Civmec Posts 22% Profit Rise on Strong FY26 Backed by $1.4b Order Book

Profit Growth Accelerates Amid Broad Sector Gains

Civmec Limited (ASX:CVL) closed FY26 with a notable 22.5% increase in net profit after tax to A$52.1 million on the back of an 11.4% rise in revenue to A$903 million. Earnings per share climbed 22.2% to 10.23 Australian cents, reflecting disciplined cost management and strong project execution across its diversified portfolio.

The company’s EBITDA grew 17% to A$107.3 million, maintaining a healthy margin of 11.9%, while net profit margin held steady at 5.8%. Civmec’s balance sheet remains solid with net assets rising to A$591.2 million and cash on hand of A$54.6 million despite increased working capital investments to support higher activity levels.

Order Book and Project Wins Fuel Visibility

At 31 July 2026, Civmec’s order book stood at A$1.4 billion, reflecting a strong second-half tender conversion and a diverse spread of contracts across energy, resources, infrastructure, and defence sectors. Key wins included major SMPE&I installation packages at Iluka Resources’ Eneabba Rare Earths Refinery and a significant role in the Perth Sporting and Entertainment Precinct project.

The company continues to deepen early contractor involvement (ECI) in medium to large-scale projects, positioning itself favourably for future awards. This approach has supported Civmec’s expansion of regional facilities in Port Hedland and Gladstone, boosting its recurring maintenance platform and OEM material handling capabilities.

Defence Industry Expansion and Naval Milestones

FY26 marked a strategic milestone with the acquisition of Luerssen Australia, rebranded as Civmec Defence Industries (CDI), cementing Civmec’s role as a prime contractor for the Commonwealth. CDI successfully delivered and commissioned HMAS Eyre, launched NUSHIP Pilbara, and progressed construction on the Arafura Class Offshore Patrol Vessel program, underscoring its growing sovereign shipbuilding credentials.

Executive General Manager Defence Mark Clay, promoted during the year, now leads the expanded naval shipbuilding and sustainment business, which benefits from a skilled workforce and enhanced infrastructure at the Henderson marine precinct. This positions Civmec to capitalise on Australia’s long-term naval shipbuilding agenda, including the A$25 billion investment in the precinct over the next decade.

Sector Highlights and Operational Progress

In the energy sector, Civmec secured sizeable contracts including follow-on works for Chevron’s Gorgon Carbon Capture and Storage program and electrical infrastructure packages for Fortescue’s mine electrification projects. The resources segment saw strong growth with projects like BHP’s Port Debottlenecking Project 2 and the Eneabba Rare Earths Refinery installation package.

Infrastructure, marine, and defence activities included the Perth Park construction alliance and multiple bridge projects across New South Wales. The company also advanced OEM material handling projects such as Alcoa’s bridge reclaimer and Dalrymple Bay shiploader, enhancing its position as Australia’s sole full turnkey provider in this niche.

Sustainability and Workforce Development

Civmec reported a 5% reduction in greenhouse gas intensity and a 12% cut in energy intensity, reflecting ongoing environmental initiatives. The company employs around 2,500 people, including 151 apprentices and trainees, and invested heavily in training and development programs. Safety metrics improved markedly with a zero lost time injury frequency rate and a 58% reduction in recordable hand injuries.

Community engagement also featured prominently, with over A$225,000 returned through sponsorships, donations, and fundraising, reinforcing Civmec’s commitment to social value in its operating regions.

Dividend and Market Reception

The Board declared a final fully franked dividend of 3.5 Australian cents per share, maintaining the full-year dividend at 6.0 cents, consistent with FY25. This steady payout reflects confidence in the company’s order book quality and growth prospects. Civmec’s share price surged approximately 60% over the 12 months to August 2026, supported by increased institutional interest and analyst coverage.