Stealth Group Holdings has reported its strongest financial year yet, with record sales and profits, while announcing a major acquisition that promises to reshape its market footprint.
- Record FY2025 sales up 27.6% to $145.1 million
- Net profit after tax surges 130% to $3.1 million
- Successful integration of Force Technology International
- Launch of The Tool Hire Company and exclusive brand expansions
- Acquisition of Hardware & Building Traders (HBT) announced
A Year of Transformation and Growth
Stealth Group Holdings Ltd has delivered a landmark financial performance for the fiscal year 2025, marking a pivotal chapter in its corporate evolution. The company’s latest results reveal a 27.6% increase in sales, reaching $145.1 million, alongside a 62% jump in EBITDA to $9.9 million and a striking 130% surge in net profit after tax to $3.1 million. These figures underscore the success of Stealth’s strategic initiatives and operational discipline.
Central to this growth was the full-year integration of Force Technology International, which has become the cornerstone of Stealth’s newly formed Consumer Division. This acquisition not only broadened the company’s product portfolio but also enhanced its distribution capabilities across Australia.
Strategic Moves Fueling Momentum
Stealth’s FY2025 was marked by several key milestones beyond financial metrics. The company raised $7.5 million in capital at $0.60 per share without diluting shareholder value, fueling investments in property upgrades, digital commerce expansion, and technology enhancements. Notably, the launch of The Tool Hire Company signaled Stealth’s entry into the equipment rental sector, leveraging a scalable model with promising returns.
Exclusive brand rights acquisitions, including CASETiFY, Ember, CAT®, and others, have bolstered retail penetration and margin expansion, positioning Stealth as a formidable player in both industrial and consumer markets. The company’s omnichannel approach; spanning wholesale, retail, e-commerce, and onsite solutions; continues to underpin its competitive edge.
A Game-Changing Acquisition on the Horizon
Perhaps the most significant announcement came with the acquisition of Hardware & Building Traders (HBT), a move that promises to substantially enhance Stealth’s scale, buying power, and growth potential. This acquisition is expected to strengthen the company’s position in Australia’s independent hardware and industrial sector, offering synergies across sales and margin improvement.
While detailed financial projections for FY2028 are yet to be disclosed, the company has signaled optimism with updated earnings guidance to be provided by CEO Michael Arnold. The acquisition, combined with ongoing investments in digital and physical infrastructure, suggests a robust growth trajectory.
Investor Returns and Outlook
Stealth’s disciplined cash flow management has not only reduced net debt by 37% to $6.8 million; the lowest in five years; but also propelled its share price from $0.21 to $0.73, delivering a total shareholder return of 252%. This performance reflects strong market confidence and effective execution of the company’s strategic vision.
Looking ahead, Stealth’s focus on expanding digital commerce channels, enhancing private-label product ranges, and leveraging exclusive brand partnerships will be critical to sustaining momentum. The company’s integrated national infrastructure and diverse sales channels provide a solid foundation for scaling operations and capturing new market opportunities.
Bottom Line?
Stealth’s record-breaking year and strategic acquisitions set the stage for a transformative growth phase, but execution risks remain as the company integrates new assets and scales operations.
Questions in the middle?
- How will the Hardware & Building Traders acquisition impact Stealth’s margin profile and operational costs?
- What are the specific FY2028 earnings projections following the recent acquisition and investments?
- How effectively can Stealth scale its new equipment rental business amid competitive pressures?