ATG: Sleight of Hand with Downgraded Organic Revenue Guidance
(LON:ATG) Auction Technology Group H1 FY24 Trading Update
Auction Technology Group
Weighting as of writing: <1%
17th April 2024 - H1 FY24 Trading Update
Sometimes you can’t quite catch the timing. A few weeks after buying a small stake in the Auction Technology Group, I am granted a 16% single-day decline. The movement followed a H1 FY24 trading update ahead of the interim report due May 16th. Little was said. But what was said kicked up a dust cloud. Perhaps my impatience will cost me this time around.
Positive signs from A&A
Now reporting in US Dollars, ATG’s revenues for the 6 months of FY24 amount to $86 million. The 6% growth reflects the acquisition of EstateSales in 2023 and was +1% on an organic basis. Revenues in the arts & antiquities (A&A) grew by 17% to $44.6 million (also includes EstateSales) or +5% on an organic basis. Revenues from the Industrial & Commercial business (I&C) saw modest declines of 2%, as anticipated, to $35.2 million. Overall, marketplace revenues (derived from the A&A and I&C segments) are up 2% organically.