FY2025 Results Presentation

• Sales revenue up 4% to $249.4m
• Underlying EBITDA down 2% to $33.2m
• Statutory NPAT down 31% to $9.6m
• Total dividend of 15 cents per share fully franked

Waterco Ltd reported its FY2025 results, with sales revenue increasing 4% to $249.4 million. This growth was driven by improved sourcing, freight efficiencies, and targeted growth initiatives across all regional segments. However, cost pressures in a challenging economic environment compressed margins, impacting earnings. Underlying EBITDA declined 2% to $33.2 million, and underlying EBIT was down 8% to $20.6 million. Statutory NPAT decreased 31% to $9.6 million. The company declared a total dividend of 15 cents per share, fully franked, supported by a positive outlook and expected synergy realisation from the integration of the Davey acquisition. The Davey integration is progressing well, with the company realizing cost savings through shared warehousing, freight optimization, manufacturing specialization, and streamlined shared services. Waterco also continued to invest in R&D, launching IoT-connected heat pumps and completing the development of its IoT platform for a FY2026 rollout. The company's balance sheet was strengthened, with net debt reduced by $8 million and gearing improving from 25% to 17%. Waterco is focused on reducing gearing, funding a new manufacturing plant, and maintaining a consistent dividend policy.

Waterco expects further growth across all regions, driven by continued product innovation and targeted expansion. The company anticipates additional synergy realisation from the Davey integration to lift operating cash flows and support further debt reduction in FY2026.

Waterco is positioned for long-term shareholder value creation, with a strengthened leadership team, leaner and more efficient operating model, and a platform to capture growth opportunities in the water treatment industry.