Latest / What the Flux / Atlassian's shares plummet | Apple iPhones are back in favour | Intel slashes 15,000 jobs

Transcript

Atlassian's shares plummet | Apple iPhones are back in favour | Intel slashes 15,000 jobs · What the Flux

• 0:05
  Speaker 1: This is lock them flies.
• 0:06
  Speaker 2: I'm Brett and justin a. It's mondayta fifth.
• 0:09
  Speaker 1: Of August tozie boy, how things change quickly on the
• 0:11
  Speaker 1: share market. On Thursday, the ASEX closed at a record
• 0:15
  Speaker 1: high and everyone was celebrating. But Friday was an absolute bloodbath.
• 0:18
  Speaker 1: Get this one. Nearly fifty billion dollars was wiped off
• 0:21
  Speaker 1: the value of companies on the ASX after a big
• 0:24
  Speaker 1: bat drop in US tech stocks. Always keeping us on
• 0:28
  Speaker 1: our toes.
• 0:29
  Speaker 2: Never know what to expect the man dam. We are
• 0:32
  Speaker 2: very excited to have two experts join us as part
• 0:34
  Speaker 2: of the Property Investing Academy this month doesn't really matter
• 0:37
  Speaker 2: what's happening today.
• 0:38
  Speaker 1: People look at a long term asset clias in too
• 0:41
  Speaker 1: much of the micro right.
• 0:42
  Speaker 2: That is the voice of property Guru and TikTok start
• 0:45
  Speaker 2: Jack Henderson of Henderson Advocacy, who's helping the Flux them
• 0:48
  Speaker 2: understand the property market. Why invest in property, how to
• 0:50
  Speaker 2: make it work to your financial position, and what to
• 0:52
  Speaker 2: look out for. It is all in this month Flux
• 0:54
  Speaker 2: Academy on Property Investing.
• 0:56
  Speaker 1: Three profitable stories today. Juzzi boy, let's do it for
• 1:00
  Speaker 1: our first at Lassian saw at share price plummet after
• 1:03
  Speaker 1: it warned that revenue is expected to slow slow down
• 1:07
  Speaker 1: over the next year.
• 1:09
  Speaker 2: The founders just became a casual three point eight billion
• 1:11
  Speaker 2: dollars poor after this announcement. So tell me more.
• 1:13
  Speaker 1: Well, jus wait, we know the story of at Lassian.
• 1:16
  Speaker 1: The two Sydney siders who met at UNI and started
• 1:18
  Speaker 1: the company with a ten thousand dollar credit card.
• 1:21
  Speaker 2: And from there they've built it into a project management behemoth.
• 1:24
  Speaker 1: We're talking Gira, Confluence, a bit Bucket, Trello, all the
• 1:27
  Speaker 1: big name brands for tech heads.
• 1:31
  Speaker 2: Now be man. Earlier this year, at Lassian announced a
• 1:33
  Speaker 2: pretty bold revenue target. Yeah, they had a goal of
• 1:35
  Speaker 2: twenty percent revenue growth over the next three years and
• 1:38
  Speaker 2: hitting this target would mean at Lassian clocks over ten
• 1:40
  Speaker 2: billion US dollars in and your revenue.
• 1:42
  Speaker 1: But Josie boy, at Lassian just released their annual results
• 1:45
  Speaker 1: where its revenue jumped twenty four percent. That sounds pretty positive,
• 1:48
  Speaker 1: but my friend, it wasn't all positive.
• 1:50
  Speaker 2: You see.
• 1:51
  Speaker 1: At Lassian also revised its revenue target for the next
• 1:53
  Speaker 1: twelve months.
• 1:54
  Speaker 2: Yep, that twenty percent goal they had it, well, they
• 1:56
  Speaker 2: dropped it down to sixteen percent. But be man, they
• 1:58
  Speaker 2: still have a plan to get there.
• 2:00
  Speaker 1: Their plan to get there continue growing revenue from their
• 2:03
  Speaker 1: Fortune five hundred company partners.
• 2:05
  Speaker 2: So what is the key learning here?
• 2:06
  Speaker 1: When it comes to revenue, Digging deeper, not wider, can
• 2:09
  Speaker 1: often be a faster way to supercharge growth.
• 2:12
  Speaker 2: You see, be a man. New revenue comes from acquiring
• 2:14
  Speaker 2: new customers.
• 2:15
  Speaker 1: Which often requires significant marketing and sales efforts.
• 2:19
  Speaker 2: Yan dining, pitching, chasing our females, sending through more pitches.
• 2:22
  Speaker 1: Yes, but expansion revenue is generated when existing customers purchase
• 2:26
  Speaker 1: additional products or services.
• 2:28
  Speaker 2: Like upgrading their plans or adding more licenses.
• 2:30
  Speaker 1: And Josie Boy at Lesson already has a raft of
• 2:33
  Speaker 1: large companies on board, but they're just not spending enough.
• 2:36
  Speaker 2: In fact, eighty four percent over the Fortune five hundred companies,
• 2:39
  Speaker 2: the biggest five hundred companies in the US are using
• 2:41
  Speaker 2: at Lassie.
• 2:42
  Speaker 1: But it only represents ten percent of their revenue.
• 2:44
  Speaker 2: So at Lassian's plan is to show more love to
• 2:47
  Speaker 2: its existing clients. Hit that big, hairy ten billion dollar
• 2:50
  Speaker 2: goal for our second story. Apple is back on the
• 2:53
  Speaker 2: winner's list after it saw growth in revenue over the
• 2:56
  Speaker 2: past three months. But not all is rosy in Apple
• 2:58
  Speaker 2: land like Apple getting a bit tired lately with their
• 3:01
  Speaker 2: kind of irrelevant iPhone updates, So don't we more Well,
• 3:04
  Speaker 2: it's fair to say Apple has been a tech innovator
• 3:06
  Speaker 2: since its early days of the Mac computer, then the iPod,
• 3:09
  Speaker 2: who could forget the feeling of holding one of those
• 3:11
  Speaker 2: babies in your hand while your mate still had a discrant.
• 3:14
  Speaker 1: And then of course the iPhone, which took it into
• 3:16
  Speaker 1: the stratosphere of world's most valuable company that Beeman. Despite
• 3:20
  Speaker 1: all of these developments, Apple's most important business is still
• 3:23
  Speaker 1: the iPhone. That's why investors were so concerned last quarter
• 3:26
  Speaker 1: Juzzy Boy when Apple announced a major decline in iPhone sales.
• 3:30
  Speaker 2: But now Apple's announced a return to sales growth that
• 3:33
  Speaker 2: We're talking four point nine percent growth.
• 3:35
  Speaker 1: Okay, lots of divisions in Apple, Juzzy Boy, which ones
• 3:38
  Speaker 1: are the winners?
• 3:39
  Speaker 2: Here? Interestingly, the iPad division grew the fastest at twenty.
• 3:42
  Speaker 1: Four percent, and of course the services division, which is
• 3:44
  Speaker 1: Apple TV, cloud storage subscriptions.
• 3:47
  Speaker 2: The revenue in that division jump fourteen.
• 3:49
  Speaker 1: Percent two and now Apple's goal is to reduce its
• 3:52
  Speaker 1: reliance on its iPhone hardware and shift even more of
• 3:55
  Speaker 1: that demand to its software.
• 3:57
  Speaker 2: And investors or alike in the sound of dem Apples.
• 4:00
  Speaker 2: So what is the key learning here? Not all revenue
• 4:02
  Speaker 2: streams are created equally, and luckily for Apple, its sexier
• 4:05
  Speaker 2: revenue stream is doing particularly well, you seeb man. Apple
• 4:08
  Speaker 2: services business is critical for shareholders because it has better
• 4:11
  Speaker 2: margins than their hardware products.
• 4:12
  Speaker 1: The jazibay. Apple still has a bit of a reliance
• 4:15
  Speaker 1: on its iPhones.
• 4:16
  Speaker 2: Yeah, the iPhone's accounted for forty six percent of Apple's
• 4:19
  Speaker 2: total sales during the quarter.
• 4:21
  Speaker 1: So basically, pushing the software division is key here, as.
• 4:24
  Speaker 2: Well as a little thing called AI, which you may
• 4:26
  Speaker 2: have heard of yep.
• 4:28
  Speaker 1: In fact, Apple has not ruled out charging a subscription
• 4:31
  Speaker 1: for its Apple Intelligence features in the future as well.
• 4:34
  Speaker 2: So now Apples investors are licking their lips at the
• 4:36
  Speaker 2: idea of another juicy software stream of revenue.
• 4:39
  Speaker 1: For our third and final story, Intel is cutting fifteen
• 4:43
  Speaker 1: thousand jobs and suspending its dividend as its stock fell
• 4:47
  Speaker 1: twenty percent in one day last week.
• 4:49
  Speaker 2: Twenty percent and fifteen thousand jobs not numbers you want
• 4:52
  Speaker 2: to hear. So what is happening here? A little bit
• 4:54
  Speaker 2: about ground jazzyboy.
• 4:55
  Speaker 1: Intel is a global tech company started in nineteen fifty six, and.
• 4:59
  Speaker 2: It became a household name with the rise of personal
• 5:01
  Speaker 2: computers back in the eighties and nineties.
• 5:03
  Speaker 1: And what I do know, Juzzy Boy, is that millions
• 5:06
  Speaker 1: of PCs around the world used Intel's very own computer
• 5:09
  Speaker 1: chips inside them during that time.
• 5:11
  Speaker 2: And the man, after struggling in the early two thousand
• 5:13
  Speaker 2: and new CEO, took the helm of Intel in twenty
• 5:16
  Speaker 2: twenty one with a pretty ambitious plan to turn the
• 5:18
  Speaker 2: company around.
• 5:19
  Speaker 1: Yep. Now Intel became the US's most important chip maker
• 5:22
  Speaker 1: and has around one hundred and sixteen thousand employees.
• 5:25
  Speaker 2: But not so fast, because now Intel plans to lay
• 5:27
  Speaker 2: up fifteen thousand employees this year and pause their dividend payments.
• 5:31
  Speaker 1: And it's all part of a big cost saving exercises.
• 5:34
  Speaker 2: It not. It is Their plan is reduced costs by
• 5:36
  Speaker 2: more than ten billion dollars next year. And it's all
• 5:39
  Speaker 2: because it's struggled to gain a foothold in the market
• 5:41
  Speaker 2: for AI chips. So what is the key learning here?
• 5:44
  Speaker 1: Over the last few years, a brutal and competitive race
• 5:47
  Speaker 1: in the chip industry has been going on, some of
• 5:49
  Speaker 1: it visible, some of it not.
• 5:51
  Speaker 2: In case you'd been living under a rock. You may
• 5:53
  Speaker 2: have noticed a boom in AI going on.
• 5:56
  Speaker 1: And this boom in generative AI has led to new
• 5:58
  Speaker 1: challenges for all Intel.
• 6:00
  Speaker 2: Yeah you see, Intel has a dominant market share in
• 6:03
  Speaker 2: the traditional category of central processes.
• 6:05
  Speaker 1: But it's far behind the big dogs for the more
• 6:08
  Speaker 1: modern AI chips. And while Intel has developed an answer
• 6:11
  Speaker 1: to in Vidia's AI chips, it hasn't gained a large
• 6:14
  Speaker 1: market share.
• 6:14
  Speaker 2: Yeah it's aichips are expected to bring in just five
• 6:17
  Speaker 2: hundred million US dollars of revenue.
• 6:18
  Speaker 1: This year, way below the more than twenty billion in
• 6:21
  Speaker 1: Vidia has been pulling in each and every quarter.
• 6:23
  Speaker 2: So now Intel is vowing to somehow get back to
• 6:26
  Speaker 2: being number one. I think we'll see about that. Beman
• 6:29
  Speaker 2: Flux Sam if you always wanted to invest in the
• 6:30
  Speaker 2: property market, but he never knew how to make it
• 6:33
  Speaker 2: work for you, what to look out for. It is
• 6:35
  Speaker 2: all covered in this month's Plucks Academy on property investing,
• 6:37
  Speaker 2: So make sure you check out the academy this month
• 6:40
  Speaker 2: to learn a whole lot about property investing.
• 6:42
  Speaker 1: Thanks for listening, and we'll see you on Wednesday.