DXN Accelerates Growth with 49% Revenue Surge and New DCaaS Venture
DXN Limited reported a robust 49% revenue increase to $16 million in FY25, driven by modular data centre projects and the launch of a new Data Centre as a Service division. Key contracts with blue-chip clients and a strong project pipeline position the company for further expansion in the Asia-Pacific market.
- 49% revenue growth to $16 million in FY25
- Launch of Data Centre as a Service (DCaaS) division with $3.6 million contract
- Key contracts secured with Globalstar, DP World Australia, and others
- Successful $6.5 million capital raise and $5 million debt refinancing
- Backlog of $12 million and 71 projects in pipeline as of July 2025
Strong Revenue Growth and Market Momentum
DXN Limited has delivered a standout financial performance for the year ending June 2025, posting a 49% increase in revenue to $16 million. This growth aligns with the company’s strategic focus on prefabricated modular data centres, particularly in edge computing and AI infrastructure sectors. The surge was largely driven by a 61% increase in modular division revenue, underscoring the rising demand for scalable, cost-effective data centre solutions.
Despite achieving a positive EBITDA of $5,769, the company reported a net loss before tax of $2.1 million, reflecting ongoing investments and restructuring costs. Adjusted EBITDA, excluding non-operating items, stood at a healthier $814,526, indicating operational improvements amid growth.
Strategic Expansion into Data Centre as a Service
In a significant strategic move, DXN launched its Data Centre as a Service (DCaaS) division in the final quarter of FY25. This capital-light model offers design, engineering, and deployment services with recurring revenue potential. The division’s first contract, valued at $3.6 million with a US-based global satellite provider, marks a promising start and signals DXN’s ambition to diversify revenue streams beyond traditional modular builds.
Key Contract Wins and Asset Strengthening
DXN secured several high-profile contracts during FY25, including a $4.6 million deal with Globalstar for modular data centres in Hawaii and a $2 million contract with DP World Australia for facilities at Port Botany. These wins highlight DXN’s growing footprint among blue-chip clients across telecommunications, logistics, and mining sectors.
The company also completed the acquisition of the SDC Darwin property for $2.1 million, independently valued at $10 million, bolstering its asset base. Additionally, DXN refinanced its debt with a $5 million facility from iPartners Pty Ltd, enabling repayment of previous loans and generating annual cash flow savings of approximately $300,000.
Robust Backlog and Growth Pipeline
Entering FY26, DXN boasts a $12 million order backlog and a healthy pipeline of 71 identified projects, with a notable portion in advanced negotiation stages. This strong foundation positions the company well to capitalize on accelerating demand for modular data centres across the Asia-Pacific region, particularly in satellite, cable telecommunications, and hyperscale computing infrastructure.
Managing Director Shalini Lagrutta emphasised the company’s momentum and strategic positioning, noting the expanding adoption of DXN’s solutions in edge AI and subsea cable deployments. The company’s focus on operational efficiency and market expansion aims to drive sustainable growth and enhance shareholder value.
Bottom Line?
DXN’s FY25 results set the stage for a pivotal year ahead as it leverages new service models and a robust project pipeline to deepen its market presence.
Questions in the middle?
- How will the DCaaS division scale and impact DXN’s profitability in FY26 and beyond?
- What is the potential for geographical expansion beyond Asia-Pacific in the near term?
- How will DXN manage the transition from project-based revenue to recurring income streams?
