1H25 Results Announcement
| Stock | Johns LYNG Group Ltd (JLG.ASX) |
|---|---|
| Release Time | 25 Feb 2025, 8:01 a.m. |
| Price Sensitive | Yes |
Johns LYNG Group Ltd Reports 1H25 Results
- Total sales revenue of $573.1m and EBITDA of $54.2m in 1H25
- Business as usual (BaU) revenue up 9% and BaU EBITDA up 6% on prior period
- Challenging operating environment with reduced insurance claims and slower work ramp-up
Johns LYNG Group Ltd (ASX: JLG) announced its financial results for the first half of the 2025 financial year (1H25). The Group delivered total sales revenue of $573.1m and earnings before interest, tax, depreciation and amortisation (EBITDA) of $54.2 million in 1H25. Revenue from business as usual (BaU) activity increased by 9% (including acquisitions) on the prior corresponding period (pcp) to $534.3 million, while BaU EBITDA (including acquisitions) increased by approximately 6% to $50.3 million. However, the Group experienced a challenging operating environment with benign weather conditions across Australia resulting in a reduced volume of insurance claims and CAT-related work. Additionally, work ramp-up in the Northern Rivers region of New South Wales progressed more slowly than expected, while in the United States, project commencement delays also impacted performance. As a result, the Group has updated its guidance for FY25, now expecting total EBITDA for FY25 to be approximately $126.5 million, down 4.5% from the previous guidance of $132.5 million, and total FY25 revenue to be $1.167 billion, down 5% from the previous guidance of $1.228 billion. The Group has conducted a detailed review and implemented a cost-reduction program to recalibrate its overhead base and maintain financial discipline as conditions evolve. The Group made strong progress on its strategic growth initiatives throughout 1H25, completing several earnings accretive acquisitions, strengthening its relationships with insurance partners through major contract extensions and wins, expanded its trial with US-based insurance broker Brown & Brown Insurance, and further consolidating its position within the highly-fragmented strata market.
FY25 Sales Revenue: $1.167 billion, FY25 EBITDA: $126.5 million
JLG enters the second half with a strong foundation to navigate near-term challenges and sustain its established growth trajectory. The Group's engagement in recent flood and storm recovery efforts in Northern Queensland and New South Wales highlights the recurring but unpredictable nature of weather events, while its Disaster Management Australia business continues to expand its capabilities and secure new contracts, independent of CAT activity. With a clear strategic path, JLG remains focused on delivering long-term value and growth.