Superloop (SLC) H2 2024 earnings summary

Executive summary

• Achieved record 30% year-on-year revenue growth to AUD 420.5 million, with strong organic growth and customer additions across all segments.

• Underlying EBITDA rose 45.2% to AUD 54.3 million, exceeding guidance and driving margin expansion to 12.9%.

• Free cash flow increased 26% to AUD 29.2 million, with a net cash position of AUD 3.6 million at FY24 end.

• Customer base grew 24% to 455,000, with 80,000 net new consumer customers and significant NBN market share gains.

• Major contract wins with Origin and AGL set the stage for a step-change in FY25 earnings.

Financial highlights

• Revenue up 30% year-over-year to AUD 420.5 million; gross margin up 24% to AUD 145.1 million (34.8% margin).

• Underlying EBITDA up 45.2% to AUD 54.3 million; NPATA positive at AUD 23.5 million, with net loss after tax narrowed to AUD 14.7 million.

• Free cash flow increased to AUD 29.2 million; OpEx as a percentage of revenue down to 17.1%.

• CapEx for FY24 was AUD 25 million, at the lower end of guidance.

• Operating cash flow conversion at 92%.

Outlook and guidance

• FY25 underlying EBITDA expected between AUD 83–88 million, a >50% uplift on FY24.

• CapEx forecasted at AUD 28–30 million for FY25, supporting Smart Communities growth and network upgrades.

• Ambition to reach over 500,000 consumer customers, AUD 700 million revenue, mid- to high-teens EBITDA margin, and NPAT positive by FY26.

• Focus on cost leadership, organic growth, successful delivery of Origin contract, and disciplined M&A.

• Significant earnings step change expected in FY25 from Origin and AGL contracts.