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Collection House

ASX:CLH
Snowflake Description

6 star dividend payer and undervalued.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
CLH
ASX
A$169M
Market Cap
  1. Home
  2. AU
  3. Diversified Financials
Company description

Collection House Limited provides debt collection services in Australia and New Zealand. The last earnings update was 81 days ago. More info.


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CLH Share Price and Events
7 Day Returns
-1.2%
ASX:CLH
-0.9%
AU Consumer Finance
-0.1%
AU Market
1 Year Returns
-2.4%
ASX:CLH
57.6%
AU Consumer Finance
16.5%
AU Market
CLH Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Collection House (CLH) -1.2% -1.2% 7.7% -2.4% -14.3% -42.8%
AU Consumer Finance -0.9% -2.2% 10.7% 57.6% 29.9% 35.1%
AU Market -0.1% 1.5% 3.5% 16.5% 21.9% 20.6%
1 Year Return vs Industry and Market
  • CLH underperformed the Consumer Finance industry which returned 57.6% over the past year.
  • CLH underperformed the Market in Australia which returned 16.5% over the past year.
Price Volatility
CLH
Industry
5yr Volatility vs Market

CLH Value

 Is Collection House undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Collection House to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Collection House.

ASX:CLH Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model Excess Returns Model
Stable EPS Weighted future Return on Equity estimates from 4 analysts.
= Stable Book Value * Return on Equity
= A$1.88 * 11.4%
A$0.21
Book Value of Equity per Share Weighted future Book Value estimates from 2 analysts. A$1.88
Discount Rate (Cost of Equity) See below 9.4%
Perpetual Growth Rate 10-Year AU Government Bond Rate 2.3%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for ASX:CLH
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year AU Govt Bond Rate 2.3%
Equity Risk Premium S&P Global 6%
Consumer Finance Unlevered Beta Simply Wall St/ S&P Global 0.69
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.691 (1 + (1- 30%) (124.56%))
1.197
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.2
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.31% + (1.197 * 5.96%)
9.44%

Discounted Cash Flow Calculation for ASX:CLH using Excess Returns Model Model

The calculations below outline how an intrinsic value for Collection House is arrived at using the Excess Return Model. This approach is used for finance firms where free cash flow is difficult to estimate.

In the Excess Return Model the value of a firm can be written as the sum of capital invested currently in the firm and the present value of excess returns that the firm expects to make in the future.

The model is sensitive to the Return on Equity of the company versus the Cost of Equity, how these are calculated is detailed below the main calculation.

Note the calculations below are per share.

See our documentation to learn about this calculation.

ASX:CLH Value of Excess Returns
Calculation Result
Excess Returns = (Stable Return on equity – Cost of equity) (Book Value of Equity per share)
= (11.4% – 9.44%) * A$1.88)
A$0.04
Terminal Value of Excess Returns = Excess Returns / (Cost of Equity - Expected Growth Rate)
= A$0.04 / (9.44% - 2.31%)
A$0.51
Value of Equity = Book Value per share + Terminal Value of Excess Returns
= A$1.88 + A$0.51
A$2.39
ASX:CLH Discount to Share Price
Calculation Result
Value per share (AUD) From above. A$2.39
Current discount Discount to share price of A$1.20
= -1 x (A$1.20 - A$2.39) / A$2.39
50%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Collection House is available for.
Intrinsic value
50%
Share price is A$1.2 vs Future cash flow value of A$2.39
Current Discount Checks
For Collection House to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Collection House's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Collection House's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Collection House's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Collection House's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
ASX:CLH PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-06-30) in AUD A$0.22
ASX:CLH Share Price ** ASX (2019-11-19) in AUD A$1.2
Australia Consumer Finance Industry PE Ratio Median Figure of 7 Publicly-Listed Consumer Finance Companies 13.1x
Australia Market PE Ratio Median Figure of 519 Publicly-Listed Companies 18.7x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Collection House.

ASX:CLH PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= ASX:CLH Share Price ÷ EPS (both in AUD)

= 1.2 ÷ 0.22

5.36x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Collection House is good value based on earnings compared to the AU Consumer Finance industry average.
  • Collection House is good value based on earnings compared to the Australia market.
Price based on expected Growth
Does Collection House's expected growth come at a high price?
Raw Data
ASX:CLH PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 5.36x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 4 Analysts
-0.9%per year
Australia Consumer Finance Industry PEG Ratio Median Figure of 5 Publicly-Listed Consumer Finance Companies 1.03x
Australia Market PEG Ratio Median Figure of 347 Publicly-Listed Companies 1.6x

*Line of best fit is calculated by linear regression .

ASX:CLH PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 5.36x ÷ -0.9%

-5.76x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Collection House earnings are not expected to grow next year, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Collection House's assets?
Raw Data
ASX:CLH PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-06-30) in AUD A$1.65
ASX:CLH Share Price * ASX (2019-11-19) in AUD A$1.2
Australia Consumer Finance Industry PB Ratio Median Figure of 12 Publicly-Listed Consumer Finance Companies 2.06x
Australia Market PB Ratio Median Figure of 1,584 Publicly-Listed Companies 1.75x
ASX:CLH PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= ASX:CLH Share Price ÷ Book Value per Share (both in AUD)

= 1.2 ÷ 1.65

0.72x

* Primary Listing of Collection House.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Collection House is good value based on assets compared to the AU Consumer Finance industry average.
X
Value checks
We assess Collection House's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Consumer Finance industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Consumer Finance industry average (and greater than 0)? (1 check)
  5. Collection House has a total score of 5/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

CLH Future Performance

 How is Collection House expected to perform in the next 1 to 3 years based on estimates from 4 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
-0.9%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Collection House expected to grow at an attractive rate?
  • Collection House's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 2.3%.
Growth vs Market Checks
  • Collection House's earnings are expected to decrease over the next 1-3 years, this is below the Australia market average.
  • Collection House's revenue growth is expected to exceed the Australia market average.
Annual Growth Rates Comparison
Raw Data
ASX:CLH Future Growth Rates Data Sources
Data Point Source Value (per year)
ASX:CLH Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 4 Analysts -0.9%
ASX:CLH Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 4 Analysts 4.1%
Australia Consumer Finance Industry Earnings Growth Rate Market Cap Weighted Average 45.9%
Australia Consumer Finance Industry Revenue Growth Rate Market Cap Weighted Average 22.4%
Australia Market Earnings Growth Rate Market Cap Weighted Average 9.7%
Australia Market Revenue Growth Rate Market Cap Weighted Average 3.6%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
ASX:CLH Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (4 months ago) See Below
Future Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below
All numbers in AUD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
ASX:CLH Future Estimates Data
Date (Data in AUD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2022-06-30 183 105 31 3
2021-06-30 176 95 30 4
2020-06-30 172 85 33 4
2019-11-19
ASX:CLH Past Financials Data
Date (Data in AUD Millions) Revenue Cash Flow Net Income *
2019-06-30 161 87 31
2019-03-31 154 87 29
2018-12-31 146 87 26
2018-09-30 145 87 26
2018-06-30 144 86 26
2018-03-31 137 75 22
2017-12-31 131 65 17
2017-09-30 132 63 17
2017-06-30 133 62 17
2017-03-31 134 71 18
2016-12-31 134 80 18
2016-09-30 133 82 18

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Collection House's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.
  • Collection House's revenue is expected to grow by 4.1% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
ASX:CLH Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (4 months ago) See Below
Future Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below

All data from Collection House Company Filings, last reported 4 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

ASX:CLH Future Estimates Data
Date (Data in AUD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2022-06-30 0.21 0.24 0.19 3.00
2021-06-30 0.21 0.23 0.19 4.00
2020-06-30 0.23 0.23 0.23 2.00
2019-11-19
ASX:CLH Past Financials Data
Date (Data in AUD Millions) EPS *
2019-06-30 0.22
2019-03-31 0.21
2018-12-31 0.19
2018-09-30 0.19
2018-06-30 0.19
2018-03-31 0.16
2017-12-31 0.13
2017-09-30 0.13
2017-06-30 0.13
2017-03-31 0.13
2016-12-31 0.14
2016-09-30 0.14

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Collection House is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Collection House's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Australia market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Australia market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Collection House has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

CLH Past Performance

  How has Collection House performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Collection House's growth in the last year to its industry (Consumer Finance).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Collection House's year on year earnings growth rate has been positive over the past 5 years.
  • Collection House's 1-year earnings growth exceeds its 5-year average (17.5% vs 7%)
  • Collection House's earnings growth has exceeded the Oceania Consumer Finance industry average in the past year (17.5% vs 14.2%).
Earnings and Revenue History
Collection House's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Collection House Company Filings, last reported 4 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

ASX:CLH Past Revenue, Cash Flow and Net Income Data
Date (Data in AUD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-06-30 161.06 30.69 8.19
2019-03-31 153.75 28.54 8.04
2018-12-31 146.44 26.39 7.89
2018-09-30 145.15 26.26 7.78
2018-06-30 143.86 26.12 7.67
2018-03-31 137.33 21.78 7.66
2017-12-31 130.81 17.43 7.65
2017-09-30 132.11 17.41 7.96
2017-06-30 133.42 17.39 8.27
2017-03-31 133.80 17.91 7.84
2016-12-31 134.18 18.44 7.41
2016-09-30 133.44 18.50 6.92
2016-06-30 132.69 18.56 6.42
2016-03-31 129.76 19.10 6.45
2015-12-31 126.82 19.64 6.48
2015-09-30 126.43 21.06 6.28
2015-06-30 126.04 22.48 6.09
2015-03-31 122.58 21.49 5.74
2014-12-31 119.12 20.49 5.40
2014-09-30 113.23 19.60 5.04
2014-06-30 107.34 18.71 4.69
2014-03-31 104.67 17.81 4.72
2013-12-31 102.00 16.92 4.74
2013-09-30 99.66 16.27 4.56
2013-06-30 97.31 15.61 4.39
2013-03-31 94.68 15.00 4.08
2012-12-31 92.06 14.39 3.78

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Collection House has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Collection House used its assets more efficiently than the AU Consumer Finance industry average last year based on Return on Assets.
  • Collection House has improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Collection House's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Consumer Finance industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Collection House has a total score of 5/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

CLH Health

 How is Collection House's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Collection House's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Collection House is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Collection House's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Collection House's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is not covered by short term assets, assets are 0.3x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Collection House Company Filings, last reported 4 months ago.

ASX:CLH Past Debt and Equity Data
Date (Data in AUD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-06-30 229.15 210.60 54.06
2019-03-31 229.15 210.60 54.06
2018-12-31 211.25 153.00 58.87
2018-09-30 211.25 153.00 58.87
2018-06-30 206.58 134.50 54.72
2018-03-31 206.58 134.50 54.72
2017-12-31 191.97 135.58 55.21
2017-09-30 191.97 135.58 55.21
2017-06-30 188.63 123.20 48.49
2017-03-31 188.63 123.20 48.49
2016-12-31 184.81 118.20 62.72
2016-09-30 184.81 118.20 62.72
2016-06-30 180.31 118.20 70.01
2016-03-31 180.31 118.20 70.01
2015-12-31 173.93 119.00 57.97
2015-09-30 173.93 119.00 57.97
2015-06-30 170.67 119.00 64.39
2015-03-31 170.67 119.00 64.39
2014-12-31 163.49 111.24 53.00
2014-09-30 163.49 111.24 53.00
2014-06-30 155.99 100.12 52.37
2014-03-31 155.99 100.12 52.37
2013-12-31 149.38 87.73 50.69
2013-09-30 149.38 87.73 50.69
2013-06-30 123.27 89.40 49.01
2013-03-31 123.27 89.40 49.01
2012-12-31 116.43 97.41 42.63
  • Collection House's level of debt (91.9%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (64.5% vs 91.9% today).
  • Debt is well covered by operating cash flow (41.2%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 6.8x coverage).
X
Financial health checks
We assess Collection House's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Collection House has a total score of 3/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

CLH Dividends

 What is Collection House's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
6.86%
Current annual income from Collection House dividends. Estimated to be 7.57% next year.
If you bought A$2,000 of Collection House shares you are expected to receive A$137 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Collection House's pays a higher dividend yield than the bottom 25% of dividend payers in Australia (2.37%).
  • Collection House's dividend is above the markets top 25% of dividend payers in Australia (5.62%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
ASX:CLH Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below
Australia Consumer Finance Industry Average Dividend Yield Market Cap Weighted Average of 5 Stocks 3.2%
Australia Market Average Dividend Yield Market Cap Weighted Average of 390 Stocks 4.1%
Australia Minimum Threshold Dividend Yield 10th Percentile 1.5%
Australia Bottom 25% Dividend Yield 25th Percentile 2.4%
Australia Top 25% Dividend Yield 75th Percentile 5.6%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

ASX:CLH Future Dividends Estimate Data
Date (Data in A$) Dividend per Share (annual) Avg. No. Analysts
2022-06-30 0.09 3.00
2021-06-30 0.09 4.00
2020-06-30 0.09 4.00
2019-11-19
ASX:CLH Past Annualized Dividends Data
Date (Data in A$) Dividend per share (annual) Avg. Yield (%)
2019-08-30 0.082 6.672
2019-03-29 0.082 6.662
2018-08-22 0.078 5.622
2018-02-27 0.078 5.391
2017-08-23 0.078 5.877
2017-02-20 0.078 6.042
2016-08-18 0.078 5.800
2016-02-17 0.086 7.617
2015-08-20 0.094 4.917
2015-02-11 0.088 3.876
2014-08-21 0.082 3.951
2014-02-12 0.078 4.203
2013-08-22 0.072 4.174
2013-01-31 0.072 4.510
2012-08-23 0.064 6.429
2012-02-23 0.064 7.791
2011-08-25 0.062 8.305
2011-02-24 0.062 8.964
2010-07-21 0.060 8.083
2010-02-25 0.054 7.197
2009-08-25 0.049 6.939
2009-02-24 0.048 10.218

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Collection House's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (2.7x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (2.2x coverage).
X
Income/ dividend checks
We assess Collection House's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.5%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Collection House afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Collection House has a total score of 6/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

CLH Management

 What is the CEO of Collection House's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Anthony Rivas
COMPENSATION A$1,311,897
TENURE AS CEO 3.3 years
CEO Bio

Mr. Anthony Rivas has been the Chief Executive Officer of Collection House Limited since July 6, 2016 and has been its Managing Director since November 24, 2017 and Director since December 15, 2017. Mr. Rivas has more than 25 years experience in the collections and receivables industry across three continents. He served as Vice President of Learning & Development at Aegis Receivables Management, Inc. He joined NCO/EGS in 2011 and served as its Vice President of Operations, where he was responsible for five facilities across Mexico, including collection agents, visitor agents, field attorneys and legal services. Prior to joining NCO/EGS, he worked and consulted in India, Australia, UK and the USA. He served as Vice President of Operations/Training at Global Vantedge. He served as Managing Director of Australian Receivables Limited (ARL), a wholly owned subsidiary of global customer service leaders EGS since July 2015. Before joining GVI, he served as Director of Business Solution Design at Keane Worldzen, where his responsibilities included setting up a new agency operation for debt recovery in India. Additional areas of responsibilities included training program development, technology acquisition, on the floor agent and management development. He is uniquely qualified in the Collections/Recovery Business Process Outsourcing space as result of the combination of his industry experience and extensive work 'on the ground' in India. He started his career with GC Services (San Antonio, Texas). Mr. Rivas has worked with OSI (San Antonio, TX and Atlanta, GA); last role with OSI was Senior Operations Manager - Collections managing post charge-off collections in the inbound/outbound environments, performing accounts collections, dialer technology team and pre-sale portfolio strategy.

CEO Compensation
  • Anthony's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Anthony's remuneration is higher than average for companies of similar size in Australia.
Management Team Tenure

Average tenure of the Collection House management team in years:

2.2
Average Tenure
  • The tenure for the Collection House management team is about average.
Management Team

Anthony Rivas

TITLE
CEO, MD & Executive Director
COMPENSATION
A$1M
TENURE
3.3 yrs

Denica Saunders

TITLE
Chief Operating Officer
COMPENSATION
A$404K
TENURE
1.3 yrs

Anand Adusumilli

TITLE
Chief Data Scientist Officer
COMPENSATION
A$398K
TENURE
2.3 yrs

Jonathon Idas

TITLE
Chief Legal Officer
COMPENSATION
A$354K
TENURE
2.2 yrs

Doug McAlpine

TITLE
CFO & Company Secretary
COMPENSATION
A$218K
TENURE
0.3 yrs

Kevin Donaldson

TITLE
Head of Lion Finance

Jos Basson

TITLE
Head of CLH Lawyers

Cassandra Brown

TITLE
Head of Government Services
Board of Directors Tenure

Average tenure of the Collection House board of directors in years:

2
Average Tenure
  • The average tenure for the Collection House board of directors is less than 3 years, this suggests a new board.
Board of Directors

Leigh Berkley

TITLE
Non Executive Independent Chairman
COMPENSATION
A$214K
TENURE
2 yrs

Anthony Rivas

TITLE
CEO, MD & Executive Director
COMPENSATION
A$1M
TENURE
2 yrs

Sandra Birkensleigh

TITLE
Independent Non-Executive Director
COMPENSATION
A$99K
AGE
64
TENURE
1.2 yrs

Catherine McDowell

TITLE
Independent Non-Executive Director
COMPENSATION
A$99K
TENURE
1.2 yrs

Michael Knox

TITLE
Independent Non-Executive Director
COMPENSATION
A$101K
TENURE
2.7 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by Collection House individual insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (A$) Value (A$)
05. Nov 19 Sell Credit Suisse, Investment Banking and Securities Investments Company 29. Oct 19 31. Oct 19 -3,572 A$1.24 A$-4,422
05. Nov 19 Buy Credit Suisse, Investment Banking and Securities Investments Company 29. Oct 19 29. Oct 19 10,000 A$1.25 A$12,450
31. Oct 19 Sell Credit Suisse, Investment Banking and Securities Investments Company 01. Jul 19 25. Oct 19 -663,383 A$1.25 A$-831,503
10. Sep 19 Buy Michael Knox Individual 09. Sep 19 09. Sep 19 20,000 A$1.22 A$24,436
06. Sep 19 Buy Leigh Berkley Individual 04. Sep 19 04. Sep 19 41,666 A$1.17 A$48,749
23. Apr 19 Buy Michael Knox Individual 17. Apr 19 17. Apr 19 20,000 A$1.26 A$25,200
11. Apr 19 Buy Michael Knox Individual 10. Apr 19 10. Apr 19 10,000 A$1.25 A$12,500
14. Mar 19 Sell Credit Suisse, Investment Banking and Securities Investments Company 15. Nov 18 22. Feb 19 -58,820 A$1.31 A$-76,774
14. Mar 19 Buy Credit Suisse, Investment Banking and Securities Investments Company 19. Nov 18 19. Feb 19 40,619 A$1.25 A$50,890
X
Management checks
We assess Collection House's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Collection House has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

CLH News

Simply Wall St News

What Should We Expect From Collection House Limited's (ASX:CLH) Earnings In The Years Ahead?

The latest earnings announcement Collection House Limited (ASX:CLH) released in August 2019 signalled that the company benefited from a strong tailwind, leading to a double-digit earnings growth of 17%. … Investors may find it useful to understand how market analysts view Collection House's earnings growth trajectory over the next couple of years and whether the future looks even brighter than the past. … Check out our latest analysis for Collection House Analysts' expectations for the upcoming year seems pessimistic, with earnings reducing by a double-digit -11%.

Simply Wall St -

Why Collection House Limited (ASX:CLH) Is An Attractive Investment To Consider

Not only did CLH outperformed its past performance, its growth also surpassed the Consumer Finance industry expansion, which generated a 38% earnings growth. … Compared to the rest of the consumer finance industry, CLH is also trading below its peers, relative to earnings generated. … ASX:CLH Historical Dividend Yield, August 6th 2019 Next Steps: For Collection House, I've compiled three fundamental aspects you should further research: Future Outlook: What are well-informed industry analysts predicting for CLH’s future growth?

Simply Wall St -

Do You Know What Collection House Limited's (ASX:CLH) P/E Ratio Means?

The formula for price to earnings is: Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS) Or for Collection House: P/E of 6.5 = A$1.26 ÷ A$0.19 (Based on the year to December 2018.) Is A High Price-to-Earnings Ratio Good? … ASX:CLH Price Estimation Relative to Market, July 24th 2019 Its relatively low P/E ratio indicates that Collection House shareholders think it will struggle to do as well as other companies in its industry classification. … If the reality for a company is not as bad as the P/E ratio indicates, then the share price should increase as the market realizes this.

Simply Wall St -

Should You Worry About Collection House Limited's (ASX:CLH) CEO Pay Cheque?

See our latest analysis for Collection House How Does Anthony Rivas's Compensation Compare With Similar Sized Companies? … According to our data, Collection House Limited has a market capitalization of AU$172m, and pays its CEO total annual compensation worth AU$1.3m. … Thus we can conclude that Anthony Rivas receives more in total compensation than the median of a group of companies in the same market, and of similar size to Collection House Limited.

Simply Wall St -

With EPS Growth And More, Collection House (ASX:CLH) Is Interesting

If, on the other hand, you like companies that have revenue, and even earn profits, then you may well be interested in Collection House (ASX:CLH). … I like to see top-line growth as an indication that growth is sustainable, and I look for a high earnings before interest and taxation (EBIT) margin to point to a competitive moat (though some companies with low margins also have moats). … Collection House shareholders can take confidence from the fact that EBIT margins are up from 25% to 31%, and revenue is growing.

Simply Wall St -

These Factors Make Collection House Limited (ASX:CLH) An Interesting Investment

As an investor, I look for investments which does not compromise one fundamental factor for another. … By this I mean, I look at stocks holistically, from their financial health to their future outlook. … In the case of Collection House Limited (ASX:CLH), it

Simply Wall St -

Have Insiders Been Buying Collection House Limited (ASX:CLH) Shares?

So shareholders might well want to know whether insiders have been buying or selling shares in Collection House Limited (ASX:CLH). … That means that an insider was happy to buy shares at above the current price of AU$1.26. … In the last twelve months Collection House insiders were buying shares, but not selling

Simply Wall St -

Could Collection House Limited's (ASX:CLH) Investor Composition Influence The Stock Price?

If you want to know who really controls Collection House Limited (ASX:CLH), then you'll have to look at the makeup of its share registry. … With a market capitalization of AU$179m, Collection House is a small cap stock, so it might not be well known by many institutional investors. … See our latest analysis for Collection House

Simply Wall St -

Introducing Collection House (ASX:CLH), A Stock That Climbed 40% In The Last Three Years

For example, Collection House Limited (ASX:CLH) shareholders have seen the share price rise 40% over three years, well in excess of the market return (21%, not including dividends). … One imperfect but simple way to consider how the market perception of a company has shifted is to compare the change in the earnings per share (EPS) with the share price movement. … It's not unusual to see the market 're-rate' a stock, after a few years of growth.

Simply Wall St -

Income Investors Should Know The Collection House Limited (ASX:CLH) Ex-Dividend Date

If you are interested in cashing in on Collection House Limited's (ASX:CLH) upcoming dividend of AU$0.041 per share, you only have 2 days left to buy the shares before its ex-dividend date, 04 March 2019, in time for dividends payable on the 28 March 2019. … Investors looking for higher income-generating stocks to add to their portfolio should keep reading, as I examine Collection House's latest financial data to analyse its dividend characteristics. … Has it consistently paid a stable dividend without missing a payment or drastically cutting payout?

Simply Wall St -

CLH Company Info

Description

Collection House Limited provides debt collection services in Australia and New Zealand. The company operates through two segments, Collection Services and Purchased Debt Ledgers. It offers debt collections services to clients in the Australasian financial services, insurance, public utility, credit, and government enterprise markets; and debt purchasing services for banking, finance, telecommunications, and energy sectors. The company also provides receivables management, repayment arrangement management, asset location recovery and sale, hardship management, legal and insolvency, credit management training, finance brokerage, and business process outsourcing services. Collection House Limited was incorporated in 1992 and is headquartered in Newstead, Australia.

Details
Name: Collection House Limited
CLH
Exchange: ASX
Founded: 1992
A$169,069,412
141,480,680
Website: http://www.collectionhouse.com.au
Address: Collection House Limited
100 Skyring Terrace,
Level 12,
Newstead,
Queensland, 4006,
Australia
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
ASX CLH Ordinary Shares Australian Securities Exchange AU AUD 04. Oct 2000
OTCPK CLHS.F Ordinary Shares Pink Sheets LLC US USD 04. Oct 2000
DB LWU Ordinary Shares Deutsche Boerse AG DE EUR 04. Oct 2000
CHIA CLH Ordinary Shares Chi-X Australia AU AUD 04. Oct 2000
Number of employees
Current staff
Staff numbers
766
Collection House employees.
Industry
Consumer Finance
Diversified Financials
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/11/19 10:32
End of day share price update: 2019/11/19 00:00
Last estimates confirmation: 2019/11/03
Last earnings filing: 2019/08/30
Last earnings reported: 2019/06/30
Last annual earnings reported: 2019/06/30


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.