Key Highlights

  • DUG Technology (ASX:DUG) traded at $1.485, down 0.34%, on Volume of 207,080 shares during the 26 October 2026 session.
  • FY26 Revenue was US$86.4 million, up 38%, and normalised EBITDA was US$27.4 million, up 78%.
  • Net profit after tax was US$2.6 million against a US$4.4 million loss, with Operating Cash Flow of US$20.9 million.

DUG Technology Ltd (ASX:DUG) traded at $1.485, down 0.34%, on volume of 207,080 shares during the Trading session on 26 October 2026. The volume was unusual, meaning at least 50% above the stock's Average Daily Volume over the last month. DUG supplies seismic imaging services, software, high performance computing and multi-client data. Its audited FY26 results were released on 27 August 2026.

FY26 Results Released on 27 August 2026

DUG reported revenue from customers of US$86.4 million, up 38%. Services revenue was US$63.8 million, up 23%, software revenue US$11.1 million, up 33%, and high performance computing as a service revenue US$11.5 million, up 383%. Multi-client revenue was US$4.1 million, up from US$2.4 million, with US$2.6 million delivered in the fourth quarter.

Normalised EBITDA was US$27.4 million, a 32% Margin against 25%, and reported EBITDA was US$25.9 million. Operating profit rose to US$12.2 million from US$2.6 million. Profit before tax was US$8.6 million against a loss of US$1.4 million, and net profit after tax was US$2.6 million against a loss of US$4.4 million.

Cash Flow, Costs and Order Book

Operating cash flow was US$20.9 million, up from US$5.6 million. Employee benefits were US$39.3 million, up 23%, other expenses US$25.7 million, up 38%, Depreciation and Amortisation US$13.7 million, and finance expense US$3.6 million. The tax expense doubled to US$5.9 million.

The services order book was US$33.6 million at 30 June 2026. The company notes it covers contracted services only and excludes contracted software and high performance computing revenue.

The segment mix shows how the company's revenue has shifted: services made up about 74% of FY26 revenue, software about 13% and high performance computing as a service about 13%, compared with about 83%, 13% and 4% respectively in FY25. Other income rose 30% to US$4.6 million, taking total income to US$91.0 million, up 38%. EBITDA of US$25.9 million was 68% higher, and the normalised figure adds back US$1.5 million of items the company describes in its notes.

Business Model and Outlook Comments

DUG describes four ways of monetising its technology: services, software, high performance computing and multi-client data. Its managing director said exploration budgets are rising, oil prices are higher and the industry is busier than in recent years, and described a large pipeline of opportunities entering FY27.

About DUG Technology

The company's intellectual property in seismic imaging sits behind each revenue line. Its results use non-IFRS measures such as normalised EBITDA, which the release reconciles.

The company states that all four revenue lines sell the same underlying technology in different ways. Multi-client revenue, which comes from licensing seismic data libraries, rose to US$4.1 million, with most delivered in the fourth quarter, and the company reports a growing multi-client library.

Risks

Revenue depends on exploration spending, and the tax expense increased sharply relative to profit before tax. The order book covers services only, and results include non-IFRS adjustments.

Catalysts on Investors' Radar

Items include conversion of the services order book, growth in high performance computing and software contracts and further multi-client sales.

Final Perspective

DUG traded on unusually high volume with a near-flat price on 26 October. Its latest report, dated 27 August, shows revenue growth, a return to profit and higher cash generation.