Worley (WOR) H2 2025 earnings summary

Executive summary

• Achieved fourth consecutive year of growth in revenue, earnings, and margins, with strong performance across energy, resources, and sustainability-related sectors despite challenging global market conditions and geopolitical uncertainty.

• Diversified business model, strong balance sheet, and disciplined execution of strategy underpin resilience and growth amid global uncertainty and shifting market dynamics.

• 60% of revenue now derived from sustainability-related work, up from 52% in the prior year, with significant progress in ESG ratings and a 73% reduction in scope 1 and 2 emissions since 2020.

• Major project wins and a robust backlog position the business for continued growth.

Financial highlights

• Aggregated revenue increased 4% year-over-year to $12,050m; underlying EBITDA/EBITA up 10% to $823m, and underlying NPATA up 14% to $475m.

• Underlying EBITDA/EBITA margin (excluding procurement) expanded to 9.2%, above guidance.

• Backlog rose 22% to $16.9b, with bookings of $17.1b, and normalized cash conversion at 94.9%.

• Days sales outstanding improved to 52 days from 59.3 days.

• Final dividend of $0.25 per share declared, unfranked and unchanged from prior year.

Outlook and guidance

• FY 2026 expected to deliver moderate growth, with revenue growth targeted above FY 2025 and underlying EBITDA/EBITA margin (excluding procurement) guided at 9%-9.5%.

• Medium-term ambition to reach low double-digit margins, with further headroom for growth beyond 2026.

• Procurement revenue expected to see a slight uptick both in absolute and proportional terms.

• Cash conversion guidance for FY 2026 set at 85%-95%.

• Strong backlog and pipeline, with about 50% of backlog to be delivered in the next 12 months.