Superloop’s Profit Turnaround Hinges on Origin Migration and Uecomm Buy

Strong Financial Turnaround

Superloop Limited has delivered its strongest financial performance to date for the year ended 30 June 2025, reporting a 31.2% increase in revenue to $546.5 million. This growth was underpinned by organic expansion in both the consumer and wholesale segments, alongside the successful migration of approximately 130,000 Origin Energy broadband customers to Superloop’s platform. The company swung to a net profit after tax of $1.2 million, a significant turnaround from a $14.7 million loss in the previous year, supported by improved gross margins and a favourable tax position.

Customer Growth and Market Position

Superloop added over 275,000 net new customers across its segments in FY25, with 63,000 in the consumer segment and 198,000 in wholesale. The wholesale segment’s revenue surged 62.2% to $77.9 million, largely driven by the Origin Energy migration and subsequent customer growth. The company now services more than 731,000 customers, reflecting its growing footprint in the Australian telecommunications market and its role as a leading enabler of challenger internet brands.

Strategic Acquisition of Uecomm

In a strategic move to bolster its infrastructure capabilities, Superloop acquired 100% of Uecomm Pty Ltd in February 2025 for $17.7 million. This acquisition added over 2,100 kilometres of high-capacity fibre assets and access to nearly 2,000 buildings and 50 data centres, enhancing Superloop’s network reach and supporting its Smart Communities pipeline. The integration of Uecomm’s assets is expected to strengthen Superloop’s competitive position in business and wholesale markets.

Executive Remuneration Reflects Performance

Reflecting its strong operational and financial results, Superloop’s Board approved increases in executive remuneration for FY26. Managing Director and CEO Paul Tyler’s fixed remuneration rose by 6.5% to $905,250, with target short-term incentives (STI) increased from 50% to 60% of fixed pay. The Group CFO’s remuneration was similarly adjusted. The company also introduced a deferral mechanism for STI payments and a minimum shareholding requirement to align executive interests with shareholders. Long-term incentive (LTI) plans were updated to include pro-rata vesting and strengthened performance targets.

Sustainability and Risk Management

Superloop continues to embed environmental, social, and governance (ESG) principles into its operations, including energy efficiency upgrades, e-waste reduction, and cybersecurity enhancements. The company formalised ESG oversight at the board level and established a Sustainability Council. Risk management remains a priority, with ongoing focus on market competition, technological change, network resilience, and regulatory compliance.

Outlook and Market Implications

With a net cash position and a robust balance sheet, Superloop is well-positioned to continue its growth trajectory. The company’s strategic investments in infrastructure and technology, combined with its expanding customer base, suggest potential for further market share gains. However, investors will be watching closely how Superloop manages integration risks from acquisitions and navigates the evolving competitive landscape.