Highlights

  • Synertec shares increased 12.50% during morning trade on 30 July 2026 after releasing its FY26 fourth quarter trading and business update.
  • The company forecast FY27 revenue of $29.5 million to $31.7 million, representing approximately 40% to 50% growth.
  • FY26 revenue increased 19% to $21.1 million, while net operating cash flow improved to a positive $0.5 million.
  • Contracted work in hand reached $20.9 million, up 188% compared with the prior corresponding period.

Synertec Corporation Limited (ASX:SOP) shares advanced 12.50% to AUD 0.054 during morning session trading on 30 July 2026 after the technology design and development company released its FY26 fourth quarter 4C and trading update.

The latest announcement highlighted improving financial performance, positive operating cash flow, higher revenue, expanding contracted work and a favourable outlook for FY27.

Synertec shares have gained 80.00% over the past year, with investor attention focused on the company’s progress across critical infrastructure markets, its Powerhouse Technology Platform and growing pipeline of opportunities.

The company reported that FY26 marked continued operational progress, with improvements across cash flow, revenue generation and commercial activity.

Synertec Targets Higher Revenue Growth in FY27

A key focus of Synertec’s latest update was its FY27 revenue outlook, with the company forecasting group revenue between $29.5 million and $31.7 million.

The guidance represents expected growth of approximately 40% to 50% compared with FY26 revenue.

Synertec stated that the outlook is supported by contracted work already secured, with work in hand reaching $20.9 million as at 30 June 2026.

The contracted pipeline increased 188% compared with the prior corresponding period, providing greater visibility into future revenue delivery.

The company also highlighted growth opportunities across its Engineering and Powerhouse businesses, supported by an expanding pipeline of potential projects.

Synertec noted that the guidance is based on delivery of existing contracted work, expected conversion of identified opportunities, scheduled fabrication and delivery of Powerhouse units, and no material adverse changes affecting operations or project delivery.

The company has not provided FY27 guidance for EBITDA, EBIT, NPAT or cash flow.

FY26 Revenue Growth and Cash Flow Improvement Support Business Momentum

Synertec reported group revenue of $21.1 million for FY26, representing a 19% increase compared with the previous corresponding period.

Fourth quarter revenue reached $6.0 million, up 16% compared with the prior corresponding period.

The company’s financial performance was supported by contributions across its business segments, including Engineering services and the commercialisation of the Powerhouse Technology Platform.

Synertec reported positive net operating cash flow of $0.5 million for FY26, compared with a net operating cash flow deficit of $4.1 million in FY25.

The improvement represented a $4.6 million change compared with the prior corresponding period.

For the fourth quarter of FY26, the company generated positive net operating cash flow of $1.0 million.

Synertec attributed the improvement to better earnings quality, improved working capital management and reduced corporate overheads.

Corporate and management costs declined by $1.5 million during FY26 compared with the previous corresponding period.

Engineering Business Expands Through Infrastructure Opportunities

Synertec’s Engineering segment continued contributing to revenue growth during FY26.

During the fourth quarter, External Engineering revenue reached $5.3 million, increasing 18% compared with $4.5 million in the prior corresponding period.

For FY26, Engineering revenue increased to $20.9 million, representing 15% growth compared with the previous corresponding period.

The company reported a 35% improvement in Engineering contribution margin during FY26.

Synertec also highlighted that more than 88% of Engineering revenue during FY26 came from existing customers.

The Engineering pipeline stood at approximately $174 million as at 30 June 2026, representing a 60% increase compared with the previous corresponding period.

The company stated that growth has been supported by expanding capabilities and industry expertise across sectors including water, transport, energy and resources, life sciences, and defence and manufacturing.

Synertec currently holds panel memberships with nine major critical infrastructure and government-owned corporations.

The company highlighted infrastructure investment plans from organisations such as Melbourne Water and Sydney Water as potential sources of future project opportunities.

Powerhouse Technology Platform Moves Further Into Commercial Phase

Synertec continued progressing the commercialisation of its Powerhouse Technology Platform during FY26.

The company reported that Powerhouse recurring revenue reached $2.5 million during FY26, increasing 23% from $2.0 million in the prior corresponding period.

Synertec stated that Powerhouse has transitioned from a development program into a commercialised product, with reduced research and development expenditure and an established recurring revenue base.

The platform is designed to provide energy solutions across areas including utilities, oil and gas, resources and data centres.

The company highlighted increasing interest in flexible energy solutions as businesses seek alternatives capable of supporting reliability, energy efficiency and supply resilience.

Powerhouse Contracts Expand Across Energy Markets

Synertec provided updates on several Powerhouse projects during the quarter.

The company’s TasNetworks project, involving six Powerhouse Battery Energy Storage System units under an Australian Renewable Energy Agency-funded community battery program, is progressing according to schedule and budget.

Long lead-time items have been ordered, while detailed design activities are nearing completion.

Synertec also confirmed further progress with Santos/GLNG JV operations in Queensland’s Surat Basin.

Following previous agreements, the company secured additional Powerhouse units, bringing the total number of contracted units under the Santos/GLNG JV arrangement to six.

These units are expected to support approximately 20 to 25 Coal Seam Gas wells.

The company also secured a Powerhouse contract with Amplitude Energy to support the Orbost Gas Processing Plant in Victoria.

The project involves front-end engineering and design, construction, commissioning, integration and ongoing operations support.

Synertec stated that the project aims to improve power system reliability, reduce fuel gas consumption and lower maintenance requirements.

The company also continues work with Shell on a Powerhouse trial unit delivered through its overseas supply chain.

Strategic Partnerships Support Future Expansion

Synertec highlighted its strategic collaboration with Hitachi Energy as another component of its growth strategy.

The partnership, announced in May 2026, focuses on jointly pursuing energy storage and hybrid power opportunities across utilities, oil and gas, resources and data centre markets.

Synertec stated that the collaboration combines Hitachi Energy’s global technology capability with the company’s Powerhouse Technology Platform.

Several opportunities have progressed to final submission stages and are awaiting award decisions.

The company reported that Powerhouse currently has sales activity across three of its four strategic market segments, with additional opportunities active in the fourth segment.

Liquidity Position Provides Support for Growth Plans

Synertec ended FY26 with cash at bank of $2.0 million.

The company also had access to $14.8 million in unused financing facilities, resulting in total available funding of $16.8 million.

The company’s secured loan facility with Altor Capital has a total value of $21.0 million, with $6.5 million drawn at the end of the period.

Synertec reported positive operating cash flow during the quarter, meaning estimated quarters of funding available was reported as not applicable under the Appendix 4C requirements.

During the quarter, customer receipts reached $6.7 million, while full-year customer receipts totalled $23.7 million.

About Synertec Corporation

Synertec Corporation is a technology design and development company focused on creating technology solutions for energy, critical infrastructure and advanced manufacturing markets.

The company develops scalable and energy-efficient technologies aimed at supporting the transition toward lower-carbon operations.

Synertec works with commercial partners and customers across infrastructure sectors, with a focus on practical technology applications.

Its portfolio includes the Powerhouse Technology Platform, which supports energy storage and hybrid power applications.

What This Means for Investors?

Synertec’s FY26 fourth quarter update highlights improving financial performance, expanding contracted work and a more visible revenue outlook for FY27.

The company reported positive operating cash flow, higher revenue, improved Engineering margins and continued commercial progress for Powerhouse.

With FY27 revenue guidance pointing toward further growth and contracted work increasing significantly, investor attention is likely to remain focused on project execution, pipeline conversion and continued commercialisation of Synertec’s technology platforms.