as well

And with that XRF hit 80 cents.
An all time high.
You are a market leader..
AGM tomorrow should be interesting.

[percy]

https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02585716-6A1116750?access_token=83ff96335c2d45a094df02a206a 39ff4

Quarter results for period ended 30 September
September
2022 Quarter
September
2021 Quarter
Change
%
Revenue $12.6m $9.5m 32%
Profit Before Tax $2.4m $1.7m 45%

[peat]

Sold some at 80

[percy]

From Livewire today.Top picks for 2023.

XRF Scientific (ASX: XRF)
Michael Wayne: I'm going to go XRF Scientific. So staying on that mining theme. It is a small cap, a smaller business, but it's by no means speculative. The balance sheet's very high quality, it pays a decent dividend yield of around 3%. It was 4%, but the share price has gone up, so it's back to around a 3% dividend yield. Basically what it does is it provides the machines and the testing kits so that miners can test their core samples. The good thing is, once they sell the machines, there are consumables or different types of assets required to test those core samples. Once they're used once, they've got to be discarded, and then new products have to be brought in. So the margins are growing nicely, revenues are growing nicely, earnings are growing nicely, as are dividends, and we expect momentum in the share price to continue. So we've got to buy on XRF Scientific.

[bull....]

into the 90s now ... over 1 after results?

[clip]

XRF announces record half‐year resultXRF Scientific Ltd (“XRF” or “The Company”) today announced its results for the December 2022 half‐year:

Key Highlights
Sales Revenue up 46% to $27.1m from $18.5m
 Profit Before Tax up 43% to $5.3m from $3.7m
 Net Profit After Tax* up 34% to $3.7m from $2.8
 Record quarterly Profit Before Tax of $2.9m in December Q2

*In FY23 our Australian income tax rate has increased to 30% (FY22: 25%) due to the expectation that ourgroup revenue will exceed $50m for FY23.
References to profit above are net of profit attributable to non‐controlling interests.

[percy]

XRF announces record half‐year resultXRF Scientific Ltd (“XRF” or “The Company”) today announced its results for the December 2022 half‐year:

Key Highlights
Sales Revenue up 46% to $27.1m from $18.5m
 Profit Before Tax up 43% to $5.3m from $3.7m
 Net Profit After Tax* up 34% to $3.7m from $2.8
 Record quarterly Profit Before Tax of $2.9m in December Q2

*In FY23 our Australian income tax rate has increased to 30% (FY22: 25%) due to the expectation that ourgroup revenue will exceed $50m for FY23.
References to profit above are net of profit attributable to non‐controlling interests.

Another cracker result with a positive outlook.
Here is today's presentation.
https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02633748-6A1137290?access_token=83ff96335c2d45a094df02a206a 39ff4

[percy]

Currently trading at $1.11.
Whoops $1.14...lol
A strong run up since their half year result in February.

[bull....]

Currently trading at $1.11.
A strong run up since their half year result in February.

good announcement today

https://cloud.weblink.com.au/smallcaps/announcement.aspx?articleID=359972

[percy]

good announcement today

https://cloud.weblink.com.au/smallcaps/announcement.aspx?articleID=359972

Thanks for posting as I had not seen it.
Incredible...

[percy]

Crikey....$1.275.....

[peat]

clearly that $1.27 was a bit stratopheric though it reached $1.30 in August again.
But it seems from the announcement today that growth may be tapering somewhat. Price back to 96c

I'd still be better off if I hadnt sold though ;+)

[percy]

clearly that $1.27 was a bit stratopheric though it reached $1.30 in August again.
But it seems from the announcement today that growth may be tapering somewhat. Price back to 96c

I'd still be better off if I hadnt sold though ;+)

I missed selling at over $1.40,but got $1.305 0n 22nd May.
Paid under 40 cents a few years ago,and enjoyed increasing my holding via DRP.
The funds were recycled into 2cc [nzx] at under 25 cents...

[Rawz]

I missed selling at over $1.40,but got $1.305 0n 22nd May.
Paid under 40 cents a few years ago,and enjoyed increasing my holding via DRP.
The funds were recycled into 2cc [nzx] at under 25 cents...

Incredible!!!! Well done

[Sideshow Bob]

https://thebull.com.au/18-share-tips-23-october-2023/?utm_source=ST&utm_medium=email&utm_campaign=ShareTrader+AM+Update+for+Tuesday+24+ October+2023

XRF makes equipment and chemicals used in preparing samples for analysis for the mining industry. It delivered a strong fiscal year 2023 result. The company reported sales revenue of $55.2 million, up 38 per cent on the prior corresponding period. Net profit after tax grew 26 per cent to $7.7 million.
Management has indicated that orders for capital equipment products are at record levels. The company has a strong balance sheet and should be able to capitalise on opportunities as they arise.