Stealth Group (SGI) AGM 2025 summary

Opening remarks and agenda

• Meeting opened with introductions of board members, management, and external auditor, with a review of the agenda including presentations, Q&A, and formal proceedings.

• Meeting included addresses from the Chairman and Group Managing Director & CEO, followed by business resolutions and a poll.

Financial performance review

• Achieved record sales of AUD 145.1 million, up 27.6%, with EBITDA up 62% to AUD 9.9 million and net profit after tax up 130% to AUD 3.1 million.

• Net debt reduced by 37% to AUD 6.8 million, lowest in five years; share price rose from AUD 0.21 to AUD 0.73, delivering a 252% total shareholder return.

• FY28 sales target increased to $500m+, EBITDA margin to 8–12%, and NPAT margin to 5–8%.

• Capital investment expected to rise to 35–40% of sales, with net debt ratio remaining below 1×.

• 1H26 performance outpaced 1H25, with strong outlook for 2H26 and FY27 due to HBT acquisition.

Strategic initiatives and plans

• Announced acquisition of Hardware and Building Traders (HBT), adding 1,165 stores, $700m purchase volume, and 490 suppliers, with integration over 90 days and immediate operational benefits expected.

• Upgraded FY28 sales guidance from AUD 300 million to over AUD 500 million, with significant synergies and earnings uplift projected.

• Integration of HBT expected to deliver AUD 8 million in synergies by FY 2027 and AUD 200 million additional revenue by FY 2028.

• Expansion of network from 32 to over 1,200 locations, leveraging procurement scale and operational efficiencies.

• Expansion of digital commerce, loyalty programs, and omnichannel strategy, with access to 4,700 outlets up from 40 in 18 months.