The Environmental Group (EGL) AGM 2025 Presentation summary

FY25 financial performance and growth

• Revenue reached $111.9M, up 13.9% year-on-year, with underlying EBITDA of $11.1M, up 9.9%.

• Net profit after tax was $4.7M, up 7.3%, and recurring revenue accounted for 53% of total revenue, showing a 32.9% CAGR in recurring revenue since FY22.

• Strategic acquisitions contributed $5.5M and supported growth in recurring revenue streams.

• All CE & ISO certifications were maintained, and 381,000 hours were worked during the year.

• Underlying EBITDA margin improved, and significant items were reconciled, with underlying profit after tax at $5.8M.

Operating unit highlights

• EGL Energy saw strong service revenue, improved EBITDA margin (14.2%), and expanded its technician team.

• EGL Baltec achieved $21.5M in sales YTD, completed the Pelican Point project ahead of schedule, and secured a $9.3M Manzanillo project.

• EGL Clean Air benefited from improved lithium and rare earths prices, received a major engineering order, and saw sales for Airtight systems improve.

• EGL Waste Services expanded its team, grew the PFAS plant sales pipeline, and added Dashton Engineering, enhancing installation and maintenance capabilities.

Strategic direction and outlook

• Recurring revenue streams are expected to grow to 55% in FY26, with normalised EBITDA growth forecast at 15-20%.

• Continued reinvestment of cashflow will support organic growth and targeted acquisitions.

• The ERP system implementation is progressing but delayed until February next year.

• Trading is in line with expectations, and the business remains focused on expanding margins and recurring revenue.