• Strong recovery in earnings driven by USA build programs
• Building sustainable growth with $14.2B orderbook and submarine modules
• Creating long-term value through strategic shipbuilding agreements and capital investments

Austal Ltd reported a strong performance in H1 FY2025, with revenue of $826m and EBIT of $354m. The results were driven by the company's USA build programs, which saw increased throughput in the OPC and TAGOS programs offsetting the declining LCS program. The company's orderbook grew to a record $14.2B, including options, with new contracts in both the USA and Australia. In Australia, Austal is progressing strategic shipbuilding agreements for programs like the Medium Landing Craft, Heavy Landing Craft, and General Purpose Frigate. The company is also investing in its facilities, including a $300M expansion of its Mobile, Alabama shipyard and a $450M Module Manufacturing Facility 3, to support its growing orderbook and future revenue and earnings growth. Austal's technology and AUKUS initiatives also provide additional revenue growth streams. Overall, the company is well-positioned for sustainable growth, with a diverse contract portfolio and strategic investments to drive long-term value for shareholders.

Austal expects to see continued growth in its orderbook and revenue, with the potential to deliver over $600M in EBIT based on the current $14.2B orderbook and the company's historical 7-year average EBIT margin of 5.1%. This is subject to the usual risks and opportunities in shipbuilding.

Austal is making significant investments in its facilities to support future growth, with a focus on the USA and Australia. The company anticipates adding over 2,000 jobs company-wide over the next 5 years to execute on its record orderbook. Austal sees additional opportunities for growth through its AUKUS initiatives in submarine modules and technology, as well as a positive outlook in the commercial sector.