ASX 200 falls 0.8%, Afterpay (ASX:APT) share price drops 6%

The S&P/ASX 200 Index (ASX:XJO) fell 0.8%. The Afterpay Ltd (ASX:APT) share price fell 6% after the market learned that the CFO is leaving.

| More on:
a woman

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The S&P/ASX 200 Index (ASX: XJO) fell 0.8% today to 5,876 points.

Here are some of the main highlights from the ASX 200:

Afterpay Ltd (ASX: APT)

The Afterpay share price fell around 6% today after the buy now, pay later company announced that its chief financial officer (CFO), Luke Bortoli, would be leaving.

Afterpay said that Mr Bortoli has played a critical role in delivering the significant growth and success of the business of that period. He transformed the finance function of the company from a small cap start-up to a global market leader.

The ASX 200 share said that following discussions with Mr Bortoli regarding his future ambitions, the company went looking globally for a replacement. Rebecca Lowde will assume the role of CFO effective 6 October 2020.

Rebecca Lowde has been the CEO and CFO of Salmat for a combined six years and she was also the CFO of fintech business Bravura Solutions Ltd (ASX: BVS).

Afterpay CEO and managing director Anthony Eisen said: "Luke has made a transformational contribution to Afterpay in its highly crucial years. He has built a world class finance function that has grown from a small number of employees based in Australia to a high performing team operating across multiple regions and functions.

"Luke has worked tirelessly as a partner to the executive leadership team and been integral in driving our strong performance trajectory and expansion into new regions, while ensuring we had the right capital structure and investor base to achieve our strategic objectives."

The ASX 200 share also announced that it has appointed Meahan Callaghan as chief people officer and Mark Teperson as chief strategy officer.

Washington H. Soul Pattinson and Co. Ltd (ASX: SOL) FY20 result

The Soul Patts report was covered here. The Soul Patts share price rose around 1% today in reaction to the result.

There were a number of interesting pieces in the report from the ASX 200 share.

Regular profit after tax was down 44.7% because of lower coal prices and lower demand with New Hope Corporation Limited (ASX: NHC) and COVID-19 impacts on construction with Brickworks Limited (ASX: BKW).

Statutory profit after tax increased by 284.3% to $953 million largely due to the accounting profit from the merger involving TPG Telecom Ltd (ASX: TPG).

The net cash flows from investments of the ASX 200 share increased by 48.8% to $252.3 million thanks to the special dividend declared and paid by TPG.

Soul Patts' net asset value (pre-tax) decreased by 5.3% to $5.2 billion. The net asset value decline of 5.3% was 6.9% better than the S&P/ASX All Ordinaries Index (ASX: XAO) decline of 12.2% over the year to 31 July 2020.

The Soul Patts directors decided to declare a final dividend of 35 cents per share, which was an increase of 2.9% compared to last year's final dividend. That brought the total dividend for FY20 up to 60 cents per share – an increase of 3.4%.

Brickworks

Brickworks also announced its FY20 result today. The Brickworks share price fell 1%. 

The Australian building products company said that its continuing revenue rose 4% to $953 million.

However, the ASX 200 share's underlying earnings before interest, tax, depreciation and amortisation (EBITDA) fell 19% to $281 million, underlying earnings before interest and tax (EBIT) dropped 34% to $206 million and underlying net profit after tax (NPAT) declined 38% to $146 million. Underlying earnings per share (EPS) fell 38% to 98 cents.

Profit was impacted by COVID-19 and was down from a record result last year.

However, statutory profit rose 93% to $299 million thanks to its investment in Soul Patts which benefited from the TPG merger. Brickworks also benefited from positive property revaluations with lower interest rates.

The Brickworks board decided to increased the final dividend by 3% to 39 cents per share. The full year dividend was increased by 4% to 59 cents per share.

The ASX 200 share said that the building products Australia division has seen rising orders and sales in September which reflected the various government stimulus measures.

Motley Fool contributor Tristan Harrison owns shares of Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia owns shares of and has recommended Brickworks and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia owns shares of AFTERPAY T FPO. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Share Market News

A man sits thoughtfully on the couch with a laptop on his lap.
Share Gainers

3 ASX 200 stocks smashing the benchmark this week

These three ASX 200 stocks are leading the charge this week. Here’s how.

Read more »

Two people tired and resting after sports race.
Broker Notes

Fundie rates 2 ASX 200 stocks in short-term pain but with long-term gain potential

Blackwattle Investment Partners sees these 2 ASX 200 stocks as worthy of a buy and hold strategy.

Read more »

A young woman holding her phone smiles broadly and looks excited, after receiving good news.
Share Gainers

Why A2 Milk, EOS, GQG, and Mineral Resources shares are racing higher today

These shares are ending the week strongly. But why?

Read more »

A male investor wearing a blue shirt looks off to the side with a miffed look on his face as the share price declines.
Share Fallers

Why Megaport, Pilbara Minerals, Vysarn, and WiseTech shares are falling today

These shares are ending the week in the red. But why?

Read more »

Two smiling work colleagues discuss an investment or business plan at their office.
Broker Notes

Brokers name 3 ASX shares to buy today

Here's why brokers are feeling bullish about these three shares this week.

Read more »

A young female investor sits in her home office looking at her ipad and smiling as she sees the QBE share price rising
Share Market News

5 things to watch on the ASX 200 on Friday

A good finish to the week is expected for Aussie investors.

Read more »

A man has computer-generated images rushing through his head indicating an AI (Artificial Intelligence) concept of a communication network.
Technology Shares

ASX investors are obsessed with Nvidia shares! Here's why

The global chipmaker reported a 94% increase in annual revenue in the third quarter.

Read more »

A man wearing a red jacket and mountain hiking clothes stands at the top of a mountain peak and looks out over countless mountain ranges.
Share Gainers

Here are the top 10 ASX 200 shares today

It was another disappointing day for ASX investors this Thursday.

Read more »