Stealth Group (SGI) H2 2026 earnings summary

Executive summary

• Achieved record sales of AUD 165.1 million in FY 2026, up 13.8% year-over-year, marking the twelfth consecutive year of sales growth, driven by organic and inorganic expansion including the AUD 22 million HBT acquisition.

• Statutory EBITDA rose 46.2% to AUD 14.4 million, with margin expanding to 8.7% of sales; NPAT increased 86.3% to AUD 5.8 million.

• HBT integration expanded the addressable market to approximately AUD 120 billion, network to over 1,200 locations, and unlocked AUD 400 million in new annual revenue opportunities.

• Market capitalization more than doubled over two years to AUD 192 million, with share price rising from AUD 0.21 to AUD 1.30 and total shareholder return of +77%.

• FY 2027 started strongly with over AUD 100 million in new annualized sales secured and a run rate exceeding AUD 265 million.

Financial highlights

• Revenue reached AUD 146 million, up 6.7% year-over-year on a like-for-like basis.

• EBITDA margin improved from 6.8% to 8.7%; NPAT margin rose to 3.5% from 2.2%.

• EPS increased 56.7% to 4.12 cents; fully franked dividend per share up 50% to 1.5 cents.

• Cash balance at year-end was AUD 32.1 million, up 122% year-over-year; net debt to EBITDA improved to 0.5x; gearing ratio dropped to 12.6%.

• Free cash flow improved to just under AUD 1 million, up from AUD 0.1 million last year.

Outlook and guidance

• FY 2027 expected to surpass FY 2026 in sales, revenue, and profitability, with over AUD 100 million in new annualized sales secured and a further AUD 130 million in negotiation.

• FY 2028 targets reaffirmed: AUD 500 million+ sales, 8–12% EBITDA margin, 5–8% NPAT margin, and capital expenditure at ~1.5% of sales.

• Focus on converting a larger share of the AUD 770 million purchasing ecosystem into revenue.

• No specific FY 2027 guidance bands provided, but management expects to outperform FY 2026.