Australia · Delayed Price · Currency is AUD WAM Microcap Earnings Call Transcripts
Fiscal Year 2026
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FY 2026 saw exceptional returns in resources but significant underperformance in small-cap industrials, prompting a dividend cut and depleted profit reserves. Management remains confident in the portfolio’s long-term prospects, citing strong earnings beats, low valuations, and increased takeover activity as potential catalysts for recovery.
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Despite the toughest market in years, with small-cap industrials underperforming and rapid sector rotation, strong balance sheets and depressed valuations present long-term opportunities. Dividend sustainability is challenged by profit reserve depletion, but cash levels are high and select defensive stocks offer growth catalysts.
Fiscal Year 2025
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All funds outperformed benchmarks in FY2025, with strong returns from small caps and active strategies. The outlook is positive for small caps amid falling rates and improving economic indicators, with high cash levels providing flexibility for new opportunities.
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Funds delivered strong outperformance over the past year, rebuilding profit reserves and restoring premiums to NTA. Despite high volatility and macro uncertainty, the outlook is positive for undervalued growth stocks, with M&A activity and interest rate cuts expected to drive further opportunities.
Fiscal Year 2024
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The AGM highlighted strong portfolio performance, consistent market outperformance, and a solid dividend. Board re-elections and share issue ratification were addressed, with future ESG reporting discussed amid data challenges. Voting results will be announced on the ASX.
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All managed funds outperformed benchmarks in FY24, with WAM Capital and WAM Research delivering standout results. Despite strong performance, share prices lag due to cyclical small cap underperformance and high dividend payouts impacting NTA. Dividend coverage has improved, but future increases are unlikely.