Civmec warns of quieter activity

Henderson-based Civmec has told shareholders to expect lower levels of activity during the back end of the 2025 financial year, citing delays to the awarding of key projects.

Despite this, the Pat Tallon-led company said its order book was presently more than $800 million, with tender-based activities remaining at high levels.

Civmec generated $262.7 million in revenue during the first quarter of the 2025 financial year, a rise of 7.2 per cent from the prior corresponding period.

Additionally, its earnings before interest, tax, depreciation and amortisation rose from $28.9 million to $29.2 million, while net profit after tax remained flat at $15.2 million.

Last month, the company also announced it filed documents to acquire shipbuilder Luerssen Australia, which makes patrol vessels on behalf of the Royal Australian Navy.

Should the ownership change proceed, subject to approval from the Commonwealth, Germany-based Navel Vessels Lürssen, would transfer its stake in Luerssen Australia, along with the takeover target’s assets, licences and staff.

On Thursday, Civmec, which has a market cap of $681.4 million, also told the market it had been awarded a design and construction works-based contract with a new major shiploader.

The deal, tipped to be worth between $90 million and $100 million, will likely generate 100 jobs.

Scope of the project includes machine replacement, along with additional work undertaken by Civmec’s engineers.

Once finished, a heavy lift vessel will ship the machine to a port in Western Australia, where the Civmec team will install it, ahead of a 2028 handover.

“We are delighted to secure the award of this prestigious shiploader project which represents a significant advancement of our balance machine division, following on from the recent award from Alcoa for a new bridge reclaimer, and establishes Civmec as a key original equipment manufacturer supplier of high-quality balance machines for tier one clients around Australia,” Mr Tallon said.

As of 11.57am WST, Civmec shares were down 3 per cent to $1.29.