Monadelphous Secures $2.5B in Contracts, Posts $158M Profit in FY25
Monadelphous Group Limited reported a robust FY25 with $2.27 billion revenue and $158 million net profit, underpinned by strong contract wins and growth in energy and resources sectors.
- FY25 revenue rises 12% to $2.27 billion
- Net profit after tax climbs to $158.2 million
- Secured $2.5 billion in new contracts and extensions
- Record workforce and improved safety metrics
- Progress on sustainability including Indigenous participation and net zero goals
Strong Financial Performance Amid Sector Demand
Monadelphous Group Limited has delivered a solid full-year result for FY25, reporting revenue of $2.27 billion, a 12% increase over the previous year. Net profit after tax rose to $158.2 million, reflecting improved operating margins and sustained demand across its core engineering construction and maintenance services divisions. Earnings per share increased to 34.6 cents, signaling healthy returns for shareholders.
The company’s performance was buoyed by robust activity in the energy and resources sectors, particularly in maintenance services and construction projects related to iron ore, energy transition metals, and renewable energy infrastructure. This diversified exposure has helped Monadelphous navigate market fluctuations and capitalize on growth opportunities.
Contract Wins Cement Market Position
During the year, Monadelphous secured $2.5 billion in new contracts and extensions, reinforcing its strong market position. Key wins include long-term maintenance contracts with major energy players such as Shell and Woodside, as well as significant construction projects for BHP, Rio Tinto, and Chevron Australia. The company also expanded its footprint in renewable energy with projects like the CS Energy Lotus Creek Wind Farm and Tilt Renewables’ Latrobe Valley battery storage system.
These contract awards underscore Monadelphous’ ability to deliver complex engineering solutions across a broad range of commodities and energy sources, positioning it well for the ongoing energy transition and infrastructure development in Australia and beyond.
Operational Highlights and Sustainability Progress
Monadelphous reported a record workforce size, reflecting strong recruitment and retention efforts amid a tight labor market. Safety performance improved, supported by targeted campaigns and a commitment to embedding a safety-first culture. The company’s “Respect in Every Step” initiative highlights its focus on workplace culture and employee wellbeing.
On the sustainability front, Monadelphous advanced its Indigenous workforce participation, exceeding targets with a 17% increase, and significantly boosted Indigenous business spend to $27 million. The company also progressed its Net Zero by 2050 initiatives and supported customer decarbonisation efforts, aligning with broader industry trends toward environmental responsibility.
Outlook, Positioned for Growth Amid Energy Transition
Looking ahead, Monadelphous anticipates continued strong demand driven by resource production rates and substantial capital investment in energy transition metals and renewable energy projects. The company highlights a robust pipeline of committed work and ongoing opportunities in maintenance and construction services. Skilled labor shortages remain a challenge, but Monadelphous’ focus on capability development and targeted acquisitions aims to sustain growth momentum into FY26 and beyond.
Overall, Monadelphous appears well positioned to benefit from the evolving energy landscape and infrastructure needs, balancing traditional resource sector work with emerging clean energy projects.
Bottom Line?
Monadelphous’ FY25 results and contract wins set a solid foundation, but execution on energy transition projects and labor challenges will shape its next phase.
Questions in the middle?
- How will Monadelphous manage skilled labor shortages amid growing demand?
- What impact will energy transition projects have on margins compared to traditional sectors?
- Which targeted acquisitions are likely to accelerate growth in FY26?