Trajan Group (TRJ) H2 2025 earnings summary

Executive summary

• Achieved record revenue of $166.5 million for FY 2025, up 7.4% year-over-year, with growth across all business segments despite a $4 million product loss headwind.

• EBITDA increased 26% over the prior year, reaching $15.5 million, reflecting operational improvements and cost discipline.

• Strategic expansion in capital equipment, new product launches, and talent development initiatives supported growth.

• Business model emphasizes direct sales, innovation, and in-region for region supply chain adaptation.

• ESG progress included emissions reductions, renewable energy adoption, sustainable packaging, and improved EcoVadis score.

Financial highlights

• Group revenue rose to $166.5 million from $155.0 million, nEBITDA up to $15.5 million from $12.3 million, and operating NPATA up 14.3% to $0.8 million.

• Components and consumables segment revenue reached $102.7 million, up 6.7% year-over-year; gross margin improved to 41.6%.

• Capital equipment segment revenue grew 4.9% to $58.6 million, but gross margin declined to 35.1% due to channel mix.

• Disruptive technologies segment revenue increased to $5.1 million, with gross margin rising to 57%.

• Net debt reduced by $3.3 million to $29.5 million; net debt-to-EBITDA at 1.9x.

Outlook and guidance

• FY26 net revenue guidance set at $170 million–$180 million and nEBITDA at $16 million–$19 million, reflecting robust demand and a strengthened balance sheet.

• Expecting continued top and bottom line growth in FY 2026, but guidance is conservative due to macro volatility, tariffs, and U.S. government funding uncertainty.

• Modest gross margin improvement embedded in forecasts, with focus on direct sales and cost rationalization.

• Ongoing review of fixed cost base and underutilized facilities to drive efficiencies.

• Management anticipates continued growth in core and emerging markets, with a focus on operational resilience.