The Smart Parking Ltd (ASX: SPZ) share price is going gangbusters today after the parking technology provider delivered its first-half results for FY21. At the time of writing, the Smart Parking share price is trading 13.79% higher to 17 cents per share.

A recovery in the works

Smart Parking sources its revenue from two main streams: parking management, and technology. Shareholders are likely rejoicing on the 51% uplift in parking management revenues for the company. The recovery placed the management segment's revenue at $8.674 million, up from $5.741 million in H2 FY20.

On the other hand, technology revenue experienced a drastic 30% fall to $2.316 million. Smart Parking put this down to a delay in revenue and capital projects due to the pandemic. Total revenue fell, despite the company expanding its presence to a total of 576 sites.

The company attempted to improve its operating margin through cost-saving initiatives undertaken last year. Such initiatives have included the reduction of staff, salaries, marketing reduction, and travel cuts. Despite the overhead cuts, adjusted earnings before interest, tax, depreciation, and amortisation (EBITDA) was $1.4 million, down from $1.6 million.

Shareholders may have thrown a party when they skipped to the bottom-line profit for the parking provider. Net profit after tax swung to a mighty fine $4.5 million, compared to a loss of $1.5 million in the prior corresponding period (pcp). However, don't celebrate too soon – Smart Parking received a one-off benefit of $6.9 million related to the VAT dispute.

Vaccines to the rescue

Smart Parking largely sees better operational conditions ahead with the rollout of vaccinations globally. Over the dampened period, the company has expanded its total sites and foresees this to be reflected in the results from March onwards.

The company also expects that parking breach notices (PBN) will bounce back in future periods.

An additional $3.4 million of work in progress and new orders are to be delivered moving forward. This consists of the delayed $1.3 million for Gatwick Airport and Queen Victoria Market in Melbourne.

Lastly, Smart Parking noted its Smart City product launch. This is Smart Parking's enforcements app and compliance management system. These are new products that could potentially provide Smart Parking with a new income stream.

The company has retained its growth target of 1,000 sites by June 2023.

Smart Parking share price snapshot

Over the last 12 months, the Smart Parking share price has fallen 10.8%. This would indicate an underperformance when compared with the S&P/ASX 200 Index's (ASX: XJO) return of 2% in the same period. 

The post Why the Smart Parking (ASX:SPZ) share price is soaring 10% higher appeared first on The Motley Fool Australia.

The Smart Parking Ltd (ASX: SPZ) is rocketing today after the company announced a favourable outcome on its United Kingdom VAT matters.

During late afternoon trade, the parking technology company's shares are up 14.8% to 15.5 cents.

Let's take a look at what's driving the Smart Parking share price higher.

What did Smart Parking announce?

In today's release, Smart Parking advised that it has reached settlement with Her Majesty's Revenue and Customs (HMRC) on the administration of parking breach notices. The company noted a series of adjustments as a result of the settled dispute. They are as follows:

• HMRC to withdraw assessments raised in August 2019 for $3 million which were provided for in the FY19 accounts;
• HMRC to refund an overpayment of input VAT of $2.9 million;
• Smart Parking to write back its profit of $6.9 million in the prior year input VAT. This consists of reversal of a $4 million provision in the FY20 accounts for unpaid input VAT, and a cash refund of $2.9 million for overpaid input VAT;
• Smart Parking to withdraw notices of appeal that had been lodged in relation to the matter; and
• Smart Parking to restrict input VAT on a small number of leased sites where the company acts as principal.

Smart Parking noted that its pre-tax profit would receive a boost going forward as a result of the applied adjustments. This is due to the agreed method of calculating VAT, which will positively impact the company's bottom line.

Smart Parking further stated that if the new method had been implemented across its entire FY20 year, then pre-profit tax would stand $1.7 million higher. The company said that looking ahead, regardless of expanding customer base, customer mix and government lockdowns, there will be significant annual benefits of pre-tax profits.

Smart Parking share price snapshot

Over the last 12 months, the Smart Parking share price has been a weak performer due to the negative impact caused by COVID-19. The company's shares hit a low of 7 cents last March before slowly working their way back up to sit today 20% down on pre-pandemic levels.

The post Why the Smart Parking (ASX:SPZ) share price is jumping 14% today appeared first on The Motley Fool Australia.

The Smart Parking Ltd (ASX: SPZ) share price has soared higher today following the release of its Q1 trading update.

In late-morning trade, shares in the parking technology company have risen 9% to 12 cents. This compares to the All Ordinaries Index (ASX: XAO) which is up 0.1% to 6,252 points.

Business update

For the period ending 30 September, Smart Parking recorded a strong growth despite COVID-19 severely impacting the business in Q1.

Car volumes continued to recover, jumping 152%, and parking breach notices (PBN) issuances surged 388% since coronavirus lows in April. The result led Smart Parking to record a positive operating cash flow of $0.6 million.

The UK sales team restructure delivered 56 new site installations, meeting business performance expectations. KFC UK & Ireland installations have started with 15 sites outfitted, and 2 in New Zealand.

Smart Parking advised of technology project delays across all territories due to COVID-19. Gatwick Airport in the UK has been sent equipment, but installation has been deferred until H2 FY21. A recent Queen Victoria Market contract in Victoria will look to fit out guidance systems across 500 parking bays in the next quarter.

Total order book and work in progress remains firm at $3.2 million. The company noted an annualised personal savings of $1.2 million from a reduction in head count.

Smart Parking closed the quarter with a cash balance of $9.3 million, including a draw down loan of $2.7 million.

Outlook

As Q2 is under way, the company is seeking further growth opportunities while the market recovers to pre-COVID levels.

In the pipeline is 40 new automatic number plate recognition (ANPR) installations for the current quarter. Smart Parking is focused on achieving 1,000 ANPR installations by June 2023.

Internet of things (IoT) product launches are progressing, as the company seeks new customers, pushing for greater revenue prospects.

About the Smart Parking share price

The Smart Parking share price has failed to climb back since COVID-19 hit the market. Shares in the tech company reached a low of 7 cents in March, after trading around 24 cents the month before.

With a market capitalisation of $43 million, investors will be watching to see if Smart Parking can regain its former glory.

The post Why the Smart Parking (ASX:SPZ) share price is soaring higher today appeared first on The Motley Fool Australia.

Australia's S&P/ASX 200 (Index: ^AXJO)(ASX: XJO) and ALL ORDINARIES (Index: ^AXAO) (ASX: XAO) indices finished lower on Friday.

Here's a short recap of the Australian market:

• S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) down 0.11% to 6,087.40
• ALL ORDINARIES (Index: ^AXAO) (ASX: XAO) down 0.10% to 6,190.90
• AUD/USD at US 75 cents
• Gold at US$1,289.10 an ounce
• Brent Oil at US$79.52 a barrel

The best-performing share in the ASX200 was Challenger Ltd (ASX: CGF), the share price of the market-leading annuity company rose 7% today.

Another share to grow well today was Rural Funds Group (ASX: RFF), it went up nearly 6% today after announcing the acquisition of a cattle farm yesterday.

CSL Limited (ASX: CSL) was the big gainer among the ASX giants. The share price went up 4.1% after increasing its FY18 profit guidance.

The worst performer in the ASX200 was NIB Holdings Limited (ASX: NHF), it dropped 5.3% on worries that private health insurance continues to be unaffordable for workers with little wage growth.

a2 Milk Company Ltd (ASX: A2M) dropped 4.6% as bulls and bears 'argue' over what fair value for the company is, considering a2 is going to achieve a bit less compared to what the market was expecting.

The Sydney Airport Holdings Ltd (ASX: SYD) share price finished flat after delivering yet another month of passenger traffic growth.

Lithium stocks gave up some of their gains yesterday, with Galaxy Resources Limited (ASX: GXY) dropping by 3.9%.

Finally, Smart Parking Ltd (ASX: SPZ) finished the day up 17.3%, after losing around half its value yesterday.

Here are some of today's top stories:

• Why I wouldn't invest in Telstra Corporation Ltd (ASX:TLS) for years
• Why has Myer Holdings Ltd bounced today
• CSL Limited (ASX:CSL) shares surge higher on profit guidance upgrade

The post ALL ORDINARIES finishes lower Friday: 8 shares you missed appeared first on The Motley Fool Australia.

In afternoon trade the S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) has given back its early gains and is in the red once again. At the time of writing the benchmark index is down 0.15% to 6,084 points.

Four shares that have defied the market and pushed higher are listed below. Here's why they are ending the week with a bang:

The Codan Limited (ASX: CDA) share price has jumped 7% to $2.94 after announcing a $9.5 million deal between its Minetec business and mining behemoth BHP Billiton Limited (ASX: BHP). Minetec will supply its Fleet Management System to BHP's Olympic Dam mine. As a result, full year underlying net profit after tax is now expected to be in the region of $38 million in FY 2018. I think Codan still looks to be good value despite its strong rise over the last 12 months.

The CSL Limited (ASX: CSL) share price has climbed 4% to $182.60 after the biotherapeutics company upgraded its full-year earnings guidance. Thanks to the strong performance of its core business and a severe northern hemisphere influenza season, CSL now expects full-year net profit after tax in the range of US$1,680 to US$1,710 million, compared to previous guidance of US$1,550 to US$1,600 million.

The Smart Parking Ltd (ASX: SPZ) share price has rebounded almost 33% to 34.5 cents after providing clarity on the sudden termination of both its UK managing director and UK finance director. The company advised that the two directors "were not operating in good faith and there was evidence they had breached a number of their employment conditions, including in relation to their entitlements and the amount of time they were spending in the business." Smart Parking's shares halved in value yesterday when it was first announced.

The Xanadu Mines Ltd (ASX: XAM) share price has stormed 12% higher to 23.5 cents after the copper and gold exploration company experienced significant insider buying. No less than three of the company's directors have been buying Xanadu Mines' shares this week through on-market trades.

The post Why these 4 ASX shares are ending the week with a bang appeared first on The Motley Fool Australia.

It has been a disappointing day of trade for the S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) on Thursday. After a bright start the index has faded and is down almost 0.4% to 6,084 points in afternoon trade.

Four shares that have fallen more than most today are listed below. Here's why they are sinking lower:

The Coca-Cola Amatil Ltd (ASX: CCL) share price has fallen 3.7% to $8.64 a day after the beverage company's annual general meeting. One broker that wasn't overly impressed was Morgan Stanley. A broker note released this morning reveals that its analysts have retained their underperform rating and $8.00 price target. I thought the company's AGM update was quite weak and would suggest investors hold off an investment.

The Smart Parking Ltd (ASX: SPZ) share price has plunged 39% lower to 27.5 cents after the parking solutions company provided an update on its UK business. According to the release, the company has sacked both its UK managing director and finance director after they breached corporate policies. The company also advised that poor weather has adversely impacted its UK operations during the third quarter.

The Treasury Wine Estates Ltd (ASX: TWE) share price has tumbled 7% to $16.80 after reports claimed that there was a supply glut of some of its low-end products in China. One distributor allegedly has three-year's worth of stock on its hands. The company was quick to dismiss the reports. Though, separate to this, it has advised that it is experiencing delays in getting product through China's customs. This is only expected to be temporary.

The Westpac Banking Corp (ASX: WBC) share price has dropped almost 4% to $29.03. Today's decline is almost entirely attributable to the banking giant's shares going ex-dividend this morning for its interim 94 cents per share fully franked dividend. This dividend will be paid to eligible shareholders on July 4.

The post Why these 4 ASX shares are sinking lower today appeared first on The Motley Fool Australia.

Unfortunately for its shareholders, the Smart Parking Ltd (ASX: SPZ) share price is in freefall on Thursday.

At the time of writing the car park technology company's shares are down 50% to 22.5 cents. At one stage they were more than 55% lower at a 52-week low of 20 cents.

Why are Smart Parking's shares being crushed?

This morning Smart Parking provided the market with an update on its UK business.

According to the release, the company has become aware, through an internal audit and review process, of breaches of the company's corporate policies by its UK management team.

The review highlighted non-compliance in HR and operational controls, breaching its customer-focused strategy to build a positive and trusted brand in the UK parking enforcement market.

This has led to the Smart Parking board terminating the employment of both the UK managing director and finance director with immediate effect. The company's CEO and managing director, Paul Gillespie, has assumed the role of UK managing director on an interim basis.

Unfortunately for investors the company hasn't gone into any further detail about what exactly the breach was. But considering both directors were swiftly terminated, it appears to have been a very serious breach.

The concern I have now is whether this breach has damaged the company's reputation in the UK market, potentially stifling its future growth. Management intends to keep the market informed on developments and any financial impact.

In addition to this news, the company also took this opportunity to advise on trading conditions in the market. Due to poor weather conditions, business in the UK has been adversely impacted.

This has led to a sizeable decline in the issuance of parking breach notices in the third quarter of FY 2018 and delays in the roll out and go live process of new sites. Further, management predicts that breach notices will be impacted in the fourth quarter by 25%.

Should you buy the dip?

Until the full details of the breach are known I would stay clear of Smart Parking.

In the meantime, small cap tech shares such as ELMO Software Ltd (ASX: ELO) and Volpara Health Technologies Ltd (ASX: VHT) may be better options for investors.

The post Why Smart Parking Ltd shares just plunged 55% lower appeared first on The Motley Fool Australia.

Every well-balanced portfolio has a few speculative small caps within it, check out these 3 small cap stocks with big plans.

Generation Development Group Ltd (ASX: GDG)

Shares in diversified investment and financial services company Generation Development Group have been on a downward spiral since its Feb 1 high of $1.74, but according to Morgans, things might be on the up for this $135 million market cap company.

Generation's funds update for the March quarter saw investment bond sales rocket up 84% with a Morgans broker saying its "long term story" looks promising and upgrading the stock to add from hold.

According to Morgans, recent changes to superannuation rules could see low-tax investment options like investment bonds experience "significant structural growth" and the broker believes Generation Development is poised to ramp up performance where it counts to leverage favourable market conditions.

Morgans has raised its share price target on the stock from $1.28 to $1.33 – Generation Development shares finished at $1.08 on April 23, down 1.3%.

As at March 31, 2018 Generation Development announced funds under management (FUM) had risen by 2.8% to $22.7 million since December 31, 2017.

Generation Development was previously known as Austock Group Limited (ASX: ACK), but officially changed its name and ASX code this month.

Select Harvests Limited (ASX: SHV)

Almond producer Select Harvests Limited has found itself on the 52-week high list in the last week with a share price rally to $6.46 on April 20, down slightly at April 23 close to $6.40.

There are huge opportunities at play for ASX food and agriculture stocks who can get the formula right and market their products to overseas markets such as Asia, Europe and the Middle East, and Select Harvests bumper 2018 harvest is something to get excited about.

Its geographically-diverse orchard portfolio is expected to produce record yields this season and it won't be a one-off for the company, who's forward planning means 34% of its orchards are yet to mature and acquisitions are underway to expand its portfolio even further.

With Asia in particular getting a taste for nuts and seeds products from reliable Aussie producers, the sky is the limit for Select Harvests, with fellow small cap walnut producer Webster Limited Fully Paid Ord. Shrs (ASX: WBA) hot on its heels.

These small fry have the likes of Nufarm Limited (ASX: NUF), Australian Agricultural Company Ltd (ASX: AAC) and Ruralco Holdings Ltd (ASX: RHL) to aspire to and investors with the stamina for long-term stocks should do their due diligence here.

Smart Parking Ltd (ASX: SPZ)

Parking technology player Smart Parking Ltd shares have been flying of late – up in 52-week high territory at April 23 close with its closing price of 53c per share up 112% from its 25c per share price at this time last year.

Smart parking reported some impressive first-half results in February, with group revenue up 26% to $16.1 million, NPAT up 509% to $2.2 million and adjusted EBITDA up 115% to $3.8 million.

In terms of future growth the company looks like it's on track to increase margins exponentially with a strategic partnership with Telstra, the roll out of technology in the UK and a strong order book which includes Coles, the City of Adelaide and Moonee Valley City Council.

One thing is for sure, traffic congestion means parking woes are only getting worse, and a company with a strong balance sheet who has strategies to mitigate this probably has a pretty good future on the cards.

The post 3 small caps with big things on the horizon appeared first on The Motley Fool Australia.

The car industry is a large part of the Australian economy. It makes up a big part of the Australian workforce, it pays for a lot of advertising and sponsorships and it's very profitable.

According to the 2015 Motor Vehicle Census there were 18 million vehicles in Australia in 2015, of which 16 million were cars and light commercial vehicles. That's almost one car for every single adult in Australia.

So, what are some ways to get exposure to this large industry? It's not as though Toyota or Ford trade on the ASX.

One option is Caltex Australia Limited (ASX: CTX). We like to complain about petrol prices all the time, so why not own a piece of the company making a lot of the profit? Things are going well in the servo industry, with margins supposedly close to their all time highs. Caltex is currently trading at 13x FY18's estimated earnings.

Perhaps you believe that petrol-powered cars are going the way of the dinosaur and will be extinct sooner than you think. In that case lithium stocks could be the way to go as batteries become the norm with electric vehicles, meaning Galaxy Resources Limited (ASX: GXY), Pilbara Minerals Ltd (ASX: PLS) and Orocobre Limited (ASX: ORE) could be better value after their price falls in recent months.

The most obvious way to get into the car industry is car dealerships. Automotive Holdings Group Ltd (ASX: AHG) and AP Eagers Ltd (ASX: APE) are two of the biggest dealership companies on the ASX and they have impressive profit histories.

ARB Corporation Limited (ASX: ARB) is a good proxy for the car industry with its four wheel drive equipment and accessories.

A left field choice could be Smart Parking Limited (ASX: SPZ) which is a leader in the design, development and management of parking technology.

Foolish takeaway

Sometimes diversifying into a different industry can be a good move for your portfolio if you're too focused on one area, such as banks or healthcare. The car industry could drive your portfolio higher.

The post Want to invest in the car industry? Here are some ideas appeared first on The Motley Fool Australia.

After a solid start to the day the S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) has faded in early afternoon trade and is flat at 5,919 points.

Four shares doing their bit and trying to push the market higher today are listed below. Here's why they have stormed higher:

The Auscann Group Holdings Ltd (ASX: AC8) share price has rocketed 21% to 51.5 cents. Investors have been fighting to get hold of shares of many of Australia's leading pot stocks this week following recent changes to legislation which could mean they are generating revenues sooner-than-expected.

The Big Un Ltd (ASX: BIG) share price has surged almost 8% higher to $2.80 after announcing a first-quarter cash profit of $5.6 million from operating activities. This profit was driven by an impressive 488% increase in cash receipts to $15 million as a result of its expansion in the United States and strong demand from existing customers. I think this video technology company is one of the most exciting tech shares on the market right now.

The Smart Parking Ltd (ASX: SPZ) share price is up almost 14% to 24.5 cents following the release of its quarterly update. According to the release, the car parking technology company delivered operating cash flows of $1 million, up $0.7 million on the prior quarter. Cash receipts in the first-quarter rose to $7.4 million, compared to $6.5 million in the fourth-quarter of FY 2017.

The Woolworths Limited (ASX: WOW) share price is up almost 2% to $25.75 after releasing its first-quarter sales update. Investors appear to be pleased that all of the retail conglomerate's businesses posted increases in comparable store sales during the quarter. While I was impressed with its performance, I would wait to see what the company has to say at its AGM on November 23.

The post Why these 4 ASX shares stormed higher today appeared first on The Motley Fool Australia.

Although the Australian share market doesn't boast any global technology companies like Google, Apple or Microsoft, local investors still have a pretty big choice of fast growing tech companies they can choose from.

Most of them reside in the small-to-mid cap space, but that doesn't mean investors should just put them to one side.

Four of my favourite tech shares to keep an eye on right now include:

Emerchants Ltd (ASX: EML)

Emerchants operates in the fast-growing prepaid card and virtual payments markets. It already has around 850 programs in place across 13 countries, and its most recent first-half result showed an impressive 207% increase in revenue. The company is still in the early stages of profitability, but already has a market capitalisation of $378 million. As a result, I wouldn't rush out to buy the shares today as much of the company's future growth appears to have been priced in already.

Afterpay Holdings Ltd (ASX: AFY)

Afterpay's latest market update was impressive, but its proposed merger with Touchcorp Ltd (ASX: TCH) has created some uncertainty in regards to how the combined entity will emerge. Nonetheless, the payments company remains a share to watch as it continues to sign up some of the biggest retail companies at a very impressive rate.

Smart Parking Ltd (ASX: SPZ)

Smart Parking is involved in the design, development and management of parking technology. The uptake of the company's products has been promising, and although it recently recorded its first ever positive NPAT result, I would still classify Smart Parking as a speculative investment. Nonetheless, it could be worth a much closer look, especially if it can continue to win new installation contracts.

Altium Limited (ASX: ALU)

Many regular Fool readers will be familiar with Altium and there is a good reason for this. The electronics design software company has delivered exceptionally strong results over the past five years which has seen its shares rise by more than 4,000% in that time. More importantly, there is still a lot of growth left in Altium and it is one of the few technology shares that actually offers a decent dividend yield.

The post 4 tech shares that should be on your radar appeared first on The Motley Fool Australia.