Austal (ASB) investor relations material

Executive summary

• FY 2026 revenue grew 11% year-over-year to $2.03 billion, driven by strong defense contracts and a record order book of $16.5 billion across four countries.

• Group EBIT swung to a loss of $125.2 million, mainly due to a non-cash provision on onerous US contracts, offsetting record results in Australasia.

• Net Loss After Tax was $53.6 million, compared to a $89.7 million profit in FY2025, with EPS at -12.7cps.

• Australasia delivered record EBIT of $85.3 million, up 137% year-over-year, with revenue up 49%, reflecting strong defense and commercial programs.

• Hanwha Defense USA submitted a conditional, non-binding proposal to acquire the US business for US$1.05–1.2 billion; due diligence is underway.

Financial highlights

• Revenue: $2,029 million (up 11.3% year-over-year).

• EBIT: loss of $125.2 million (FY2025: $113.4 million profit).

• Net Loss After Tax: $53.6 million (FY2025: $89.7 million profit).

• Operating cash flow: $62.5 million (down from $406.3 million in FY25).

• Cash at bank: $311.9 million (down 46.6% year-over-year); net cash: $186.3 million.

Outlook and guidance

• Strong order book of $16.5 billion secures long-term demand and supports a 12-year build program.

• Board and management are committed to returning to profitability in FY2027.

• Continued investment in capacity, especially in the US with MMF3 and FA2 expansions.

• Hanwha proposal for the US business is under evaluation.

• Negotiations ongoing for major new contracts, including Mogami-class General Purpose Frigates.