• 11 consecutive years of EBITDA growth with 8.7% CAGR over 3 years
• 115% cash conversion and 97% recurring revenue
• Strong balance sheet with $450m undrawn debt facility
• Actively pursuing new data centre capacity with 150MW+ Sydney campus

Macquarie Technology Group Ltd reported its full-year results for FY25, highlighting 11 consecutive years of EBITDA growth with a 3-year CAGR of 8.7%. The company maintained a healthy cash conversion rate of 115% and generated 97% of revenue from contracted monthly recurring sources. Despite increased cost pressures, Macquarie was able to maintain strong EBITDA margins. The company reported revenue of $369.6m, EBITDA of $113.6m, and NPAT of $34.9m. Macquarie has a strong balance sheet with an undrawn debt facility of $450m and cash/deposits of $62m, providing ample funding for further investments. The company is actively pursuing new data centre capacity, having entered into a put and call option to acquire a large parcel of land for a new 150MW+ data centre campus in Sydney. Construction of the IC3 SuperWest data centre is also on track and on budget. Macquarie continues to strengthen its position as a leading provider of cloud, security, and government services, as well as telecommunications offerings.

EBITDA is expected to have marginal growth in FY26, with the company continuing to invest in people and capabilities to support the growth of the Macquarie Data Centres platform. Depreciation and amortization is expected to be $55m to $60m in FY26, with Hosting depreciation and amortization at $45m to $49m and Telecom depreciation at $10m to $11m. Total capex, excluding IC3 SuperWest, is expected to be $36m to $44m in FY26, with IC3 SuperWest capex at $170m to $190m.

In FY26, Cloud Services & Government (CS&G) revenue is expected to grow, but margins are likely to decline compared to FY25, resulting in only modest EBITDA growth. This is due to new product investments and continued cost pressures as customers focus on optimizing their environment. Telecom EBITDA is likely to return to FY23 levels, with margins anticipated to return to high-teens levels after NBN pricing reductions are passed to customers. The company plans to make further investments in growth and customer growth capex during FY26, with total capex expected to be $206m to $234m.