Origin (ASX:ORG) share price slides 5% after revenue decline

Origin shares continue to bath in red over the course of this year.

| More on:
Downward red arrow with business man sliding down it signifying falling asx share price.

Image source: Getty Images

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 Origin Energy Ltd (ASX: ORG) share price has crept into the red during early trade on Thursday. At one point, Origin shares were exchanging hands at $4.08 apiece, a 5% drop on the day.

Today's pressure on the charts arrives as Origin reported its FY21 earnings this morning.

What's up with the Origin Energy share price today?

The Origin Energy share price is on the move as the company reported a significant down-step in its earnings over the course of FY21.

To illustrate, Origin recognised an 8% year on year down-step in revenue to $1.2 billion, whereas it recorded a 35% decrease in EBITDA from the year prior.

As a result, this contributed to a statutory loss of $2.2 billion. It, therefore, comes as little surprise that Origin also trimmed its dividend by 2.5 cents from FY20, announcing an unfranked 7.5 cents per share final dividend.

This brought the final dividend to 20 cents per share for FY21, signifying a 31% payout ratio from its cash flow.

Moreover, Origin also booked a 24% and 40% decrease in its electricity and natural gas segments, respectively.

Despite these headwinds, Origin reduced its Scope 1 and 2 equity emissions by 8% and launched an electrical vehicle (EV) platform.

In addition, the company expects these challenges to remain in place for the time being and into FY22.

Investors have punished Origin shares on the back of the announcement. The Origin share price is now changing hands at $4.26, a 2.4% dip into the red from the opening of trade.

Origin Energy share price snapshot

The Origin Energy share price has had a choppy year to date, bathing in a sea of red since January 1. Origin shares have posted a loss of 10% this year, extending the previous 12 month's loss of 28%.

These returns have lagged the S&P/ASX 200 Index (ASX: XJO)'s return of around 25% over the past year.

Should you invest $1,000 in Nuix Pty Ltd right now?

Before you buy Nuix Pty Ltd shares, consider this:

Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now... and Nuix Pty Ltd wasn't one of them.

The online investing service he’s run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

And right now, Scott thinks there are 5 stocks that may be better buys...

See The 5 Stocks *Returns as of 30 April 2025

The author Zach Bristow has no positions in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Share Fallers

A young man clasps his hand to his head with his eyes closed and a pained expression on his face as he clasps a laptop computer in front of him, seemingly learning of bad news or a poor investment.
Share Fallers

Why Brainchip, DroneShield, Resolute Mining, and Woodside shares are falling today

These shares are under pressure on Thursday. What's going on?

Read more »

Man with a hand on his head looks at a red stock market chart showing a falling share price.
Share Fallers

Why Appen, Bank of Queensland, Novonix, and Ora Banda shares are falling today

These shares are having a tough time on hump day. But why?

Read more »

A woman with a sad face looks to be receiving bad news on her phone as she holds it in her hands and looks down at it.
Share Fallers

Why Brainchip, Catalyst Metals, Northern Star, and Pact Group shares are tumbling today

These shares are having a tough time on Tuesday. But why?

Read more »

A man holds his head in his hands, despairing at the bad result he's reading on his computer.
Share Fallers

Why Brambles, Bravura, Pantoro, and Telix shares are sinking today

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

Read more »

Frustrated stock trader screaming while looking at mobile phone, symbolising a falling share price.
Share Fallers

Why DroneShield, Generation Development, Oneview, and PWR shares are falling today

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

Read more »

plummeting gold share price
Gold

Why are ASX 200 gold stocks getting crushed today?

ASX 200 gold stocks have lost their shine on Wednesday. But why?

Read more »

A man sits in despair at his computer with his hands either side of his head, staring into the screen with a pained and anguished look on his face, in a home office setting.
Share Fallers

Why Aurelia Metals, Cettire, Northern Star, and Woolworths shares are falling

These shares are having a tough time despite the market roaring higher.

Read more »

Frustrated stock trader screaming while looking at mobile phone, symbolising a falling share price.
Share Fallers

Why Block, Deep Yellow, Perenti, and Zip shares are dropping today

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

Read more »