FY25 Full Year Results Media Release
| Stock | SGH.ASX (SGH.ASX) |
|---|---|
| Release Time | 12 Aug 2025, 7:30 a.m. |
| Price Sensitive | Yes |
SGH Delivers Target Earnings Growth and Margin Expansion
- Revenue of $10.7bn, up 1%
- EBIT of $1,537m, up 8%
- NPAT of $924m, up 9%
- Operating cash flow of $1,951m, up 49%
- Fully franked final dividend of 32cps, total FY25 dividend of 62 cents FF, up 17%
SGH Ltd (ASX:SGH) announces its results for the year ended 30 June 2025, delivering 8% EBIT growth to $1,537 million and 93 basis points of EBIT margin expansion to 14.3%. The result was underpinned by the disciplined execution of the SGH operating model across its market-leading Industrial Services businesses. Revenue increased 1% to $10.7 billion, and NPAT rose 9% to $924 million. Strong operational performance and cost discipline supported a 49% increase in operating cash flow to $1,951 million, enabling a reduction of Net Debt to EBITDA to below 2x. SGH declared a fully franked final dividend of 32 cents per share, bringing total FY25 dividends to 62 cents per share fully franked, up 17%. The increase contributed to SGH's Total Shareholder Return of 46% for FY25, significantly outperforming the ASX100 annual return of 15%. SGH's FY26 focus remains on disciplined execution of the SGH Way operating model, with an emphasis on driving operational excellence through sales effectiveness, operating leverage, cadence, and innovation. At WesTrac, growth is expected to continue in services, supported by rebuild demand, partly offset by a reduction in capital sales as major deliveries moderate. At Boral, positive operating momentum has carried into FY26, with earnings growth expected to be driven by an improving go-to-market strategy, customer service differentiation, and ongoing cost efficiencies. At Coates, near-term market conditions remain mixed, and the business is well placed to capture an expected medium-term uplift in rental demand. Beach is expected to deliver production of 19.7mmboe - 22.0 mmboe in FY26. SGH enters FY26 with operational momentum and clear strategic priorities. The Group expects to deliver low to mid single-digit EBIT growth in FY26, supported by the margin improvements achieved in FY25 and robust customer activity across core market exposures.
SGH expects to deliver low to mid single-digit EBIT growth in FY26, supported by the margin improvements achieved in FY25 and robust customer activity across core market exposures.
SGH's FY26 focus remains on disciplined execution of the SGH Way operating model, with an emphasis on driving operational excellence through sales effectiveness, operating leverage, cadence, and innovation. At WesTrac, growth is expected to continue in services, supported by rebuild demand, partly offset by a reduction in capital sales as major deliveries moderate. At Boral, positive operating momentum has carried into FY26, with earnings growth expected to be driven by an improving go-to-market strategy, customer service differentiation, and ongoing cost efficiencies. At Coates, near-term market conditions remain mixed, and the business is well placed to capture an expected medium-term uplift in rental demand. Beach is expected to deliver production of 19.7mmboe - 22.0 mmboe in FY26.