SHAPE Australia (SHA) H1 2025 earnings summary

Executive summary

• Achieved record half-year revenue of $479 million, up 15% year-over-year, with EBITDA rising 21% to $14.8 million and net profit after tax up 26% to $9.4 million, driven by diversification and operational execution.

• Maintained a robust backlog order book of $516 million, up 13%, and a healthy identified pipeline of $3.4 billion.

• Strategic focus on non-office sector expansion, service offering growth (notably modular), and geographic expansion, while retaining a leading position in the commercial office market.

• Declared a $0.10 per share interim dividend, up 25%, maintaining a payout ratio of approximately 90%.

Financial highlights

• Revenue reached a record $479 million for the half, up from $416 million in the prior period; EBITDA of $14.8 million (+21%), net profit after tax of $9.4 million (+26%), and EPS up 26% to $0.114.

• Cash and marketable securities totaled $118.9 million, with $84 million in cash and $35 million in highly liquid bonds.

• Gross margin stable at 9.1%, slightly above expectations.

• Backlog orders at $516 million (+13%), with project wins totaling $531.5 million across 170 projects.

• Net tangible assets per share rose to 30.70 cents from 24.05 cents year-over-year.

Outlook and guidance

• Strong setup for continued revenue growth in H2, supported by a $3.4 billion identified pipeline and robust order backlog.

• Focus remains on maintaining commercial office market share while expanding in non-office sectors such as health, education, retail, and defence.

• Expectation of continued margin improvement as higher-margin verticals (e.g., modular) expand.

• Macro trends like population growth and government investment expected to support sector growth.