SG Fleet Group (SGF) H1 2025 earnings summary

Executive summary

• Revenue increased between 15.2% and 16% year-over-year, reaching up to $656.9 million, driven by strong delivery volumes, innovation, and new business wins across Australia, New Zealand, and the UK.

• Net Profit After Tax declined 9.8% to $41.1 million, impacted by higher operating expenses and interest costs.

• LeasePlan integration is nearly complete, with system migration in its final phase.

• A Scheme Implementation Deed for a $3.50/share acquisition by Westmann Bidco is pending regulatory and shareholder approval.

• Dividends paid totaled $83.2 million, including a special dividend of 15 cents per share.

Financial highlights

• Net revenue rose 6.6% to $210.7 million, with operating EBITDA stable at $87.1 million and total EBITDA up to $243.7 million.

• NPAT decreased by 9.8%, and EPS fell to about 12 cents; NPATA dropped 8.8% to $46.0 million.

• Net mobility services revenue grew by 20%, and additional products and services income rose by 12.3%.

• Finance commission increased by 25.7%, reflecting higher funded deliveries and commission per unit.

• Cash generation ratio improved to 105.5% of reported EBITDA, with cash and cash equivalents at $402.3 million.

Outlook and guidance

• Order pipeline remains elevated but is gradually normalizing, with full normalization expected into FY26.

• The Scheme with Westmann Bidco is expected to be implemented in April 2025, pending approvals.

• Innovation and digital improvements are expected to continue driving revenue growth.

• Novated business and corporate fleet demand remain robust, with no signs of slowing.

• No material post-period events are expected to affect future operations.