Verbrec (ASX:VBC) Secures Water Contracts Across Australia and New Zealand: Where Does the Work Sit?

Sonal Goyal

20 October 2026 01:25 PM AEDT

Verbrec (ASX:VBC) Secures Water Contracts Across Australia and New Zealand: Where Does the Work Sit?

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Key Highlights

Verbrec reports about $22 million of water infrastructure awards since the start of FY2027.
The Levin Wastewater Treatment Plant headworks contract is valued at about $12.3 million (NZ$15.1 million).
Verbrec and Alliance Automation received a further $9.6 million of electrical, control and automation awards.
Water-sector revenue increased from 7% of group revenue in FY2025 to 21% in FY2026.

Verbrec Limited (ASX:VBC) announced on 20 October 2026 a business update summarising recent contract awards in the water and wastewater sector. The awards total approximately $22 million since the start of the 2027 financial year and span projects in New Zealand, South Australia, Queensland, New South Wales and Victoria.

Levin wastewater headworks

Verbrec has been selected by Horowhenua District Council as principal contractor for the design and construction of new headworks at the Levin Wastewater Treatment Plant in New Zealand. The contract has a lump sum value of NZ$15.1 million, approximately A$12.3 million, excluding GST, under New Zealand's standard conditions for design and construct works. The works are scheduled for completion within about 16 months of award. The scope covers design across process, mechanical, electrical, instrumentation, civil and structural disciplines, equipment supply and installation, and the headworks structure, including channels, grit chambers and lift pumps.

Automation and electrical awards

Verbrec and its subsidiary Alliance Automation have been awarded an additional $9.6 million of electrical, control system and automation work with water utilities since the start of the financial year, primarily in South Australia and Queensland. Combined with the Levin contract, the projects bring awards to about $22 million, and the work will span the remainder of FY2027 and extend into FY2028.

Alliance Automation and water exposure

Verbrec acquired Alliance Automation in December 2025, which brought customer relationships with most major water utilities and authorities across Australia. Water sector revenue increased from 7% of group revenue in FY2025 to 21% in FY2026. The company says it has invested in dedicated resources for the sector and describes it as a key growth area.

Relationship to guidance

The company states that its work-in-hand position for the remainder of the financial year is in line with management's expectations and consistent with the FY2027 revenue guidance provided to the ASX on 27 July 2026. The announcement does not revise that guidance or provide a margin estimate for the awarded work.

Company services

Verbrec describes itself as an engineering and digital transformation business offering integrated services across the life cycle of an asset. In water and wastewater it provides engineering, procurement, construction, commissioning, operations and asset management services, with Alliance Automation providing industrial automation, control systems, electrical engineering and operational technology.

Geographic spread of the awards

The awards span New Zealand, South Australia, Queensland, New South Wales and Victoria. The additional $9.6 million of awards are with water utilities primarily in South Australia and Queensland and cover electrical, control system and automation work, and the projects will run through the remainder of FY2027 and into FY2028.

Alliance Automation acquisition

The December 2025 acquisition of Alliance Automation brought customer relationships with most major water utilities and authorities across Australia, and expanded the services offered to include digital transformation and 24/7 operational support. The company states that it has extended its water industry role to New Zealand.

Summary of the awards

The update combines a NZ$15.1 million lump sum headworks contract with $9.6 million of automation awards, taking recent water-sector awards to about $22 million, with delivery running into FY2028 and guidance unchanged.

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