OneConstruction Group (ONEG) H2 2026 earnings summary

Executive summary

• Reported a net loss of $13.2 million for FY2026, reversing a net profit of $898,000 in FY2025, primarily due to cost overruns and project losses on certain legacy projects.

• Revenue declined 7.2% year-over-year to $49.4 million, with 98.8% derived from public sector projects.

• Gross profit margin turned negative at -14.4% in FY2026, compared to 7.4% in FY2025, driven by cost overruns and final account adjustments.

• The company completed four projects in FY2026 and had five ongoing projects as of the report date.

Financial highlights

• Revenue: $49.4 million in FY2026 (down from $53.2 million in FY2025).

• Cost of revenue: $56.5 million in FY2026 (up from $49.3 million in FY2025).

• Gross loss: $7.1 million in FY2026 (gross profit of $3.9 million in FY2025).

• Net loss: $13.2 million in FY2026 (net profit of $898,000 in FY2025).

• Cash and cash equivalents: $1.7 million as of March 31, 2026.

• Working capital: $21.97 million as of March 31, 2026.

• No dividends declared or paid; intention to retain earnings for business operations.

Outlook and guidance

• Management intends to focus on projects with stronger profitability and continues to evaluate capital enhancement opportunities.

• The major shareholder has provided a forbearance undertaking to defer repayment of a $22.3 million shareholder loan until June 30, 2028, supporting liquidity.

• The company plans to expand its project management team and improve financial management to support growth and compete for larger projects.