SciDevL (SDV) H2 2026 earnings summary

Executive summary

• FY26 saw a 17% decline in revenue to $85.5m and a 49% drop in underlying EBITDA to $3.6m year-over-year, driven by the loss of a major Energy Services contract and continued international losses.

• Water Solutions delivered record revenue and EBITDA, offsetting losses in Energy Services and international operations.

• Strategic actions included exiting loss-making international operations, cost reductions, lower capex, and tighter working capital, reducing the cost base by ~$4m.

• Second-half earnings momentum improved, with underlying EBITDA rising to $2.5m in 2H from $1.1m in 1H, despite lower revenue.

• Entering FY27, the business is more focused, with a leaner cost base, a strong balance sheet, and a growing pipeline in Water Solutions and data centers.

Financial highlights

• Revenue fell 17% to $85.5m and gross margin declined by 2ppt to 26% compared to FY25.

• Underlying EBITDA dropped 49% to $3.6m; reported EBITDA was -$1.1m versus $6.2m in FY25.

• Net cash increased to $6.8m at June 30, 2026; total available liquidity reached $13.8m.

• Recurring revenue rose to 38% of total, up 8ppt year-over-year.

• Underlying operating cash flow for FY26 was $6.0m, with a significant 2H recovery.

Outlook and guidance

• No formal FY27 revenue guidance provided; updates will be given quarterly or at key news points.

• FY27 priorities: expand engineering, chemistry, and data services in mining; establish a position in the data centre sector; rebuild Energy Services growth via partnerships and basin expansion.

• Growth expected from the Newmont Boddington contract, data center projects, and mining activity.

• Recurring revenue growth and diversification of services are key focus areas for FY27 and beyond.

• Order book growth expected in Mining and Data Centres, with new contracts ramping up and Rum Jungle completion anticipated.