No Material Earnings Surprise at Worley Despite Share Price Jump
Worley Limited has affirmed its FY25 earnings were consistent with prior guidance and analyst expectations, with only a minor margin outperformance deemed immaterial. The company confirms compliance with ASX continuous disclosure rules following an ASX inquiry.
- FY25 underlying EBITA growth of 10% aligned with guidance
- Underlying EBITA margin slightly exceeded guidance range at 9.2%
- No material divergence from analyst consensus forecasts
- No prior disclosure of variance required under ASX rules
- Post-results share price movement linked to FY26 outlook and market conditions
Worley’s FY25 Earnings in Line with Market Expectations
Worley Limited has responded to an ASX Aware Letter concerning its full year results for the period ended 30 June 2025, confirming that its reported earnings were consistent with the guidance it provided to the market throughout the year. The company targeted low double-digit growth in underlying EBITA and an EBITA margin range of 8.0-8.5%, ultimately delivering 10% growth and a margin of 9.2%, slightly above the upper end of its forecast.
Despite this modest margin outperformance, Worley stated that the difference was not material enough to warrant earlier disclosure or to have a significant impact on its share price. This assessment was supported by a comparison with consensus analyst forecasts, which showed no meaningful divergence from the company’s results.
Market Expectations and Continuous Disclosure Compliance
Worley emphasized that its earnings guidance was the primary benchmark for market expectations, in line with ASX Guidance Note 8. The company monitored forecasts from 11 sell-side analysts and the Visible Alpha consensus, finding that its actual results were well within the expected range. Consequently, Worley concluded that there was no obligation under Listing Rule 3.1 to disclose any variance prior to the official results announcement.
The company also confirmed full compliance with ASX Listing Rules and its continuous disclosure policy. Its Disclosure Committee authorized the response to the ASX inquiry, underscoring Worley’s commitment to transparency and regulatory adherence.
Explaining Post-Results Share Price Movement
Following the release of the FY25 results, Worley’s share price rose from $12.61 to a high of $14.00. The company attributed this movement to several factors, including the FY26 earnings guidance and longer-term outlook statements that supported expectations for continued growth. Additionally, Worley’s operational performance was viewed positively relative to global peers amid ongoing market volatility, which may have bolstered investor confidence.
While the company did not identify any material surprises in its earnings, the market’s reaction suggests investors are optimistic about Worley’s prospects in a challenging global environment.
Bottom Line?
Worley’s steady FY25 performance and clear communication set the stage for close market scrutiny of its FY26 guidance and strategic execution.
Questions in the middle?
- How will Worley’s FY26 guidance influence analyst forecasts and investor sentiment?
- Could the slight margin outperformance signal operational efficiencies sustainable in future periods?
- What impact might global market volatility have on Worley’s upcoming project pipeline and earnings?
