Infragreen’s Statutory Loss Widens as It Bets Big on Sustainable Infrastructure
Infragreen Group Limited reported a robust 190% increase in revenue for FY25 following its successful IPO, despite a significant statutory net loss. The company’s strategic acquisitions and expanded ownership stakes underpin a promising outlook in sustainable infrastructure.
- Revenue surged 190% to A$4.955 million in FY25
- Statutory net loss widened to A$17.95 million
- Completed A$40 million IPO, listing on ASX with A$220 million market cap
- Pro forma EBITDA grew 27% to A$18.6 million, forecast A$25 million for FY26
- Acquired 49.99% stake in Merredin Energy and increased holdings in key subsidiaries
Strong Revenue Growth Amidst Statutory Losses
Infragreen Group Limited has delivered a striking 190% increase in revenue for the year ended 30 June 2025, reaching nearly A$5 million. This growth coincides with the company’s successful Initial Public Offering (IPO) and listing on the Australian Securities Exchange (ASX) in June 2025, which raised A$40 million and valued the company at A$220 million. However, despite the revenue surge, Infragreen reported a statutory net loss after tax of A$17.95 million, a 77% increase in losses compared to the previous year.
Strategic Acquisitions and Expanded Ownership
The company’s financial performance reflects its aggressive expansion strategy in the sustainable infrastructure sector. Infragreen increased its ownership stakes in key subsidiaries, including Energybuild Holdings and Pure Environmental, and acquired a 49.99% interest in Merredin Energy, a diesel-fueled peaking power plant in Western Australia. These moves, alongside six bolt-on acquisitions over the past three years, have broadened Infragreen’s footprint across recycling, waste recovery, and clean energy markets in Australia and New Zealand.
Operational Performance and Outlook
On a pro forma basis, which adjusts for IPO-related costs and acquisition expenses, EBITDA rose 27% to A$18.6 million in FY25, with a forecast increase to A$25 million in FY26. The company’s balance sheet is notably strengthened post-IPO, boasting A$13.4 million in cash and zero debt, following the repayment of previous loans and conversion of convertible notes into equity. Management emphasizes operational improvements, organic growth, and disciplined capital allocation as key drivers for future profitability.
Governance and Remuneration
Infragreen’s leadership team, led by Managing Director Declan Sherman and Chair Lindsay Ward, has implemented a remuneration framework linking executive pay to performance metrics including EBITDA growth and shareholder returns. The company granted performance rights and share options to key management personnel to align incentives with long-term value creation. Governance practices adhere to ASX recommendations, with active risk management addressing regulatory compliance, environmental standards, and operational safety.
Sustainability at the Core
Infragreen’s portfolio centers on sustainable infrastructure businesses that contribute to the circular economy and energy transition. The company highlights its role in recycling over 125,000 metric tonnes of waste and metals, saving 85,705 tonnes of CO2 equivalent emissions, and installing 32,211 kW of clean energy capacity. These operational achievements underscore Infragreen’s commitment to environmental stewardship alongside financial growth.
Bottom Line?
Infragreen’s FY25 results set the stage for growth, but investors will watch closely as the company balances expansion with profitability.
Questions in the middle?
- How will Infragreen manage the transition from statutory losses to sustained profitability?
- What impact will the contingent consideration payments for acquisitions have on future cash flows?
- How might evolving environmental regulations affect Infragreen’s operational and financial outlook?
