PeopleIN’s FY25: $1.1B Revenue, $33M EBITDA, and a $23.5M Techforce Sale

A Challenging Year with Resilience

PeopleIN Group’s financial year 2025 was marked by headwinds common across the staffing industry, including soft business confidence, interest rate uncertainty, and severe weather impacts in Queensland. Despite these challenges, the company reported revenue of $1.098 billion, down 6.5%, and normalised EBITDA of $33.3 million, down 10%. While these declines reflect the tough trading environment, PeopleIN outperformed many peers by maintaining an industry-leading net revenue margin of 23.3% and delivering strong cash conversion at 125% of EBITDA.

Significantly, the group reduced its net debt ratio from 2.1x to 1.6x through disciplined cost reductions exceeding $25 million over three years and robust cash collections. This financial prudence enabled the Board to initiate a $6 million on-market share buy-back, signalling confidence in the company’s underlying value and commitment to shareholder returns.

Strategic Divestment and Capital Management

In a notable capital management move, PeopleIN agreed to sell its 79.3% stake in Techforce Personnel for $23.5 million, more than doubling its initial investment and achieving a higher valuation multiple than the broader group. This divestment is expected to further reduce net debt to approximately 1.1x, positioning PeopleIN to pursue accretive acquisitions with strong growth potential, particularly in the engineering, trades, and labour sectors.

Growth Opportunities on the Horizon

Looking ahead, PeopleIN is strategically positioned to benefit from Queensland’s major infrastructure cycle, which anticipates demand for over 30,000 additional workers through to FY29. With 42% of its revenue generated in Queensland, the company’s established brands like AWX and Perigon Group are embedded in sectors set to benefit from this investment surge, including the lead-up to the 2032 Olympic Games.

The Defence sector also presents expanding opportunities. As a sovereign, veteran-led business, PeopleIN has cultivated strong relationships with the Department of Defence and industry contractors. The company is poised to support initiatives such as the Papua New Guinea – Australia Defence Treaty, which includes recruiting PNG nationals into the Australian Defence Force, alongside longer-term prospects in Northern Australia’s construction and manufacturing sectors.

Operational Advances and Early FY26 Momentum

Operationally, PeopleIN completed its Program Unite transformation initiative, which harnessed automation, data analytics, and AI-enabled recruitment tools to boost productivity and efficiency. This has already translated into a 6.9% increase in billing rates during FY25, with positive momentum continuing into FY26.

Early FY26 results are encouraging, with a 4% increase in normalised EBITDA in Q1 compared to the previous quarter. Divisions such as Engineering Trades and Labour and Professional Services are showing signs of growth, particularly in Queensland. While some segments like healthcare remain subdued, the company’s diversified portfolio and strong balance sheet provide a solid foundation for navigating ongoing market fluctuations.

Looking Forward

PeopleIN’s leadership remains focused on capturing demand from Queensland’s infrastructure pipeline, deepening client partnerships in defence and growth sectors, leveraging technology for margin improvements, and pursuing selective acquisitions. The company’s scale, sector breadth, and capital strength position it well to capitalise on stabilising trading conditions and emerging opportunities.