Amotiv (AOV) H2 2025 earnings summary

Executive summary

• Revenue grew 1% year-over-year to $997.4m, with underlying EBITDA up 1.2% to $226.4m and underlying EBITA down 1.3% to $192m, reflecting disciplined cost management and continued investment in manufacturing capacity.

• Statutory loss of $106.3m (AUD 75.3m), mainly due to a $190m non-cash impairment of APG.

• Cash conversion remained strong at 90.6%, exceeding guidance.

• Over $105m returned to shareholders via dividends and buybacks, maintaining a strong balance sheet.

• Amotiv Unified transformation program delivered $15m in annualised gross savings, with $10m net benefits expected in FY26.

Financial highlights

• Group revenue increased 1% year-over-year to $997.4m, with Powertrain & Undercar up 3.3%, 4WD & Trailering up 1.7%, and Lighting, Power & Electrical down 1.9%.

• Underlying EBITDA was $226.4m, up 1.2%, and underlying EBITA was $192m, down 1.3% year-over-year.

• Gross margin declined 30bps to 43.8% due to lower OE volumes and inflationary pressures.

• Underlying EPSA increased 1.4% to 85.66 cents; cash conversion was 90.6%.

• Net Debt/EBITDA leverage at 1.9x, reflecting share buybacks and within capital management targets.

Outlook and guidance

• FY26 group revenue growth expected, with underlying EBITA guidance of ~$195m and EBITDA guidance of around AUD 195m.

• Core wear and repair categories expected to remain resilient; ANZ cyclical headwinds to persist.

• Amotiv Unified net benefit of $10m expected, offset by $8m in incentives and US tariffs.

• Buyback program to complete 5% of shares by AGM in October 2025.

• Deleveraging anticipated in H2 FY26, with cash conversion to align with capital allocation framework.