EBOS Group’s FY2025 Revenue Falls 7%, Net Profit Slides 21%
EBOS Group Limited reported a 7% drop in revenue and a 21% fall in net profit for FY2025, reflecting ongoing cost pressures and restructuring impacts. The company declared a final dividend, signaling cautious optimism despite the earnings setback.
- Revenue down 7% to AUD 12.27 billion
- Net profit after tax falls 20.8% to AUD 215.1 million
- Underlying net profit declines 15.1% after adjusting for one-off costs
- Final dividend declared at NZD 0.615 per share
- EBITDA, EBIT, and PBT all show double-digit percentage declines
EBOS Group Reports Revenue and Profit Declines
EBOS Group Limited, a key player in pharmaceutical distribution across Australia and New Zealand, has released its financial results for the 12 months ending 30 June 2025. The company recorded a 7% decline in total revenue, falling to AUD 12.27 billion, signaling a challenging year amid cost pressures and market headwinds.
More notably, net profit after tax attributable to shareholders dropped sharply by 20.8% to AUD 215.1 million. This decline underscores the impact of ongoing restructuring efforts and non-recurring expenses that have weighed on the bottom line.
Underlying Earnings Reflect Operational Challenges
When adjusting for non-cash amortisation related to acquisition accounting, one-off merger and acquisition transaction costs, and restructuring expenses, the underlying net profit after tax still fell by 15.1% to AUD 257.5 million. This suggests that even the core operational performance faced significant headwinds during the year.
Key profitability metrics such as EBITDA, EBIT, and profit before tax also declined by 6.3%, 10.9%, and 16.2% respectively on an underlying basis, reinforcing the narrative of margin pressure and cost challenges.
Dividend Maintained Amid Earnings Pressure
Despite the profit contraction, EBOS declared a final dividend of NZD 0.615 per share, reflecting management’s commitment to returning value to shareholders. The dividend record date is set for 5 September 2025, with payment scheduled for 24 September 2025.
The company’s net tangible assets per share remained relatively stable, though the balance sheet continues to reflect lease liabilities under new accounting standards, highlighting ongoing capital management complexities.
Looking Ahead
EBOS Group’s results paint a picture of a company navigating a difficult operating environment marked by restructuring and integration costs. Investors will be watching closely for management’s strategy to restore growth and improve margins in the coming year, especially as the healthcare sector faces evolving challenges.
Bottom Line?
EBOS faces a critical test in reversing profit declines while sustaining shareholder returns amid restructuring costs.
Questions in the middle?
- How will EBOS manage cost pressures and improve margins in FY2026?
- What is the outlook for revenue growth given current market conditions?
- Will the company pursue further acquisitions or strategic changes to drive performance?
