Highlights

  • EGH acquired Benalla Tourist Park, expanding its regional property portfolio.
  • The company has reported FY25 underlying EBITDA of AUD 16.8 million, maintaining steady margins.
  • EGH projects FY26 underlying EPS between 3.37 and 3.44 cents per share.

Eureka Group Holdings Limited (ASX:EGH) provides independent rental housing designed for retirees, primarily those receiving support through the Australian Government pension. The company has been listed on the Australian Securities Exchange since 1 July 2004.

Financial Update

For the financial year 2025 (FY25), total revenue reached AUD 45.8 million, up 11% YoY from FY24. FY25 performance was driven by consistent resident demand, rental growth, and full-year contributions from recent acquisitions and developments, including 8% like-for-like growth. The underlying EBITDA margin remained steady at 36.8% and is expected to improve with scale and future acquisitions. Statutory NPAT increased 52% YoY due to higher property revaluation gains. Maintainable earnings supported a portfolio valuation increase to AUD 18.4 million in FY25, compared with AUD 14.1 million in FY24, while cap rates remained stable.

Underlying profit before tax for the period rose to AUD 12.0 million, up by 31% YoY from AUD 9.1 million in FY24, and cash and cash equivalents were AUD 2.8 million, up by 21.7% YoY from AUD 2.3 million in the prior year.

Business Update

The company  announced that it converted AUD 180 million of loan facilities with Westpac and NAB into social loans aligned with Social Loan Principles.

On the 11 November 2025, the company agreed to acquire the Benalla Tourist Park, a mixed-use community located around 200 km northeast of Melbourne. The asset was secured for AUD 11.7 million at an initial yield of 8.0%, excluding transaction costs.

Key Positives and Negatives

The company’s net tangible assets per share increased around 14% YoY in FY25, while underlying EBITDA rose approximately 11% YoY. However, the asset turnover ratio eased to 0.15x in FY25 from 0.16x in FY24. Total current assets also declined to AUD 5.8 million in FY25 from AUD 14.9 million a FY24.

Business Outlook

The rental market in Benalla has a vacancy rate of 1.3% and rental growth of 8.5% per annum since 2016. Eureka acquired Benalla Tourist Park, which provides yield, redevelopment potential, and is within its regional footprint alongside Shepparton and Albury. For FY26, the company plans to increase occupancy by focusing on net resident growth in communities with lower performance and implement rental increases of 4–6%. It also intends to complete 4–6 acquisitions, divest non-core assets, and exit low-margin management contracts. Capital partnership initiatives, including new funds, joint ventures, and co-investment structures, are part of the operational plan. The company projects underlying EPS of 3.37–3.44 cents per share and underlying EBITDA of AUD 20.2–21.1 million.

Share performance of EGH

EGH shares closed 1.85% lower at AUD 0.490 per share on 2 December 2025. Over the past year, the stock has declined 16.94%, with a 16.23% decrease over six months and a 10.90% fall over nine months. The three-month performance shows a negative trend, declining 4.85%, while the stock is down 7.54% over the past month.
The 52-week high for EGH is AUD 0.620, reached on 15 January 2025, and 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 02 December 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.