2025 AGM - CEO's Address to Shareholders
| Stock | Avada Group Ltd (AVD.ASX) |
|---|---|
| Release Time | 18 Nov 2025, 10:48 a.m. |
| Price Sensitive | Yes |
AVADA Group CEO Outlines 2025 Performance and Transformation
- Consolidated operations under single AVADA Traffic brand to drive scale and efficiency
- Improved safety performance with 41% reduction in Total Recordable Injury Frequency Rate
- Operational challenges in NSW and NZ, but positioned for growth in QLD infrastructure projects
In his address to shareholders at the 2025 AGM, AVADA Group CEO Donald Montgomery highlighted the company's progress in consolidating operations under a single AVADA Traffic brand, which has driven scale and efficiency. Despite financial performance finishing behind the previous year due to weather disruptions and competitive pressures, the CEO noted the resilience and commitment of the company's teams. Safety remained a top priority, with a 41% reduction in the Total Recordable Injury Frequency Rate. In Queensland, performance remained steady despite severe weather events, and the company is well-positioned to benefit from the state's strong infrastructure pipeline. However, challenging weather and price competition impacted results in New South Wales, leading to an operating loss and a write-down. The Victorian business continued to compete in key tenders, though the market has been affected by a preference for unionized labor. In New Zealand, a strategic review resulted in a restructure and reduction in operating costs to position the business for long-term sustainability. The CEO highlighted the ongoing business transformation program, including the move to a single ERP platform, engagement of consultants to improve performance, and the appointment of new finance and operations leaders. Looking ahead, the company has seen a 4.8% increase in revenue in the first quarter of FY2026 and is focused on improving operating margins across the business.
The company reported a 4.8% increase in revenue in the first quarter of the 2026 financial year.
AVADA Group is continuing to drive the transformation of operational performance across the business to make it more resilient and competitive. The company has signed some significant new client accounts and is focused on improving operating margins.