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Highlights

  • Lycopodium reported a 6.5% YoY increase in FY24 revenue, reaching AUD 348.8 million
  • The company acquired a 60% interest in SAXUM, an engineering firm in October 2024
  • In FY25, the company expects to maintain significant financial performance

Australia-based Lycopodium Limited (ASX:LYL) offers integrated solutions in construction, asset management and engineering. The company manages multidisciplinary, complex projects by offering advisory services and feasibility studies across the industrial processes, rail infrastructure and resources sectors.

In the financial year 2024 (FY24), the company recorded a 6.50% YoY increase in revenue from continuing operations, reaching AUD 348.8 million. This surge was underpinned by increased revenue from customer contracts, other income, and interest income. EBITDA during the period reached AUD 77.1 million, while net profit increased by 8.41% YoY to AUD 50.71 million.

Recently, the company executed an agreement to acquire 60% interest in SAXUM, an engineering firm.  The contract includes an option to purchase the rest 40% share capital in a subsequent year.

Growth prospects for construction sector

According to the data released by the Australian Bureau of Statistics (ABS) on 8 November 2024, the construction industry recorded 3.7% increase in business turnover in seasonally adjusted terms in September.

Outlook

In long term, the company expects demand factors to remain robust on the back of the resources, domestic manufacturing and railway construction sectors.

The shift of the global energy sector from fossil fuels to zero-carbon sources marks a time of innovation and opportunity in developing new systems that operate on low-carbon energy sources while maximising waste recovery and reuse.

In FY25, the company expects to maintain significant financial performance. 

Share performance of LYL

LYL shares closed 1.54% lower at AUD 11.50 apiece on 11 November 2024. In the last one year, LYL’s share price has increased by 18.43% and in the last three months, it has dropped by almost 15.07%.

52-week high of LYL is AUD 14.30, recorded on 31 July 2024, while 52-week low is AUD 9.51, recorded on 13 November 2023.

LYL Daily Technical Chart, Source: REFINITIV

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 11 November 2024. The reference data in this report has been partly sourced from REFINITIV.