Symal Forecasts $105M EBITDA, Exceeding Prospectus Despite Revenue Timing Shifts
Symal Group is poised to exceed its FY2025 EBITDA forecast, driven by strong project execution and a robust pipeline of contracts and acquisitions.
- FY2025 Normalised EBITDA forecast raised to ~$105 million, beating Prospectus guidance
- Revenue slightly below forecast due to project timing shifts, expected to rebound in FY2026
- Work-in-hand grows to $1.46 billion with new major contract awards
- Significant progress on key projects including Moonee Valley Racing Club and Gawara Baya Wind Farm
- Active acquisition strategy advancing with recent Ascot Bin Hire purchase and ongoing due diligence
Strong Financial Performance Despite Revenue Timing Shifts
Symal Group Limited (ASX, SYL) has announced it is on track to exceed its FY2025 Normalised EBITDA guidance, forecasting approximately $105 million compared to the Prospectus estimate of $102.3 million. This outperformance is notable given the company expects revenue to finish around $900 million, slightly below the $961.1 million forecast, primarily due to project timing adjustments rather than a loss of business.
The revenue shortfall is attributed to the phasing of key projects such as the Eastern BTA (North East Link), resequencing of existing contracts, and delayed commencement of several new projects. However, these timing shifts are anticipated to reverse in FY2026, supporting future revenue growth. Importantly, Symal’s EBITDA margin is forecast at 11.7%, consistent with its strong first-half performance and exceeding initial guidance, underpinned by its vertically integrated delivery model, procurement efficiencies, and favourable site conditions.
Robust Project Pipeline and Major Contract Wins
Symal’s work-in-hand (WIH) has increased to approximately $1.46 billion as of May 2025, reflecting a healthy tender conversion rate and continued replenishment of its order book. Key contract awards include a $70 million civil works contract for the Moonee Valley Racing Club, secured following a cost-saving Early Contractor Involvement process, and a $40 million Department of Defence project delivered in partnership with First Nations entity Wamarra.
Progress continues on the $347 million Gawara Baya Wind Farm project, with expectations to satisfy outstanding contractual conditions and commence major works in the second half of FY2026. Additionally, Symal is working closely with clients on feasibility assessments for the Springvale Battery Energy Storage System (BESS) project, highlighting its growing footprint in renewable energy infrastructure.
Advancing Growth Through Strategic Acquisitions
Symal is actively pursuing inorganic growth, having integrated its recent $12 million acquisition of Ascot Bin Hire into its recycling and repurposing business, Sycle. The company is investing in fleet expansion and new resource recovery technologies, including a sorting and fuel production line expected to be operational by late 2025. These initiatives aim to enhance recovery rates and support revenue growth in the medium term.
Further acquisition opportunities are under due diligence, aligning with Symal’s disciplined investment criteria and growth strategy. This balanced approach between organic project wins and strategic acquisitions positions the company well for sustained, profitable expansion.
Outlook
Symal’s Managing Director Joe Bartolo emphasised the company’s focus on margin delivery and strategic growth, highlighting the strong work-in-hand and pipeline as key enablers. With a diversified project portfolio spanning civil infrastructure, defence, renewable energy, and community facilities, Symal is well placed to navigate the evolving market landscape.
Bottom Line?
Symal’s strong margin delivery and expanding project pipeline set the stage for continued growth, but timing risks and integration of acquisitions warrant close watch.
Questions in the middle?
- How will project timing shifts impact Symal’s FY2026 revenue and margins?
- What are the integration risks and expected synergies from recent and potential acquisitions?
- How will Symal’s expanding renewable energy and defence contracts influence its long-term growth trajectory?
