Stealth Group Holdings reported record annual results for FY26, driven by the November 2025 acquisition of Hardware & Building Traders (HBT), Australia’s largest independent buying group. The ASX-listed industrial distributor posted total sales of $165.1 million, up 13.8% year-over-year, while statutory revenue reached $146.0 million, reflecting a 3.0% reported increase and 6.7% like-for-like growth.
Net profit after tax surged 86.3% to $5.8 million, with EBITDA climbing 46.2% to $14.4 million, lifting margins to 8.7% from 6.8%. Earnings per share rose 56.7% to 4.12 cents, while cash balances more than doubled to $32.1 million. Market capitalization exceeded $192.9 million, nearly double the prior year’s level.
The HBT acquisition, completed for $22 million plus up to $5 million in earnouts, expanded Stealth Group’s purchasing ecosystem to over $770 million annually and added 1,165 member stores nationally. The deal increased the company’s total addressable market by $27 billion to $120 billion and nearly doubled its product categories from 13 to 29. Management noted the network now spans approximately 4,700 customer touchpoints.
Stealth Group upgraded its FY28 sales target to $500 million from a prior $300 million projection. The company expects FY27 annualized run-rate sales to exceed $265 million, a 56% increase on FY26, with $400 million in new sales opportunities identified. Integration synergies of $2.4 million are targeted for FY27, while purchasing ecosystem conversion is slated to rise from 21% in FY26 to 75%.
Cash flow improved despite a modest increase in net debt to $7.7 million, leaving gearing at 12.6% compared with 18.3% a year earlier. The company’s $19.5 million capital raise was fully subscribed, and shares traded at $1.31, near the top of the 52-week range between $0.615 and $1.59.
