Shares in Worley fell 11% to A$10.02 on Wednesday after the engineering group reported a decline in underlying earnings and warned of further headwinds from geopolitical tensions.
The company’s underlying EBITA for the fiscal year ended June 2026 declined 10.8% to A$734 million from A$823 million a year earlier, while revenue remained broadly flat at A$12.0 billion. The drop in profitability was driven primarily by project deferrals in the Middle East, which cost Worley approximately A$58 million, and an A$50 million headwind from foreign exchange translation as the Australian dollar strengthened.
Worley also absorbed A$120 million in transformation and restructuring costs during the year, further pressuring margins. The company’s shares were among the worst performers in the S&P/ASX 200 index, which rose 0.56% to about 9,215 points.
Chief Executive Chris Ashton noted that while operations in the Americas remained resilient, softer regional conditions and ongoing conflict in the Middle East constrained growth. Looking ahead, Worley guided for mid-to-high single-digit increases in both revenue and underlying EBITA for the fiscal year ending June 2027.
