• Austal's Australasia business expected FY2026 EBIT of approx. $62 million
• Austal USA expected non-cash EBIT loss of approx. $(175) million
• Austal Group FY2026 EBIT expected loss of approx. $(113) million
• Receipt of non-binding conditional offer from Hanwha to acquire Austal USA
• Proposal does not include Austal's core Australasia operations

Austal Ltd has provided a market and trading update for its FY2026. The Australasia business is expected to report an EBIT of approximately $62 million, demonstrating strong performance. However, Austal USA is expected to report a non-cash EBIT loss of approximately $(175) million due to reassessed recoverability of contractual claims. This results in an expected Group EBIT loss of approximately $(113) million for FY2026. Austal has also received an indicative, non-binding conditional offer from Hanwha Defence USA, Inc. to acquire the business operations of Austal USA for an enterprise value of US$1.05 - 1.20 billion, subject to due diligence and regulatory approvals.

FY2026 Group EBIT expected loss of approx. $(113) million

The company is assessing the proposal from Hanwha and will provide further updates as appropriate.