• Revenue $405.1m, 2.3% yoy decline (-6.6% LFL)
• Underlying EBITDA $28.7m, 11.9% yoy decline
• Returned to yoy growth in 2H25 (+10.6%) on efficiency initiatives

Big River Industries reported revenue of $405.1m for FY25, a 2.3% year-over-year decline (-6.6% on a like-for-like basis). This was due to challenging market conditions, though the rate of decline slowed from -3.3% in the first half to -1.2% in the second half as the company's efforts to stabilise revenue progressed and end-market weakness moderated. Gross profit margin expanded by 20 basis points to 26.2%, reflecting ongoing pricing discipline, supply chain efficiencies, and tighter alignment with key suppliers. Operating expenses grew 2.9% due to the inclusion of the SLQ business, but the company achieved a 2.7% decline (-5.9% like-for-like) in the second half through targeted efficiency initiatives. Underlying EBITDA declined 11.9% to $28.7m, but returned to year-over-year growth of 10.6% in the second half. The company's balance sheet remains strong, with gearing at 20.1% and a net working capital to revenue ratio of 17.7%. Looking ahead, Big River expects residential market activity to remain soft in early FY26 but anticipates a modest recovery through the year, supported by lower interest rates and continued stimulus measures. The company is focused on growing market share in key differentiated segments, improving margins, and driving ongoing operational improvements across the network.

Big River expects revenue growth above market, gross profit margin growth, and EBITDA margin above 10% through the cycle. The company is targeting working capital to revenue below 20% and a dividend payout ratio of 50-70% fully franked.

While market conditions remain challenging, Big River is well positioned to grow with a leaner cost base, clear strategic priorities, and a strong platform for medium-term growth. The company's diversified network, trade-aligned segments, and focus on higher-margin product categories position it well to respond as conditions continue to improve.