Key Highlights

  • Underlying Revenue was A$3,463 million, down 0.8% for the year to 30 June 2026.
  • Underlying EBIT(A) rose 2% to a record A$340 million, lifting the Margin to 9.8%.
  • Underlying NPAT(A) rose 8% to A$192 million, and underlying EPS rose 7% to 20.5 cents.
  • Statutory NPAT fell 68% to A$44 million after A$148 million of non-underlying items.

What is Perenti Limited (ASX:PRN) actually changing about its business? Based on its FY26 results presentation of 24 August 2026, the Mining services group is shifting its centre of gravity from West African surface mining towards Australia and North America, selling some assets, and still reporting record underlying earnings. The reshaping is being driven in part by Ghana's changes to localisation laws for surface mining, which are ending Perenti's African Mining Services (AMS) operations in that country.

The headline numbers for FY26

For the year ended 30 June 2026, Perenti reported underlying revenue of A$3,463 million, down 0.8% on FY25's A$3,490 million. Underlying EBITDA was A$652 million, down 2%, but underlying EBIT(A), which excludes Amortisation of customer-related intangibles, rose 2% to a record A$340 million, lifting the margin to 9.8% from 9.6%. Underlying NPAT(A) was A$192 million, up 8%, and underlying Earnings per share rose 7% to 20.5 cents.

Statutory results were far weaker. Reported NPAT fell 68% to A$44 million, and statutory EPS was 2.0 cents.

Cash flow, Balance Sheet and dividends

Adjusted free Cash Flow was A$182 million, ahead of the company's guidance of more than A$170 million. Net Debt at 30 June 2026 was A$271 million against A$305 million a year earlier, Leverage was 0.4 times, gearing 12.8% and Liquidity A$911 million. A A$650 million syndicated Facility was refinanced in October 2025. The company noted two late client receipts totalling A$50.9 million that arrived on 1 and 2 July 2026, just after year end.

The final Dividend was 4.5 cents, taking the FY26 total to 7.75 cents, up 7%. The Payout Ratio of 37% sits within the company's stated policy of 30% to 40% of underlying NPAT(A).

How Perenti earns its revenue

Perenti operates three segments. Contract Mining generated A$2,431 million of revenue (70% of the group), A$495 million of EBITDA and A$291 million of EBIT(A), at a 12.0% margin. Drilling Services contributed A$843 million of revenue (24%) and A$85 million of EBIT(A), a 10.0% margin. Mining and Technology Services is the smallest at A$190 million of revenue and an EBIT(A) margin of 6.0%.

Contract mining is typically multi-year, with customers paying for tonnes moved or services delivered, so revenue visibility depends on work in hand. At 30 June 2026 that stood at A$6.2 billion: Australia A$3.3 billion, West Africa A$1.8 billion, Southern Africa A$0.6 billion and North America A$0.5 billion. The identified pipeline was A$20.0 billion, including A$6.4 billion in North America and A$8.6 billion in Australia. Recent wins include the Bellevue contract in Australia (about A$850 million), Fourmile in North America (about A$275 million) and a five-year, A$92 million King of the Hills drilling services contract awarded in August 2026.

The portfolio reshuffle

The most consequential theme is recycling. Perenti has agreed to sell BTP Group for A$100 million, classified as held for sale at 30 June 2026. It announced a A$30 million to A$40 million Iduapriem fleet sale on 20 July 2026, and expects A$10 million to A$15 million from selling idle AMS surface fleet in Ghana during FY27. Total recycling is A$140 million to A$155 million.

FY27 guidance and what it implies

Perenti guided for FY27 revenue of A$3.45 billion to A$3.65 billion and EBIT(A) of A$335 million to A$355 million, excluding BTP after its sale. Net Capital Expenditure is expected to be about A$370 million, which includes commitments for Bellevue and Fourmile. As in previous years, earnings are expected to be weighted towards the second half. These are management guidance ranges, not outcomes.

The midpoint of EBIT(A) guidance is only modestly above FY26's A$340 million, so growth in the coming year rests on mobilising new contracts efficiently while absorbing the loss of West African surface work.

Sector context

Contract miners compete with groups such as Macmahon, NRW and larger global operators, and with miners who run their own fleets. Winning work depends on safety record, equipment availability and the ability to staff remote sites. Commodity prices influence Demand indirectly, as higher gold and copper prices tend to support mine development and drilling. Perenti's gold exposure and African footprint distinguish it from peers more focused on domestic iron ore and coal.

The available information does not specify a specific cause, and the date was not shown, so it is cited here only as context.

Risks and what to monitor

Ghana and West Africa. Localisation laws are ending AMS operations, and the idle fleet carries Impairment and resale risk. Execution of the fleet sales is worth tracking.

Cost inflation. Higher mobilisation costs and fuel-sensitive inputs weighed on second-half Drilling Services margins.

Capital intensity. About A$370 million of net capex in FY27 leaves less room if projects start late.

Concentration shift. Revenue is moving towards Australia and North America, so project delays at a few large contracts matter more.

Second-half weighting. Guidance depends on delivering a more encouraging second half.

Upcoming items include the BTP sale completion, first-half FY27 results (typically February), the Ghana fleet disposals and progress mobilising Bellevue and Fourmile.