RESULTS WRAP: Increased net profits, revenue and interim dividends were a common theme for MLG Oz, Macmahon and SRG during the first half of FY26.
RESULTS WRAP: A strong first half to FY26 has appeared to place ASX-listed trio MLG Oz, Macmahon Holdings and SRG Global in an ideal position heading into the final six months of the year.
Shares in MLG Oz and Macmahon rose early on Tuesday following the release of their respective results - however SRG's price slightly dipped on the back of news that two longstanding directors - Peter McMorrow and Michael Atkins - had retired from the company's board, and replaced by Mark Foster and Alan Rule.
MLG Oz 1H net profit up 73.2 per cent
Despite being impacted by rainfall at several of its operating sites early in the first half, Kalgoorlie-based MLG Oz managed to recover, with the company’s haulage and site services capitalising on consistent demand, predominantly from its clients within the gold sector.
MLG Oz’s revenue rose by 5.2 per cent to $287.2 million, while it posted a statutory net profit after tax of $7.1 million, up by 73.2 per cent from the prior corresponding period.
Additionally, an interim dividend of 1.25 cents per share, fully franked, has been declared.
“We are very pleased to be able to again demonstrate a strong improvement in profitability,” MLG Oz acting chief executive Mark Hatfield said.
“The performance of our operational teams has been exceptional, and it is very pleasing to see continued margin improvement across the group.
“Importantly, demand for our integrated services, across civil and mining, crushing and screening, haulage, site services and materials, remains strong.
“This is especially the case in the gold sector which is experiencing unprecedented prices and high levels of sustained production.”
In late-October last year, Mr Hatfield transitioned from the company’s chief operating officer to acting CEO, after news that Michelle Leahy, wife of MLG Oz managing director and founder Murray Leahy, had died.
It is presently unclear when Mr Leahy will return to his executive duties.
With gold prices continuing to remain high, the mining services contractor said it is confident of being able to capitalise on current prevailing market conditions, due to working closely with several companies within the sector.
MLG Oz shares closed trade up 5 per cent to $1.05.
Macmahon first half revenue hits $1.3b
Macmahon boss Michael Finnegan believes the contractor’s decision to further diversify its operations has paved the way for positive outcomes during the first half.
The Perth Airport-based company posted an underlying net profit of $54.9 million, which rose by 17 per cent from $47.1 million during the prior corresponding period – while its statutory net profit jumped by 61 per cent to $48.2 million.
Revenue hit $1.3 billion, a gain of 11 per cent, with the company reaffirming its FY26 revenue guidance target of $2.6 billion to $2.8 billion.
“These results validate our strategy to diversify the Macmahon Group by growing our underground and civil infrastructure businesses, both of which have made material contributions to this strong first-half performance,” Mr Finnegan said.
“Consistent with our strategy, we are focused on further diversifying our business through organic means and accretive acquisitions that enable us to expand our service offering across the resources sector.
“Looking forward, our order book remains well supported by a balanced pipeline, with half of the $25.6 billion pipeline expected to be awarded within the next 12 months.”
Macmahon’s board also declared an interim dividend of 95 cents per share, which was up 73 per cent from 12 months prior.
In FY25, the company posted an underlying net profit after tax of $103 million, a rise of 11 per cent from FY24, while revenue hit $2.4 billion – which was primarily achieved due to its acquisition of Decmil.
The contractor’s shares closed trade up 5 per cent to 66.5 cents.
Board changes announced at SRG
Shares in SRG closed trade on Tuesday down 5 per cent to $2.79, despite achieving record results during its first half.
In a separate update to the market, the engineering and construction services firm said longstanding directors Peter McMorrow and Michael Atkins has retired from the company’s board, effective immediately, and had been replaced by Mark Foster and Alan Rule – in relation to the company’s board renewal and succession-based initiatives.
Mr McMorrow, who joined the board in 2009, was chair of the company between 2014 and October last year, while Mr Atkins – who chaired SRG’s audit committee – was a board member for 11 years.
“On behalf of the board, I would like to thank Peter and Michael for their significant contribution to the board of SRG Global during their long tenure with the company,” chair Amber Banfield said.
“I would also like to welcome Mark and Alan to the board, who both bring a wealth of experience and expertise to the company, and I look forward to working with them and the rest of the board on the next phase of SRG Global’s growth journey.”
Mr Foster, who possesses experience in both the accounting and legal sectors, is a managing partner of Steinepreis Paganin, while Mr Rule brings more than 25 years of experience as a chief financial officer, and holds multiple board roles with other companies.
During its first half, SRG’s net profit after tax climbed by 27 per cent to $33.7 million, while revenue ($743.9 million) and earnings before interest, tax, depreciation and amortisation ($71 million) were both up 20 per cent.
Due to this success, SRG has elected to upgrade its earning guidance target for FY26 to $164 million to $168 million, coupled by an earnings before interest and tax range of $126 million to $130 million.
SRG's board also declared an interim dividend of 3 cents per share, fully franked.
