Emeco Holdings Ltd. posted a 5% year-over-year increase in net profit to AUD 89 million for the fiscal year ended June 30, 2026, as revenue reached AUD 792.8 million. The company’s operating EBIT rose 2% to AUD 148 million, with an operating EBIT margin of 18.7%, up 10 basis points from the prior year.
The miner’s operating free cash flow totaled AUD 127.6 million, while adjusted free cash flow stood at AUD 114.5 million. Net debt declined by AUD 67.8 million to AUD 127.1 million, reducing net leverage to 0.43 times from 1.1 times previously. Return on capital improved to 16.9%, up 370 basis points over four years, while return on equity reached 11%.
Shares of Emeco rose 1.44% to AUD 1.055, following the release of the results. The company’s stock has traded between AUD 0.905 and AUD 1.46 over the past 52 weeks. Key valuation metrics included a P/E ratio of 7.04 and a gross profit margin of 56.81%, according to InvestingPro data.
Emeco’s maintenance services now account for about half of gross revenue, up 40% over four years, with on-site maintenance growing 15% in the past year. The company’s surface fleet utilization averaged 82% in FY26, while underground utilization stood at 67%. Operational challenges included prolonged wet weather in Queensland and fuel supply constraints in the second half of the year.
The FORCE segment, which provides rebuild and maintenance services, reported total revenue of AUD 277 million, with internal revenue rising 17% to AUD 121 million. External revenue declined 8% to AUD 156 million as capacity shifted toward internal rebuild work. FORCE completed 143 machine rebuilds and 983 component rebuilds during the year.
Emeco also outlined plans to commence battery electric vehicle trials in FY27, partnering with Fortescue and XCMG to deploy four prototype assets. The company aims to train 60 to 70 technicians by 2029 to support the transition.
On the capital management front, Emeco redeemed its AUD 250 million Australian Medium-Term Notes facility six months ahead of schedule and established a AUD 350 million revolving syndicated debt facility maturing in December 2030. Total available liquidity stood at approximately AUD 315 million, including AUD 125 million in cash and AUD 190 million in undrawn debt capacity.
The board approved an on-market share buyback of up to 10% of shares on issue. For FY27, Emeco expects earnings to be broadly flat, with growth weighted toward the second half. The company targets surface fleet utilization of 90% and underground utilization of 80% by the end of FY27.
