On Friday the S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) finished the day almost 0.5% higher at 6,167.3 points. This meant the benchmark index gained a solid 1.7% for the week.
Unfortunately, not all shares were able to follow the market higher last week. Here's why these shares were the worst performers on the benchmark index:
The Bingo Industries Ltd (ASX: BIN) share price was the worst performer on the ASX 200 last week with a massive 43% decline. Investors headed to the exits in their droves after the waste management company surprisingly downgraded its full year earnings guidance. Instead of $108 million to $112 million in underlying EBITDA, the company now expects underlying EBITDA to be in the range of $92 million to $96 million in FY 2019. This has been caused by a faster than anticipated softening in multi-dwelling residential construction activity, the decision to not lift prices in FY 2019, and the reconfiguration of its development projects.
The Blackmores Limited (ASX: BKL) share price was some distance behind as the next worst performer with a decline of 22.5%. Last week the health supplements company came under heavy selling pressure following the release of a very disappointing half year result. Although Blackmores posted record half year revenue of $319 million, its net profit after tax came in flat at $34 million. Management blamed the poor profit result on increased investment in sales and marketing and slowing sales growth in China. Another concern was that it warned that sales in China would weaken in the third quarter.
The McMillan Shakespeare Limited (ASX: MMS) share price wasn't far behind with a decline of almost 22% last week. Investors sold off the salary packaging, novated leasing, and fleet management company's shares after its half year results fell short of expectations. For the six months ended December 31, McMillan Shakespeare posted a 1.2% increase in revenue to $273.1 million and a 3.9% decline in half year UNPATA to $42.6 million. Weakness in its Asset Management and Retail Financial Services segments weighed on its performance and appeared to spook investors.
The WiseTech Global Ltd (ASX: WTC) share price had a disappointing week and fell 15%. The logistics platform provider's shares came under pressure after the release of its half year results. Although the market darling posted an impressive 68% increase in half year revenue and a 48% lift in net profit, it looks as though the market had been anticipating another increase to its full year guidance. So when management merely maintained its full year revenue and EBITDA guidance, investors were quick to hit the sell button.
