Symal Group (ASX:SYL) management used its first-half FY2026 results call to highlight continued revenue growth, a large work program pipeline, and an active acquisition agenda as the company expands its national footprint and capability set.
First-half financial performance and dividend
Group Managing Director Joe Bartolo said Symal delivered normalized revenue of AUD 504.2 million for the half ended December 31, 2025, up 21% from the prior corresponding period. Normalized EBITDA was AUD 51.4 million, up 6%, and normalized NPAT A was AUD 20.9 million, up 4%.
The board declared an interim dividend of AUD 0.033 per share, representing 40% of NPAT, which management described as the midpoint of its 30%–50% payout policy.
Work in hand, ECI pipeline, and FY2026 guidance
Management reported work in hand of AUD 1.64 billion as of December 31, with Bartolo pointing to wins concentrated in data centers, solar and battery energy storage systems (BESS), water infrastructure, defense, and community infrastructure. In addition, Symal disclosed approximately AUD 1.4 billion of formal early contractor involvement (ECI) engagements.
CEO Nabeel Sadaka said work in hand is a point-in-time measure that can fluctuate as projects convert from ECIs or tenders to executed contracts, but described forward visibility as a strength of the business. He added that Symal has historically converted about 90% of ECIs, while noting that even a lower conversion rate would still be meaningful to the pipeline.
Symal reaffirmed FY2026 EBITDA guidance of AUD 117 million to AUD 127 million. CFO Geoff Trumbull said the company would provide a further update after completion of the Timms, L&D, and Davison transactions.
Operational update: safety, workforce, and segment performance
Sadaka emphasized the company’s focus on safety and workforce development. He said Symal completed more than 9,200 hours of facilitated training during the period and had 55 graduates in development. He also cited community initiatives, including raising $280,000 for the Fight Cancer Foundation for the 10th year in a row, and described support provided after recent bushfires through Operation Veteran Assist.
On safety, Sadaka reported total recordable injury frequency rate (TRIFR) and lost time injury frequency rate at historical lows for the 12 months to December 31. He said the TRIFR was 1.76, comparing favorably to an industry average of 6, and noted the workforce had grown beyond 1,500 people.
For reporting purposes, Symal discussed three segments—contracting services, plant and equipment, and other—while noting that integration across the group means segments often support the same projects.
- Contracting services: 83% of group revenue and 52% of EBITDA. Normalized revenue rose 26.5% to AUD 419.3 million; normalized EBITDA increased 8.4% to AUD 26.9 million. EBITDA margin was 6.4%, down 1.1 percentage points, which management attributed to a greater contribution from lower-margin projects and investment to expand in northern states.
- Plant and equipment: 17% of group revenue and 42% of EBITDA. Normalized revenue increased 5% to AUD 87.3 million; normalized EBITDA was AUD 21.3 million with an EBITDA margin of 24.4%. Management said EBIT fell to AUD 8.6 million after exceptional outcomes in the prior period and noted softness tied to investing in fleet ahead of demand, particularly in Queensland.
- Other: accounted for 6% of EBITDA.
Balance sheet, cash flow, and below-the-line items
Trumbull said Symal’s normalized presentation excluded non-recurring impacts from the IPO and other one-off items, and introduced NPAT A as a metric that excludes the non-cash amortization of acquired intangibles.
He reported depreciation and amortization (D&A) expenses increased about 40% year over year to AUD 20.5 million, driven by fleet investment and incremental lease asset depreciation from new locations in South Melbourne, Brisbane, Adelaide, and Avalon. Trumbull said D&A was expected to trend up slightly in the second half as depreciation on current-year fleet investment flows through, and noted amortization of acquired intangibles could rise as transactions complete (with those effects planned to be excluded from NPAT A).
Net finance costs increased to AUD 5.4 million, reflecting a higher average debt balance tied to plant and equipment investment and increased AASB 16 lease interest. Trumbull said interest costs would likely continue to trend upward as the company draws on new debt facilities for future M&A, depending on timing.
Operating cash flow for the half was AUD 37.7 million, with cash conversion of 108%. Total investment cash outflow was AUD 76 million, including AUD 36 million in upfront acquisition payments for Locale and McFadyen and AUD 40 million net investment in property, plant and equipment. Trumbull said full-year plant and equipment capex was expected to be closer to AUD 50 million, including additional capex for Locale and McFadyen.
Symal ended the half with cash of AUD 126.1 million, compared with AUD 169 million at June 30, which management said was largely due to the acquisitions completed during the period. The company also established AUD 300 million of new revolving corporate debt and bank guarantee facilities and increased bonding facilities by AUD 50 million to a total of AUD 100 million.
Growth themes and acquisitions
Management highlighted several markets it sees as key opportunities, including data centers, the energy transition, defense, and Queensland infrastructure tied to Brisbane 2032. Bartolo said Symal secured four new data centers in the first half and described the company’s focus on increasing scope on these projects. In the Q&A, he said the company’s data center work includes in-ground works, concrete works, in-ground services, and precast installation.
In energy transition, Bartolo said Symal is seeing sustained demand across transmission, wind, solar, and battery infrastructure and pointed to expanded electrical capability through CROE. He said the company secured its first high-value utility-scale electrical contract and had more than 20 renewable projects awaiting decision, representing a $2 billion opportunity.
On defense, Bartolo said Symal is delivering 10 civil and infrastructure packages across four states with a total value of $220 million, and is evaluating acquisitions to deepen capability and enhance margins.
On Brisbane 2032, Bartolo said there is AUD 22.9 billion of committed, government-backed infrastructure investment through to 2032, and cited a broader Queensland major project pipeline estimated at over AUD 100 billion over the next five years. In Q&A, management said it is beginning to see initial expressions of interest, with tenders expected over the next six to nine months and construction projects starting next year.
On M&A, Bartolo said Symal has announced five acquisitions since listing: Ascot Bins, Locale Civil, McFadyens, Timms Group and L&D, and Davison. He provided detail on December announcements, stating Timms Group and L&D carried an AUD 28 million upfront purchase price supported by plant and equipment and contributed approximately AUD 8 million in annualized EBITDA, with expected earnings accretion from year one. Davison Earthmovers was described as contributing approximately AUD 7 million in annualized EBITDA, also expected to be earnings accretive in the first year, supported by a significant fleet of plant and equipment and nearly 40 years of operating history.
During Q&A, management said Locale and McFadyen were performing in line with expectations and would contribute in the second half, and reiterated that guidance would be updated once there is more certainty on completion timing for pending deals. Trumbull also flagged potential incremental depreciation for Timms/L&D and Davison following completion, noting prior estimates of AUD 3 million–AUD 4 million of annualized depreciation for Timms and L&D and AUD 1 million–AUD 2 million for Davison, with completion expected later in FY2026.
About Symal Group (ASX:SYL)
Civil construction contracting and subcontracting
