Aussie Broadband (ABB) H1 2025 earnings summary

Executive summary

• Revenue for 1H FY25 grew 6.8% year-over-year to $588.5 million, with strong organic expansion, market share gains, and significant contribution from the Symbio acquisition.

• Underlying EBITDA increased 8.9% to $65.8 million, reflecting improved productivity, disciplined cost management, and margin gains.

• Upgraded FY25 underlying EBITDA guidance to $133–$143 million, reflecting robust trading performance and ongoing expansion.

• Symbio integration delivered scale, with the business on track for 30% YoY earnings growth and $38 million EBITDA by year-end.

• Announced leadership transition: Phillip Britt retiring as Managing Director, succeeded by Brian Maher as Group CEO from March 2025.

Financial highlights

• Revenue reached $588.5 million, up 6.8% year-over-year; gross margin increased 7.5% to $217.6 million.

• Underlying EBITDA grew 8.9% to $65.8 million; NPATA up 35.2% to $21.5 million; net profit after tax rose to $12.2 million.

• Operating cash flow before interest and tax declined 25.8% to $49.3 million, mainly due to working capital timing and higher tax payments.

• Net leverage ratio at 0.72x, well below target range, after $120 million debt repayment.

• Fully franked interim ordinary dividend of 1.6 cents and special dividend of 2.4 cents per share declared.

Outlook and guidance

• Upgraded FY25 underlying EBITDA guidance to $133–$143 million, reflecting strong trading performance.

• Capex guidance increased by $20 million to $75–$80 million, supporting accelerated investment in fibre, technology, and capacity.

• Focus remains on organic growth, selective acquisitions, and continued revenue diversification.

• Positive outlook for high-speed broadband with NBN upgrades and strong position in higher speed tiers.

• No significant changes in state of affairs or material events after 31 December 2024.