Key highlights

  • Cosol Ltd (ASX:COS) shares touched a 52-week low during the 19 October 2026 session and closed at $0.155, down 8.82%.
  • The 19 August 2026 FY26 results announcement reports Revenue of $98.6 million, down 15.6%, and a statutory net loss of $4.02 million.
  • Underlying EBITDA was about $9.7 million, with $6.3 million in the second half, and an interim CEO was appointed.

Cosol Ltd (ASX:COS), also styled COSOL, is a Brisbane-based provider of technology-enabled asset management solutions for industries including resources, utilities, infrastructure and defence. On 19 October 2026, the shares touched a 52-week low during the Trading session and closed at $0.155, down 8.82%. In an ASX announcement dated 19 August 2026, the company released its FY26 results, announced executive changes and described new contracts.

FY26 results

Revenue was $98.6 million, down 15.6%. Underlying EBITDA was about $9.7 million (the highlights list $9.8 million), with $6.3 million in the second half compared with $3.4 million in the first. Operating Margin was 31.2% in the second half against 28.8% in the first. The company attributes the second-half rebound to a reset of its cost base and says revenue stabilised in that half but was lower for the year.

Goodwill impairments of $6.5 million were recorded on earlier acquisitions, relating to asset management services and Australian consulting, leaving a statutory net loss of $4.02 million. Cash was $5.3 million with cash conversion of 108%, and net Debt fell to $20 million. IBM accounted for 25% of revenue, up from zero in FY23, and is expected to reach about 45% in FY27, while data and digital consulting margin was 37.9% in the second half, 340 basis points higher than the first.

Executive changes

The managing director and chief executive stepped down after 10 years and will take a new role as executive director for strategy and solutions. The chief operating officer and chief financial officer was appointed interim CEO, starting on 18 August 2026, and the chairman became executive chairman for the transition. The board has begun a process to appoint a permanent CEO. The release says earlier reporting periods had been unacceptable to the board, management and shareholders.

New contracts

A consortium building a major new Australian rail project engaged the company to provide digital asset management services across the entire operation. The initial term is five years, through the end of construction in 2031, with a value of $12.8 million and an option for operating-phase maintenance support with terms to be settled later. The company already provides similar services to Metro Trains Sydney.

In Canada, the pension fund La Caisse has engaged the company to improve digital asset management across the REM light rail network in Montreal, which has 23 stations. The multi-year contract has started and includes a full digital twin of the network.

The release provides more on how management describes the year. It says the combined board and management team has made further operational changes to hold the profitability rebound, and that the focus for FY27 is a fresh sales push and a redesign of what the company offers around AI and industrial mathematics. The chairman will remain executive chairman until a permanent CEO is appointed, and the departing chief executive will concentrate on executing the solutions strategy.

On contracts, the company says both rail wins reflect its strategy of securing longer-term, higher-margin contracts. La Caisse, which commissioned the Montreal work, has invested more than $15 billion in transportation and infrastructure companies in Australia, including existing COSOL customers TransGrid and Port of Brisbane, according to the release.

Sector backdrop

The S&P/ASX 200 (ASX: XJO) stood at 8,845.70 at 4:25 pm (GMT+11) on 19 October 2026, up 0.44%, or 39.00 points, for the day. On the sector map, Information Technology was the largest decliner, down 1.35%. Other segments were mixed: Energy rose 2.16%, Industrials 0.93%, Financials 0.85%, Utilities 0.38% and Consumer Staples 0.25%, while A-REIT fell 0.34%, Consumer Discretionary 0.18%, Telecommunication Services 0.16% and Health Care 0.13%.

Cosol’s announcement is dated 19 August 2026, two months before the 19 October session, and it does not discuss market movements.

Risks shareholders should weigh

Revenue fell 15.6% for the year and the company reported a statutory loss. The release states that growth in FY27 is expected from recent contracts, but those outcomes are not assured. Leadership is in a transition, with an interim CEO and an executive chairman until a permanent appointment is made.

A growing share of US revenue from one customer, IBM, creates concentration, and net debt remains $20 million against cash of $5.3 million. The Impairment charges show earlier acquisitions have not performed as carried. The rail contract’s operating-phase option has no agreed terms.

What’s next

The company says FY27 will focus on revenue growth through a renewed sales push and a redesign of its offering around AI and industrial mathematics. A permanent CEO search is under way, and the rail and REM contracts will continue.