Stealth Group (SGI) H1 2025 earnings summary

Executive summary

• Achieved record half-year results with revenue up 26.5% to AUD 71.5 million and net profit after tax up 249% to AUD 1.6 million, surpassing the previous full-year result.

• EBITDA increased 78% to AUD 5 million, with margin reaching 14.6% on incremental revenue, highlighting scalability.

• Integration of Force Technology expanded the consumer segment, trading footprint, and retail reseller network.

• Total shareholder return exceeded 100% over 12 months and 300% over three years, with market capitalization rising above AUD 70 million.

• Declared and paid maiden dividend of AUD 0.84 per share, totaling AUD 970,000, reflecting strong financial position.

Financial highlights

• Revenue rose 26.5% to AUD 71.47 million; gross profit up 26.7% to AUD 21.04 million; gross margin stable at 29.44%.

• EBITDA margin improved to 6.96% from 4.95% year-over-year; NPAT margin rose to 2.22% from 0.80%.

• EPS increased 202% to 1.36 cents per share.

• Operating cash inflow of AUD 2.83 million; closing cash balance of AUD 10.4 million, up 18%.

• Net debt to EBITDA reduced to 1.11x, with net financial debt at AUD 11.02 million.

Outlook and guidance

• Reaffirmed FY2028 targets: AUD 300 million revenue, 8% EBITDA margin, and 5% NPAT margin.

• Revenue growth continued into 2H2025, up 33.9% in the first 8 weeks year-over-year.

• FY2025 NPAT margin guidance maintained at 1.5%-3%.

• Capital expenditure guidance for FY2025 is AUD 1.8–2.2 million, focused on technology, automation, and store upgrades.

• Actively negotiating new exclusive product arrangements and expanding market channels to enhance growth.