IPD Group (IPG) H2 2025 earnings summary

Executive summary

• Achieved record financial results for FY 2025, with revenue of AUD 354.7 million, up 22.1% year-over-year, and strong growth in data center and infrastructure sectors.

• EBITDA rose 19.3% to AUD 46.4 million, EBIT up 18.4% to AUD 39.2 million, and net profit after tax increased 17% to AUD 26.2 million.

• Earnings per share grew 8.6% to AUD 0.253, reflecting successful accretive acquisitions.

• Data center revenue surged 33%, now representing 16% of total revenue.

• Fully franked dividends totaled AUD 0.126/share, up 16.7% year-over-year, with a 50% payout ratio.

Financial highlights

• Gross profit margin declined to 34.2% from 37.1% due to lower-margin acquisitions.

• Operating expenses as a percentage of revenue improved to 21.4% from 24.0% year-over-year.

• Operating cash flow reached AUD 52.7 million, with cash conversion at 113%.

• Net cash position of AUD 9.8 million at year-end, reversing a net debt position last year.

• Total dividends paid amounted to AUD 13.1 million.

Outlook and guidance

• Expecting to grow at twice the market rate, targeting 5-6% growth if the market grows 0-3% in the next 12 months.

• Data center revenue projected to grow another 25% in the next year, underpinned by a strong order book.

• Price increase of approximately 4% planned for February 2026.

• Growth expected from renewable energy transition, data center demand, EV charging, and public transport electrification.

• Positioned to benefit from recovery in commercial construction and buildings.