GR Engineering Posts $479M Revenue and $34.2M Profit in FY25
GR Engineering Services Limited reported a 12.96% increase in revenue to $479 million for FY25, alongside a 9.7% rise in net profit after tax to $34.2 million. The company declared a fully franked final dividend of 12 cents per share, signaling confidence in its robust project pipeline and financial position.
- Revenue up 12.96% to $479 million in FY25
- Net profit after tax rises 9.71% to $34.2 million
- Delivered major projects including Mungari Future Growth and Kathleen Valley Lithium Backfill
- Subsidiary GR Production Services shows revenue and EBITDA growth despite some project suspensions
- Declared fully franked final dividend of 12 cents per share with 2.5% DRP discount
Strong Financial Performance Amidst Active Project Delivery
GR Engineering Services Limited has reported a solid financial year for FY25, with revenue climbing nearly 13% to $479 million, up from $424 million in FY24. Net profit after tax also increased by 9.7% to $34.2 million, reflecting the company’s effective operational execution and strategic project management.
The company successfully completed several major projects during the year, including the Mungari Future Growth Project, Kathleen Valley Lithium Backfill Project, and the Woodlawn Restart Project. These completions underscore GR Engineering’s capability in delivering complex engineering and construction services within the mining sector.
Robust Order Book and Diverse Project Pipeline
GR Engineering continues to maintain a strong order book, with ongoing work on significant contracts such as the King of the Hills Operations Stage 1 and Stage 2 upgrades, the Eloise Copper Expansion Project, and the Kainantu Gold Project in Papua New Guinea. The company’s diversified portfolio spans mineral processing and energy sectors, providing resilience against sector-specific volatility.
Its wholly owned subsidiary, GR Production Services, contributed positively with increased revenue and EBITDA, despite temporary suspensions and deferrals affecting its process controls businesses, Mipac and Paradigm. Both subsidiaries anticipate revenue and EBITDA growth in FY26, suggesting a recovery trajectory that investors will watch closely.
Financial Position and Dividend Policy
GR Engineering’s balance sheet remains strong, with a cash position of $71 million and negligible external debt. The company paid $33.4 million in fully franked dividends during FY25 and declared a fully franked final dividend of 12 cents per share, payable on 25 September 2025. The Dividend Reinvestment Plan (DRP) offers shareholders the option to reinvest dividends at a 2.5% discount, reflecting management’s commitment to shareholder value.
Commitment to Safety, ESG, and Governance
Beyond financial metrics, GR Engineering emphasizes safety and sustainability, maintaining a Total Reportable Injury Frequency Rate (TRIFR) of 4.74 for FY25 and adhering to rigorous Environmental, Social, and Governance (ESG) standards. The company’s governance framework aligns with ASX Corporate Governance Principles, ensuring transparency and accountability in its operations.
Looking ahead, GR Engineering plans to provide FY26 guidance at its Annual General Meeting in November 2025, offering further clarity on project timing and financial outlook.
Bottom Line?
With a strong finish to FY25 and a healthy project pipeline, GR Engineering is positioned for continued growth, though investors will be keenly awaiting FY26 guidance for insights on subsidiary recovery and project timelines.
Questions in the middle?
- How will the temporary suspensions and deferrals impacting Mipac and Paradigm influence FY26 earnings?
- What is the expected timeline and financial impact of the King of the Hills and Eloise Copper Expansion projects?
- How will the Dividend Reinvestment Plan uptake affect share liquidity and capital structure?
