Propel Funeral Partners reported fiscal 2026 revenue of AUD 226.6 million, matching guidance and reflecting a 1.1% increase in funeral volumes to nearly 23,000 services. Operating EBITDA totaled AUD 55.3 million, with a margin of 24.4%, down 50 basis points year-over-year, while net profit after tax reached AUD 20.7 million.
The company maintained a gross margin of 69.8%, an improvement of 10 basis points from fiscal 2025, supported by a 2% rise in comparable average revenue per funeral in constant currency. Operating cash flow totaled AUD 54.9 million, with cash flow conversion exceeding 100%, consistent with the historical average of 99% since fiscal 2015. Net debt stood at AUD 151.2 million as of June 30, 2026, with a net leverage ratio of 2.2 times, well below the covenant limit of 5 times.
Dividends for fiscal 2026 included a final fully franked payment of AUD 0.069 per share, bringing total dividends to AUD 0.144 per share, unchanged from the prior year. The adjusted effective tax rate was 29.5%, while freehold properties were valued at approximately AUD 252 million, covering 130 of the group’s 213 locations. Prepaid contract funds totaled AUD 83 million.
Since its 2017 IPO, Propel has deployed about AUD 340 million in acquisition capital, averaging roughly AUD 37 million annually. Capital expenditure for fiscal 2026 included AUD 5.2 million on acquisitions, AUD 1.3 million on earn-out payments, and AUD 7.5 million for seven freehold property purchases, with total maintenance CapEx at 4.6% of revenue.
Shares fell 5.11% to AUD 3.16 following the results, extending a decline from the prior close of AUD 3.33. The stock has traded between AUD 2.90 and AUD 5.25 over the past 52 weeks. Available funding capacity remains robust at approximately AUD 170 million, supported by debt facilities totaling AUD 275 million, including a new AUD 50 million revolving facility maturing in October 2029.
July 2026 trading showed revenue of AUD 21.5 million, including a AUD 600,000 foreign exchange headwind, with average revenue per funeral growth exceeding 3%. The company noted resilient funeral volumes despite a mild winter flu season. Australia and New Zealand’s death volumes are forecast to rise 2.8% annually, up from a historical average of 1.1%, reinforcing the group’s view of long-term demand certainty.
