ARB (ARB) H2 2025 earnings summary

Executive summary

• Sales revenue grew 5.3% to AUD 729.9 million in FY 2025, driven by strong export growth despite challenging market conditions and a 17% decline in key vehicle sales in Australia.

• Profit before tax declined 4.6% to AUD 134.9 million, with margin pressure from FX, US tariffs, and increased investment in growth initiatives.

• Net profit after tax fell 5% to AUD 97.5 million.

• Export sales rose 16.4%, with strong growth in the US (21.4%), New Zealand (22.5%), and Middle East (45%).

• US business, including the ORW/4WP acquisition, outperformed expectations and is now profitable.

Financial highlights

• Sales revenue increased by AUD 36.7 million to AUD 729.9 million, a 5.3% rise year-over-year.

• Profit before tax fell 4.6% to AUD 134.9 million; profit after tax was AUD 97.5 million, down 5% year-over-year.

• Earnings per share declined 5.7%.

• Export sales grew 16.4% to AUD 267 million, now 36.6% of group sales.

• 10-year sales CAGR: 8.3%; 10-year profit before tax CAGR: 8.4%.

Outlook and guidance

• Aftermarket business performed well in Q4 FY 2025 and order book remains healthy despite challenging conditions.

• Export business expected to continue positive trends, especially in New Zealand, Middle East, and Europe.

• US market outlook is very positive, with ORW/4WP providing a stable growth platform.

• OEM sales forecast to dip in H1 FY 2026, with recovery in H2.

• Board confident in long-term success due to strong balance sheet, new product pipeline, and strategic partnerships.