How Vysarn’s Acquisitions Fuel 40% Revenue Growth and National Expansion
Vysarn Limited reported a robust 40% increase in revenue to $106.5 million for FY2025, driven by key acquisitions and national expansion. The company’s profit after tax rose 34%, underscoring its growing footprint in Australia’s water infrastructure sector.
- 40% revenue growth to $106.5 million
- 34% increase in net profit after tax to $10.7 million
- Acquisitions of Waste Water Services and CMP Consulting expand national presence
- No dividends declared amid reinvestment and integration focus
- Strengthened executive team and enhanced business systems
Strong Financial Performance
Vysarn Limited has delivered a compelling financial performance for the year ended 30 June 2025, with revenues climbing 40% to $106.5 million and net profit after tax increasing 34% to $10.7 million. This growth reflects the company’s successful execution of its strategy to become Australia’s leading water infrastructure and services provider.
Strategic Acquisitions Bolster National Footprint
During the year, Vysarn completed the acquisitions of Waste Water Services Pty Ltd (WWS) and CMP Consulting Group Pty Ltd (CMP). These transactions have significantly expanded Vysarn’s capabilities and geographic reach, particularly establishing a strong presence on Australia’s east coast through CMP’s Victorian operations. The acquisitions align with Vysarn’s vertical integration approach, enhancing its service offerings across industrial, technology, advisory, and infrastructure segments.
Operational Highlights and Sector Diversification
The Group’s diversified operations span hydrogeological drilling, test pumping, managed aquifer recharge technology, wastewater treatment, and water consultancy. Pentium Hydro continues to serve Tier 1 iron ore miners, while Project Engineering and WWS have seen growing demand in resources and regional utilities. CMP’s consultancy services further broaden Vysarn’s advisory capabilities, particularly in urban water and mine water sectors.
Leadership and Governance Enhancements
Vysarn strengthened its executive management team with the appointments of Shane McSweeney and Steve Dropulich as Executive Directors in February 2025. These additions bring extensive experience in water sector advisory and infrastructure services, supporting the company’s next growth phase. The Board also enhanced governance structures, including the establishment of a Remuneration and Nomination Committee.
Financial Position and Capital Management
The company’s balance sheet remains robust, with net assets rising to $99.4 million and cash reserves increasing to nearly $13 million. Vysarn did not declare dividends, opting instead to reinvest earnings to support integration and growth initiatives. The company’s audited financial report was issued without qualification, reflecting sound financial controls and transparency.
Future Outlook and Partnerships
Post-reporting, CMP entered a Heads of Agreement with US-based Hazen and Sawyer D.P.C. to collaborate on water infrastructure projects in Australia and potentially the United States. This partnership signals Vysarn’s ambition to leverage its expanded consultancy capabilities internationally. The company remains focused on pursuing new contracts across resources, urban development, government, and utilities sectors, with a strategic emphasis on sustainable water management solutions.
Bottom Line?
Vysarn’s strong FY2025 results and strategic acquisitions position it well for national growth, but integration execution and deferred consideration milestones will be key to watch.
Questions in the middle?
- How will Vysarn manage integration risks from its recent acquisitions?
- What are the prospects for CMP’s partnership with Hazen to generate international revenue?
- How might deferred consideration shares impact future earnings and shareholder dilution?
