Azzet reports on three ASX stocks with market-moving updates to share today.
Austal moves higher after penning major government deal
Shares in Austal (ASX: ASB) were up 7.3% in early morning trading after the shipbuilder updated the market on a landmark agreement that positions it as a key player in Australia’s defence procurement strategy.
Following the federal government’s decision to formally approve a Strategic Shipbuilding Agreement (SSA), Austal will become the strategic shipbuilder for Tier 2 surface combatants at its Henderson site in Western Australia (WA).
As a result, Austal’s newly created subsidiary, Austal Defence Shipbuilding Australia, will build and deliver an initial 18 Landing Craft Medium vessels.
There’s also potential to build 8 Landing Craft Heavy vessels for the Australian Army.
While the total project value for the first program alone is expected to be between $1–1.3 billion, today’s agreement is understood to prise open the door for Austal to secure a potential pipeline of $20 billion in Australian-government funded landing craft, frigates and autonomous warships.
Austal Defence Australia will handle all aspects of vessel delivery and aims to enhance sovereign shipbuilding capabilities in WA.
The deal adds to the shipbuilder’s current $14 billion order book, which is dominated by contracts with the U.S. Navy at its shipyards in Mobile, Alabama.
The agreement spans up to 15 years and includes the provision of a ‘Sovereign Share’ to the Commonwealth, giving it oversight and rights in the event of a change in control.
This means the Australian government could potentially buy Austal’s Australian operations – including infrastructure and workforce - at market price - should any entity gain a 20%-plus stake in the business.
This provision effectively creates a broadside to recent manoeuvres by Korean-based Hanwha Group, which made an aggressive takeover play for the company last year.
Hanwha’s plans to take its current 9.9% holding in Austal to 19.8% are subject to ruling by both the foreign investment review board and Treasurer Jim Chalmers in early September.
Meanwhile, the Andrew Forrest family entity, Tattarang, currently owns 19.9% of the company.
Today’s announcement coincides with an upgrade to Austal’s FY25 earnings to $100 million-plus, up from the previous $80 million.
Austal has a market cap of $2.8 billion.
Due to a continuum of new contracts, the stock has been on a tear for some time, with the share price up 183% in one year and up 117% year to date.
The stock appears to be in a strong bullish trend, confirmed by multiple indicators. Specifically, a 5-day moving average of the stock price is above the 20 and 50-day moving averages.
Consensus is Hold.
Credit Corp soars after robust FY25 trading update
Shares in Credit Corp (ASX: CCP) were up over 16% in later morning trading to $17.80 after the debt collector posted a robust trading update, which revealed major profits both locally and offshore.
Due largely to a sharp recovery in U.S. debt collections and strong earnings growth in its consumer lending business, the company posted a 16% rise in FY25 profit to $94.1 million.
While there was a 14% lift in U.S. debt buying revenue to $125.9 million, there was also a 12% increase in Australian/NZ lending revenue to $199.8 million, which offset a 5% decline in ANZ debt buying and collection services revenue to $219.9 million.
Improved U.S. performance saw the company deliver a record FY26 U.S. investment pipeline of $164 million.
Commenting on the 12-month update, Credit Corps' CEO, Thomas Beregi told the market that the company has focused its U.S. investment in recent periods on the acquisition of lower balance, shorter collection duration credit card receivables.
“We have diversified our purchasing across a range of sellers while focusing on lower balance products to improve cash conversion metrics and shorten the duration of our US book while conditions remain uncertain,” he said.
Outlook
Despite ongoing uncertainty as to the outlook for U.S. consumers, the company also noted that the collection outcomes have shown no signs of deterioration over the past 18 months.
Delinquency on existing payment arrangements has been similar to levels observed since mid-2023.
During the first half of FY26, Credit Corp has also taken steps to commence lending operations in the UK, which presents as a sizeable opportunity capable of achieving Credit Corp’s targeted rate of return.
Meanwhile, market pricing has remained stable over the past year, and the company expects to see opportunities to secure further purchases over the course of FY26.
The company is guiding to net profit after tax of $100 million to $110 million in FY 2026, with the midpoint of this guidance range implying an increase of 12% year on year.
This guidance is based on forecasted purchased debt ledger acquisitions of $280 million to $330 million (27% growth at the midpoint) and gross lending volumes of $350 million to $390 million.
Other noteworthy numbers announced today:
- Revenue up 5% to $545.6 million
- Net profit after tax up 86% to $94.1 million (Includes impairments it made to its U.S. business in FY 2024)
- Dividends per share up 79% to 68 cents.
- U.S. ledger collections up 12%.
- 31% growth in consumer lending segment net profit after tax.
- 5% growth in the consumer loan book to a record gross closing balance of $466 million.
Credit Corp has a market cap of $1.2 billion; the share price is up 18% in one year and up 23% in the last month.
The stock appears to be in a medium-term rally, confirmed by multiple indicators. Most importantly, the 5-day moving average is above the 50-day moving average, and the 20-day moving average is rising.
Consensus is Moderate Buy.
Everest Metals climbs on green light for Mt Dimer Taipan Gold & Silver Project
Shares in Everest Metals Corp (ASX: EMC) were trading around 9% higher at noon after the small-cap WA-based explorer told the market it has received mining and closure plan approval from the WA Department of Mines for its Mt Dimer Taipan Gold & Silver Project.
Located 150km northwest of Kalgoorlie, the project hosts an inferred resource of 722kt at 2.1g/t Au and 3.84g/t Ag.
Mining is expected to commence in Q4 2025 via a small-scale open-pit toll treatment operation.
Negotiations are currently in play for contract mining and processing agreements.
It’s understood that mining will focus on previously disturbed land and is scheduled to run for about eight months, with additional haulage and rehabilitation to follow.
Further exploration is planned to expand the resource.
Commenting on today’s update, CEO Mark Caruso told the market that the recent approvals at the Mt Dimer Taipan project represent a noteworthy milestone in reaching ‘operation-ready’ status for the project.
“The Company remains in negotiation with several parties for mining service, trucking and toll treatment, with an expectation of a final decision in the near-term,” said Caruso.
Since Everest acquired the Mt Dimer project in 2020, it has reported a Maiden Inferred Mineral Resource Estimate (JORC Code 2012) of 722kt @ 2.10g/t Au for 48,545 ounces of gold and 3.84g/t Ag for 89,011 ounces of silver for in 2021.
While light on detail, the next steps in the miner’s journey to becoming a profitable mining operation in 2026 include:
- Conduct mining contracting assessment.
- Commencing site establishment and mobilisation in Q4 2025.
- Finalising a toll processing agreement.
- Conducting further exploration drilling with the aim to extend resource.
- The miner had a cash position of $2.1 million as at 30 June 2025.
Everest Metals has a market cap of $26 million; the share price is up 9% in one year and down 11% year to date.
The stock’s shares appear to be in a near-term downtrend, confirmed by its 20-day moving average.
Consensus does not cover this stock.
This article does not constitute financial or product advice. You should consider independent advice before making financial decisions.
