Cleanaway Waste Management reported a 14.2% year-over-year increase in underlying EBIT to $470.2 million for the fiscal year ended June 30, 2026, alongside a 13.1% rise in net revenue to $3.74 billion. The company’s underlying EBIT margin expanded by 10 basis points to 12.6%, while underlying EPS grew 13.6% to 10.0 cents per share.
Statutory net profit after tax declined 37.2% to $98.5 million, reflecting $160 million in underlying adjustments that included IT transformation costs, legacy provisions and acquisition integration expenses. Free cash flow surged 63.7% to $213.8 million, and the company maintained a fully-franked final dividend of 3.5 cents per share, bringing the full-year payout to 6.85 cents, up 14.2% from FY25.
Segment performance showed divergent trends. Solid Waste Services revenue rose 6.4% to $2.51 billion, with EBIT up 9.1% to $405.0 million and margins expanding 40 basis points to 16.2%. Environmental & Technical Solutions revenue increased 1.2% to $676.0 million, but EBIT fell 10.7% to $75.1 million as health services recovery lagged and industrial services volumes disappointed. Contract Resources & Industrial Services revenue jumped 76.9% to $669.7 million, with EBIT up 134.9% to $55.9 million and margins improving 200 basis points to 8.3%, driven by the acquisition of Contract Resources.
Capital expenditure totaled $374.3 million in FY26, including $78.4 million in growth capex. Net debt rose 31.8% year-over-year to $2.29 billion, lifting the leverage ratio to 2.27x from 1.85x. Net finance costs increased 28.6% to $156.2 million, while headroom under committed debt facilities stood at approximately $275 million.
For FY27, Cleanaway guided underlying EBIT to $500 million-$530 million, representing growth of 6.4%-12.8% from FY26. Underlying EBITDA is expected to reach $935 million-$985 million, with depreciation and amortization of $435 million-$455 million and cash interest paid of about $140 million. Cash capex is projected at $360 million, with total capex of $400 million-$410 million. The company also outlined $180 million in remediation spending over FY27-FY29.
Safety performance improved, with the Serious Injury Frequency Rate down 57.1% to 0.3 and the Total Recordable Injury Frequency Rate down 21.3% to 3.7, though two workplace fatalities occurred during the year. Technology rollouts advanced, with 66% completion of in-vehicle monitoring systems and 98% completion of pedestrian detection systems, both targeted for full deployment by year-end 2026.
