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Highlights

  • Eureka Group reported AUD 22.56 million in revenue for 1H FY25, up 11% YoY, driven by rental growth and asset acquisitions.
  • The company signed an AUD 3.5 million acquisition of Barrier Reef Tourist Park and appointed CEO Simon Owen as Managing Director to lead future growth.
  • The company targets 11% EBITDA growth and 2.6% EPS growth in FY25, supported by a pipeline of acquisitions and asset recycling strategy.

Eureka Group Holdings Limited (ASX:EGH) is an ASX-listed company that offers independent rental accommodation to retirees, who are supported by the Australian Government pension. In the half-year ended 31 December 2024 (1HFY25), the company reported a total revenue of AUD 22.56 million, reflecting an 11% year-on-year (YoY) increase from AUD 20.27 million in 1HFY24. This growth was underpinned by rising resident demand, rental growth, and recent asset acquisitions, which collectively added AUD 4.6 million in portfolio value.

The company’s underlying EBITDA rose 16% YoY to AUD 8.17 million in 1HFY25, compared to AUD 7.06 million in the prior corresponding period, while the EBITDA margin increased to 28.5% YoY, compared to 27.5% in 1HFY24. Statutory NOAT remained stable at AUD 6.4 million due to property revaluations. During the reported period, Eureka announced a final dividend of 0.73 cents per share.

Strategic Moves and Executive Appointment Signal Long-Term Growth

On 2 June 2025, the company signed a binding contract to acquire the Barrier Reef Tourist Park in Cairns for AUD 3.5 million at an initial yield of 9.7%. Settlement is expected before the end of FY25.

On 24 June 2025, Eureka announced the appointment of Mr. Simon Owen as Managing Director, effective 1 July 2025. Mr. Owen, who has served as CEO since September 2024, will now assume dual leadership roles.

Positive Outlook

EGH remains well-positioned to capitalise on high-yielding opportunities that align with its retirement accommodation model. Over the next year, the company aims to divest AUD 25–30 million in non-core or underperforming assets and redeploy funds into more efficient, higher-yielding properties.

The company has guided for approximately 11% underlying EBITDA growth and 2.6% EPS growth in FY25 compared to FY24.

In FY25, a pipeline of acquisitions is underway, supported by capital raised in November 2024 and proceeds from the planned disposal of its Mount Gambier asset.

Share performance of EGH

EGH shares fell 2.68% to close at AUD 0.545 on 9 July 2025. Over the past year, the stock has gained 3.19%, despite a 6.03% loss over the past month and a 7.63% decline in the last week. The stock rose 11.22% over the last three months.

52-week high for EGH is AUD 0.700, reached on 28 October 2024, while the 52-week low is AUD 0.435, recorded on 7 April 2025.

Support and Resistance Summary

Note 1: Past performance is neither an Indicator nor a guarantee of future performance.

Note 2: The reference date for all price data, and currency, is 09 July 2025. The reference data in this report has been partly sourced from EODHD/Others.

 

Technical Indicators Defined:

Support: A level at which the stock prices tend to find support if they are falling, and a downtrend may take a pause backed by demand or buying interest. Support 1 refers to the nearby support level for the stock and if the price breaches the level, then Support 2 may act as the crucial support level for the stock.

Resistance: A level at which the stock prices tend to find resistance when they are rising, and an uptrend may take a pause due to profit booking or selling interest. Resistance 1 refers to the nearby resistance level for the stock and if the price surpasses the level, then Resistance 2 may act as the crucial resistance level for the stock.