Key Highlights

  • Revenue rose 27% to A$1,675.5 million for FY26.
  • Underlying EBITDA rose 34% to A$170.1 million.
  • Record work in hand of A$5.1 billion was up 42%.
  • FY27 EBITDA guidance of A$195 million to A$205 million was raised.

How does a services contractor lift guidance for the coming year at the same time as it reports a record pipeline of work? SRG Global Limited (ASX:SRG) did so on 18 August 2026, reporting FY26 Revenue of A$1,675.5 million, up 27%, underlying EBITDA of A$170.1 million, up 34%, and record work in hand of A$5.1 billion, up 42%. It also guided to FY27 EBITDA of A$195 million to A$205 million. The announcement matters because it shows a company that has been reshaping itself from a mining-linked contractor into a broader infrastructure services business, and the numbers give a reasonable way to judge how far that has progressed.

What SRG does

SRG Global provides maintenance, industrial and engineering services. The announcement names two segments: Maintenance and Industrial Services, and Engineering and Construction. Management describes the strategy as a transformation into a diversified infrastructure services business, with growth exposure across water, energy, industrial and resources, transport, defence, health, education, data centres and ports and marine.

A central claim is that around 80% of FY26 and future Earnings are expected to be Annuity or recurring, meaning repeat maintenance and service work rather than one-off construction projects.

The FY26 result

For the year ended 30 June 2026:

Revenue A$1,675.5 million, up 27% on FY25.

Underlying EBITDA A$170.1 million, up 34%.

EBIT(A) A$131.8 million, up 41%.

EPS(A) of 13.8 cents per share, up 34%.

EBITDA-to-cash conversion of 101%.

Underlying EBITDA beat the upgraded FY26 guidance of A$164 million to A$168 million that the company issued in June 2026. Guidance outcomes are useful because they show whether management's forecasting has been reliable, though one year is a small sample.

Profit grew faster than revenue: EBIT(A) rose 41% against revenue growth of 27%.

Net cash and dividends

SRG reported net cash of A$6.2 million at 30 June 2026, compared with pro forma net Debt of A$52.5 million after the TAMS acquisition. A net cash balance is helpful when a company is competing for contracts that require Balance Sheet strength, though A$6.2 million is small against annual revenue of A$1.7 billion.

The second-half FY26 Dividend was 4.0 cents per share, fully franked, up 33% on the second half of FY25, taking the full-year dividend to 7.0 cents, up 27%. The Record Date was 28 August 2026 and payment was made on 11 September 2026.

The TAMS acquisition

TAMS, a marine infrastructure services provider, became effective on 1 November 2025. The company says it delivered about 10% above its Business case in its first eight months with SRG and is now fully integrated, with a 25-year history of client relationships. The Acquisition broadens SRG's ports and marine exposure.

Work in hand and the FY27 outlook

Work in hand reached a record A$5.1 billion, up 42%, and the opportunity pipeline was A$11.5 billion. The announcement does not define work in hand or break out how much is firm versus repeat, so it cannot be treated as guaranteed revenue. The pipeline is a measure of opportunities, which are not wins.

FY27 guidance was upgraded to underlying EBITDA of A$195 million to A$205 million and EBIT(A) of A$150 million to A$160 million. Guidance is a management expectation and depends on contract execution, labour availability and client spending.

Sector and competitive position

Australian infrastructure and resource services is a competitive field, with large contractors and numerous specialist providers. Spending on water, energy transition, defence and data centres is a stated tailwind in the company's growth areas.

Risks and what to watch

The announcement discusses no risk factors, so the following are general observations on a business of this type:

Execution: contractors can lose Margin on fixed-price work, and the group has grown through acquisition.

Concentration in cyclical sectors: parts of the business depend on resources and construction activity.

Pipeline conversion: work in hand and pipeline figures may not convert to revenue as expected.

Guidance risk: the FY27 targets were raised, so delivery expectations are higher.

Thin cash buffer: net cash is small relative to the scale of the business, though cash conversion was encouraging.

Developments to watch include the first-half FY27 result against the guidance range, conversion of work in hand, further acquisitions and their pricing, the share of earnings that is genuinely recurring, and the segment breakdown in the full results tables.