Major Contract Award and FY26 Profit Upgrade
| Stock | SKS Technologies Group Ltd (SKS.ASX) |
|---|---|
| Release Time | 5 Feb 2026, 8:52 a.m. |
| Price Sensitive | Yes |
Major Contract Award and FY26 Profit Upgrade
- $60 million in new contract awards across data centre and corporate clients
- Revenue forecast increased from $320 million to $340 million
- NPBT margin expected to lift from 9% to 10%, increasing profit before tax from $28.8 million to $34 million
SKS Technologies Group Limited (ASX: SKS) has recently been awarded a range of contracts totalling $60 million across data centre and corporate clients, leading the company to revise its FY26 earnings guidance. Revenue is now expected to increase from the previous forecast of $320 million to $340 million, while the NPBT margin is expected to lift from 9% to 10%. These increases are expected to produce a profit before tax increase from $28.8 million to $34 million. The revised outlook is based on a combination of new contract awards, a further record level of $325 million of work on hand, and a realistic confidence in future conversions from pipeline to contract award. The strong visibility of future earnings indicates the sustainable operating platform that the business has built as its work on hand has burgeoned, juggling growth and consolidation concurrently to harness the immediacy of opportunity in the data centre sector. The recent contract awards totalling $60 million include a package for the NEXTDC M3 (Stage 4) data centre project and the full suite of SKS Technologies services for the new Melbourne office of Ernst and Young. The NEXTDC M3 (stage 4) project has been awarded by Kapitol Group to deliver the next stage of expansion of the West Footscray hyperscale campus, while the commercial office project for Ernst and Young was awarded by Shape Australia. These major contract awards demonstrate SKS Technologies' continued and unwavering pursuit of work across all of its traditional sectors.
Revenue is expected to increase from the November forecast of $320 million to $340 million, while the NPBT margin is expected to lift from 9% to 10%, increasing profit before tax from $28.8 million to $34 million.