Vysarn Posts 31.5% Revenue Growth and Advances National Expansion in FY2026

Strong Financial Momentum Across Segments

Vysarn Limited (ASX:VYS) delivered a solid FY2026 with revenue from operations reaching $140.06 million, up 31.5% from the prior year. Earnings before interest and tax (EBITDA) rose 36% to $28.91 million, while net profit before tax (NPBT) climbed 39% to $20.9 million. Net profit after tax (NPAT) increased 41% to $15.11 million, reflecting the company’s ongoing growth trajectory.

The industrial segment led revenue growth with a 22.2% increase to $73.9 million, benefiting from strong demand in Western Australia's iron ore sector and a strategic reshaping of the drill rig fleet. Advisory services surged 65%, reaching $33 million, supported by national expansion and integration of CMP Consulting. The technology segment maintained steady earnings, with $33.1 million in revenue, despite a second-half skew due to project timing.

Strategic Acquisitions to Broaden National Footprint

Vysarn is actively diversifying beyond its traditional Western Australian resource base through acquisitions and capital investment. During FY2026, it entered binding agreements to acquire NewGround, focusing on water infrastructure and facilities management, and Welltech, a water and sewerage management business. These deals are expected to significantly expand Vysarn’s service offering and geographic reach, particularly into government, urban development, and recreational infrastructure markets on the east coast.

To fund these acquisitions and ongoing growth initiatives, Vysarn completed a fully underwritten placement raising approximately $65.3 million. The proceeds will also support the Kariyarra Water Scheme development and general working capital needs.

Progress on Kariyarra Water Scheme Underpins Long-Term Growth

In partnership with the Kariyarra Aboriginal Corporation, Vysarn advanced the Kariyarra Water Scheme (KWS), submitting a key hydrogeological assessment to Western Australia’s Department of Water and Environmental Regulation. This supports an application for a 10 GL per annum groundwater license, a crucial step toward supplying bulk water to Port Hedland and the Pilbara region.

The joint venture has been shortlisted by the Water Corporation to proceed to a formal Request for Proposal, reflecting strong interest in the scheme’s water supply potential. Non-binding expressions of interest from industrial and mining sectors further bolster demand beyond current licensing volumes. While regulatory approvals remain complex, Vysarn targets binding agreements and funding commitments by the end of 2026.

Outlook Focused on Integration and Organic Growth

Looking ahead, Vysarn plans to prioritise the integration of NewGround and Welltech acquisitions alongside organic growth across its established segments. The company is investing in senior management to support increased scale and complexity. Operational cash flow is expected to rebound following FY2026’s timing impacts, with a strong pipeline underpinning further earnings growth, particularly in advisory and technology services.

Vysarn’s strategy to build a vertically integrated water services platform across multiple sectors and geographies positions it to capitalise on Australia’s growing water infrastructure demand. The company’s expanding east coast presence and diversified service mix aim to reduce reliance on the Western Australian resources sector and enhance resilience.