Revised FY26 Guidance and Business Update
| Stock | Austin Engineering Ltd (ANG.ASX) |
|---|---|
| Release Time | 5 Nov 2025, 8:30 a.m. |
| Price Sensitive | Yes |
Revised FY26 Guidance and Business Update
- FY26 revenue guidance revised to $370m - $380m from $390m - $410m
- FY26 underlying EBIT guidance from continuing operations now $30m - $34m from $40m to $46m
- Challenges with OEM contract, operational disruption at major customer's mine site, and excess steel wastage in Chile
Austin Engineering Limited (ASX: ANG) has revised its FY26 revenue and underlying EBIT forecasts based on its year-to-date performance and forecasted operating conditions. The FY26 revenue guidance has been revised to a range of $370m - $380m from $390m - $410m previously, and the FY26 underlying EBIT guidance from continuing operations is now a range of $30m - $34m from $40m to $46m previously. Austin has recorded a number of years of revenue growth, aided by some large contracts and a solid order book across its various facilities. However, the guidance adjustments account for several external and internal factors that are expected to impact FY26 results. These include challenges with an OEM contract entered into in 2024, a major local customer's requirement to defer work in Indonesia due to a significant operational disruption at its mine site, and excess steel wastage on product completed between July and September 2025 in Chile. Austin has implemented a series of actions to address these issues, including appointing a new Vice President Americas, upskilling the local management team in Chile, and implementing cost control measures and improved control governance over expenses. The North American business unit has seen significant revenue growth, but profitability in FY26 is expected to be impacted by labour inefficiencies and outsourcing due to the rapid growth of the business unit. Austin has implemented measures to address these challenges, including continuing to generate employment pipelines and skills development, developing teams with the right mix of skills and experience, and continuing with Lean Manufacturing principles.
FY26 revenue guidance revised to a range of $370m - $380m from $390m - $410m previously. FY26 underlying EBIT guidance from continuing operations is now a range of $30m - $34m from $40m to $46m previously.