Highlights

  • SKS reported higher tender activity and increased work on hand across FY25.
  • The company announced the acquisition of Delta Elcom to expand into NSW.
  • FY26 revenue is projected at about AUD 320M with a 9% PBT margin.

SKS Technologies (ASX:SKS) used its 2025 Annual General Meeting to outline a year of operational expansion, rising activity levels and increased project execution across core markets. The business highlighted its objective of strengthening an advanced operating base to support planned organic growth, with a focus on expanding capabilities and widening its customer reach.

Tender activity rose from about AUD 354M in August 2024 to roughly AUD 517M in August 2025. Work on hand also increased from AUD 96M at FY24-end to AUD 200M by FY25-end. The company attributed this uplift to higher project conversion, particularly in data centre developments, as well as ongoing demand across corporate, government, education and healthcare sectors.

SKS additionally reported higher working capital, which increased from AUD 5.12M in FY24 to AUD 16.02M in FY25, and expanded bank facilities from AUD 21M to AUD 34M. Revenue from traditional operations grew 15.2%, reaching about AUD 121M for the period.

Pursuing Growth in Data Centres and Strategic Markets

The AGM addressed SKS Technologies’ continued pursuit of opportunities in Australia’s data centre sector. Since July 2024, the business has announced about AUD 382M in related contracts, including multiple Melbourne developments and stage two of the Darwin facility for NextDC.

A key update was the recently announced acquisition of Delta Elcom, a Sydney-based electrical and communications contractor. The AUD 13.75M transaction—AUD 11.75M in cash and AUD 2M in scrip, with an additional earnout capped at AUD 1.25M—aims to accelerate SKS’s entry into the Sydney market. Completion is expected in January 2026.

The company also disclosed a new Melbourne data centre project valued at approximately AUD 130M, covering a full suite of critical electrical systems with completion expected in early 2027.

Consolidation, Systems Development and Financial Metrics

Under its consolidation strategy, SKS continued upgrading IT systems, cost-tracking tools, project management processes and safety frameworks. FY25 also saw expansion of specialised teams, ongoing development of the induction program and equipment upgrades to minimise operator risk.

Financial results showed revenue growth of 92% year-on-year, with EBITDA up 161.2% and NPAT up 111.8%. Cash from operations rose fourfold, while net cash flows increased 8.7 times compared with FY24. The company continued operating with no debt.

FY26 Outlook

SKS Technologies expects FY26 revenue of about AUD 320M and a pre-tax profit of AUD 28.8M, representing a 9% PBT margin. The company cited its expanding NSW presence, growing order book and continued activity across both traditional sectors and the data centre market as contributors to expected growth for the upcoming period.

Share Price Snapshot

SKS was trading 5.13% higher at AUD 3.480per share as of 20 November 2025.