1.Orora

Orora emerged in good shape from the August reporting season, in a welcomereturn to form after a slide earlier in 2024. Underlying earnings were about 10%better than feared. Underlying EBIT surged by 26% to $404 million, buoyed by the Saverglass acquisition. Excluding this acquisition, EBIT growth was much moresubdued, up just 0.9%, but this was a decent result given cost pressures and thetepid demand environment. Further adding to the momentum, Orora acknowledgedthe rejection of a $3.3 billion takeover offer from private equity giant Lone Star. Ororais mulling the divestment of a North American unit, which could unlock value. The shares are up roughly 25% over the past month.

2. Downer EDI

Downer EDI shares climbed 17% on the day it announced a swing to an annualprofit of $82 million. That was a welcome turnaround following the $386 million netloss a year earlier, driven by write-downs. The contracting titan is mulling an exit of the JV with France’s Keolis. Underlying earnings matched expectations, and grossprofit margins improved in the second half. The business still has much more workahead to improve overall earnings quality. The spike following the announcementsaw the stock recoup lost ground earlier in August, with the shares up 16% over thepast month.

3. Ansell

Ansell surged following the FY24 results. Management reported that destocking issues had faded somewhat, and the medical equipment firm provided a decentearnings forecast for the current year, with material growth, should the upper end ofguidance be achieved. The cost reset undertaken in the business bodes well forwhen underlying top-line momentum returns, and the recent acquisition slots innicely. The shares have climbed 12% over the past month.

4. Droneshield

Those following Droneshield’s trajectory will know the firm is no stranger to volatility.Although the stock initially sold off following a record-breaking 110% revenue surgeto $24.1 million in 1H24, investors changed their minds after more time to digest the state of play. The stock has flown 26% higher over the past month.

Losers

1.Red 5

After disappointing guidance, gold miner Red 5 has seen its share price dull,tumbling -12% the day results dropped. FY24 gold sales surged 35% to 223,498ounces, underpinned by a surge from the King of the Hills mine in its second year ofoperations. The merger with Silver Lake was completed on 19 June 2024, so Red 5’s FY24 results only include 12 days of contribution from Silver Lake. Revenue jumped47% to $620 million thanks to more ounces and higher prices, but Red 5 posted astatutory loss of $5.4 million due to one-off merger costs. Underlying profitrebounded to $48.5 million from a $1.5 million loss last year. However, the market reacted negatively to the company’s weaker-than-expected FY25 guidance,forecasting lower-than-anticipated gold sales and higher all-in-sustaining costs.

2. QBE Insurance

QBE Insurance fell despite announcing soaring profits for 1H24 thanks to a drop inits combined operating ratio (COR) to 93.85 from 98.8% a year earlier. Remember,lower CORs are better for insurers, with anything below 100% indicating profitableunderwriting. Net profit doubled to US$802 million. The pressure on the stock hasstemmed from expectations that premium rate increases will slow as householdsface tighter budgets. The stock has declined almost 9% over the past month.