Highlights

  • Boom Logistics (ASX:BOL) reported a 48.2% increase in underlying Earnings Per Share in FY2026.
  • Free Cash Flow rose 83.0%, while underlying EBITDA and net profit also increased.
  • The company continues to return Capital through dividends and an ongoing on-market share buy-back.
  • Net debt, resources exposure and maintaining fleet utilisation remain key considerations for FY2027.

Boom Logistics (ASX:BOL) closed FY2026 with underlying earnings per share up 48.2% and free cash flow up 83.0%, alongside an ongoing on-market buy-back. Rising profitability and capital returns have become important parts of the Investment case. The company describes itself as Australia's only ASX-listed integrated project logistics business, providing lifting services to miners, transmission builders and wind farm developers. Its Debt position remains an important counterweight to the improvement in earnings and cash generation.

Latest Development

Recent filings in early September 2026 showed that Boom continued progressing its on-market share buy-back. The programme runs from 16 October 2025 to 20 November 2026 and is capped at 7,950,012 shares, or 20% of issued capital.

The continued buy-back forms part of the company's broader capital management strategy following improved FY2026 earnings and free cash flow.

Company Overview

Boom provides lifting, engineering and workforce solutions through three service lines: specialised equipment rental, engineering services and workforce solutions. Its fleet of roughly 295 Assets spans cranes from 20 to 800 tonnes plus travel towers, operating from 17 depots nationally, with an average age of 5.9 years against a five to seven year target.

FY2026 Revenue split by sector as resources 55%, or A$149 million; infrastructure 20% at A$54 million; renewables 16% at A$43 million; and industrials 9% at A$24 million.

Recent Developments

On 30 June 2026, Boom announced an extension of its Olympic Dam contract with BHP, described in the FY2026 results as a renewal worth about A$40 million annually over five years. Across the year it secured more than A$230 million of new and renewed contracts, and about A$200 million of FY2027 work is already contracted. A new chief financial officer was appointed in March 2026.

Financial and Operational Position

Revenue for the year to 30 June 2026 was A$271.0 million, up 2.4% on A$264.6 million. Underlying EBITDA rose 6.6% to A$53.3 million and underlying net profit after tax increased 37.6% to A$12.8 million. Underlying earnings per share of 32.9 cents were 48.2% above the prior year's 22.2 cents, helped by the smaller share count.

Cash at bank climbed 72.7% to A$24.7 million and free cash flow rose 83.0% to A$18.3 million, while net Capital Expenditure fell 33.7% to A$16.7 million. Net gearing eased to 39.5% from 42.5%. Asset utilisation held at 86% and the recordable injury frequency rate improved to 2.0 per million hours from 5.7.

Boom spent A$7.0 million on buy-backs in FY2026 against A$2.0 million a year earlier and declared an unfranked Dividend of 2.25 cents per share, about A$0.8 million, payable 30 September 2026.

What Investors May Watch Next

The company says it is budgeting for continued EPS growth in FY2027 despite challenging macroeconomic conditions and has flagged a further buy-back of up to A$7.0 million subject to board approval.

Its capital strategy targets returning 40% to 60% of prior-year operating NPAT. Conversion of transmission and renewables work, the pace of fleet investment and continued utilisation levels are among the operating markers to monitor.

Risks

Net debt of A$85.1 million means Leverage remains an important consideration. Resources exposure at 55% of revenue ties earnings to Mining activity. Crane hire is capital intensive and utilisation sensitive, and a decline from the current 86% level could affect margins. Major contract renewals such as Olympic Dam also create concentration exposure, while share buy-backs remain discretionary.

Key Takeaways

Boom Logistics (ASX:BOL) ended FY2026 with higher earnings, stronger free cash flow, lower capital expenditure and increased capital returns. The company's contracted workload and expectation for continued EPS growth provide measurable operating markers for FY2027.

The counterweight remains leverage and the company's exposure to resources activity. FY2027 performance may depend on maintaining fleet utilisation, converting contracted work efficiently and balancing capital returns with debt management and future fleet investment.