Cleanaway Waste Management Ltd. · ASX:CWY
Cleanaway Waste Management — FY2026 Earnings Presentation
34 slides from Cleanaway Waste Management's earnings presentation, Aug 20, 2026
Slide 1: FY26 result presentation Prepared remarks
FY26 result presentation Prepared remarks 20 August 2026 Slide 1 Good morning and welcome to everyone listening in today. Thank you for joining Cleanaway’s financial results briefing for the 2026 Financial Year. I’m Mark Schubert and I’m joined by Nigel Simonsz, Cleanaway’s CFO who joined the busine
Slide 2: Disclaimer
FY26 result presentation Prepared remarks 20 August 2026 Slide 3 Before we begin, please note the usual disclaimer. Unless specifically called out, I will be talking about the underlying performance of the business and the associated financial metrics throughout this presentation. Page 2 of 34
Slide 3: Agenda
FY26 result presentation Prepared remarks 20 August 2026 Slide 4 The agenda for today is set out on slide 4. The plan today is that I will take you through the highlights and overview. I will then step you through the segment performance and what drove the result. Nigel will then cover the financial
Slide 4: Investment thesis
FY26 result presentation Prepared remarks 20 August 2026 Slide 5 Moving to slide 5, which will be familiar to a lot of you on the call today. For those new to the Cleanaway story, it sets out our investment thesis. Cleanaway remains Australia’s leading total waste solutions provider, with scale, net
Slide 5: Executive summary
FY26 result presentation Prepared remarks 20 August 2026 Slide 7 Moving to executive summary on Slide 7. On behalf of the approximately 9,700 Cleanaway team, I’m pleased to report that FY26 was another year of earnings growth for Cleanaway, but it was not without challenge. The year’s earnings were
Slide 6: FY26 headline results
FY26 result presentation Prepared remarks 20 August 2026 Slide 8 Moving to slide 8. We delivered underlying EBIT of $470.2 million, up 14.2% and net revenue increased 13.1% to $3.7 billion. Group ROCE increased 60bps to 9.7%. This reflects our disciplined approach to capital allocation and the impro
Slide 7: Free cash flow and summary
FY26 result presentation Prepared remarks 20 August 2026 Pleasingly, free cash flow improved materially, up 64% to $213.8 million. This was driven mainly by good working capital management, timing of fleet delivery, and improved payment terms for our new trucks. We have also updated our definition o
Slide 8: EBIT bridge to guidance midpoint
FY26 result presentation Prepared remarks 20 August 2026 Slide 9 Moving to slide 9. This slide bridges the FY26 result to the midpoint of the guidance range we provided in February. If you recall at that time, we expected underlying EBIT of $480 million to $500 million. Following the escalation of t
Slide 9: EBIT bridge drivers
FY26 result presentation Prepared remarks 20 August 2026 Looking at the graph, the left-hand side of the bridge addresses the elements related to the Middle East conflict. At a Group level, we recovered a large proportion of the direct fuel costs in-year. Recovery was not uniform across our segments
Slide 10: Solid Waste Services
FY26 result presentation Prepared remarks 20 August 2026 Slide 11 I will now take you through the segment performance. Solid Waste Services delivered a strong performance in FY26, and that was despite lower commodity prices and the temporarily lower contribution from ECO ahead of completion of the c
Slide 11: Solid Waste Services landfills and CDS
FY26 result presentation Prepared remarks 20 August 2026 Our landfills and transfer stations also performed well, supported by higher volumes, project activity and ancillary revenue. CDS was another positive contributor, with a full-year Tasmanian contribution supporting organic growth. As planned,
Slide 12: Oils & Technical Services and Health Services
FY26 result presentation Prepared remarks 20 August 2026 Slide 12 Moving now to our Oils & Technical Services and Health Services businesses. In aggregate, net revenue fell 1.2% to $676 million, and EBIT fell 10.7% to $75.1 million. EBIT margin contracted 120 basis points to 11.1%, with the underper
Slide 13: Health Services recovery
FY26 result presentation Prepared remarks 20 August 2026 The disruption to our Yatala Health facility in Queensland in the first half, following damage from ex-Cyclone Alfred, resulted in approximately $2.4 million of higher logistics costs. Overall volumes were lower than expected. As we look to FY
Slide 14: Industrial Services
FY26 result presentation Prepared remarks 20 August 2026 Slide 13 Turning now to slide 13. The performance of the Industrial Services segment is largely reflective of the initial contribution and outperformance from the Contract Resources acquisition. At the overall segment level, we delivered 77% n
Slide 15: Industrial Services platform
FY26 result presentation Prepared remarks 20 August 2026 particularly in shared customers, workforce planning, and greater asset utilisation, and we expect these to build during FY27 through cross-selling and operational leverage. We now have the leading Industrial Services platform and that positio
Slide 16: Financial summary
FY26 result presentation Prepared remarks 20 August 2026 Slide 15 Thanks Mark. It’s my pleasure to be able to report my first results as Cleanaway CFO on behalf of the entire Cleanaway team. So, with the segment drivers in mind, we now turn to the financial performance and the bridge from the operat
Slide 17: EBITA, NPAT, EPS and returns
FY26 result presentation Prepared remarks 20 August 2026 While not shown on this slide underlying EBITA, was 14.9% higher at $491.4 million. This metric excludes non-cash ‘acquired’ amortisation charges and offers a clearer view of the business's underlying cash-generating capability. Free Cash Flow
Slide 18: Underlying EBIT adjustments
FY26 result presentation Prepared remarks 20 August 2026 Slide 16 Moving now to slide 16, underlying EBIT adjustments. Most of these are items that were spoken about in the first half and the annualised impact of these are presented here. The new items relate to the MRL levy provision, transactions
Slide 19: Underlying adjustment policy review
FY26 result presentation Prepared remarks 20 August 2026 and reducing certain inefficient IS metro activities. The Board is reviewing the underlying adjustment policy to improve clarity and raise the threshold for significant items. It will help sharpen the distinction between recurring underlying p
Slide 20: Free cash flow bridge
FY26 result presentation Prepared remarks 20 August 2026 Slide 17 Now moving to free cash flow on slide 17. As Mark mentioned before, we have updated our definition of free cash flow. The measure now includes all cash capital expenditure, while excluding proceeds from land and property sales. Focusi
Slide 21: Free cash flow: capex and timing
FY26 result presentation Prepared remarks 20 August 2026 Cash capex was $8.3 million lower. There was a timing benefit of around $40 million related to fleet, reflecting delayed deliveries and improved payment terms. The structural drivers of improved cash generation are in place and should continue
Slide 22: Capital expenditure
FY26 result presentation Prepared remarks 20 August 2026 Slide 18 Now moving to slide 18. Cash Capex came in lower at $326.8 million versus $335.1 million in the prior year. As referenced earlier, FY26 capex was lower than expected due mainly to the timing of fleet deliveries and improved payment te
Slide 23: FY27 capex outlook
FY26 result presentation Prepared remarks 20 August 2026 support our advanced ways of working, including data & analytics infrastructure and tools such as Smarter Selling and the Pricing Engine. While capital discipline remains very much our focus, the business is still investing in the platform nee
Slide 24: Net finance costs and dividends
FY26 result presentation Prepared remarks 20 August 2026 Slide 19 Finally, I’ll turn to net finance costs and dividends on slide 19. Underlying net finance costs increased $34.7 million to $156.2 million, driven by the debt financing for the Citywide and Contract Resources acquisitions, which was po
Slide 25: FY27 outlook
FY26 result presentation Prepared remarks 20 August 2026 Slide 21 Thanks Nigel. We now move into the outlook. We are guiding to and underlying EBIT range of $500 million to $530 million. That range is built first on organic growth in the core solids business, supported by pricing, volume and product
Slide 26: FY27 guidance building blocks
FY26 result presentation Prepared remarks 20 August 2026 We expect cash capex of ~$360 million. As Nigel said earlier, we don’t expect any material working capital movements during the year. Cash Interest paid is expected to be ~ $140 million, subject to no further cash rate movements. We continue t
Slide 27: Blueprint 2030 2.0 strategy
FY26 result presentation Prepared remarks 20 August 2026 Slide 22 I’ll now move to slide 22 where I want to briefly recap on our strategy. Blueprint 2030 2.0 is the next phase of Cleanaway’s value creation journey. Blueprint 1.0 was about building the platform. • We strengthened the business. • We i
Slide 28: From building foundations to extracting value
FY26 result presentation Prepared remarks 20 August 2026 We want to create superior shareholder value by extending Cleanaway’s position as Australia’s leading waste management and technical services company, and by maximising the cash flow and growth potential of the business. The key shift is from
Slide 29: Value Creation Framework
FY26 result presentation Prepared remarks 20 August 2026 Slide 23 Moving to slide 23. Together, these three pillars support the Value Creation Framework. This framework is useful because it shows how the pieces fit together and it is deliberately straightforward. • Revenue growth comes from market g
Slide 30: Blueprint 2.0 converts platform into value
FY26 result presentation Prepared remarks 20 August 2026 Blueprint 2.0 converts that platform into value. • We are making scale our advantage. • We are using data and technology to improve customer outcomes and lower costs. • We are optimising the network we have already built. And we are applying d
Slide 31: Track record
FY26 result presentation Prepared remarks 20 August 2026 Slide 24 Moving to slide 24. The track record slide is there as a reminder that this is a business that has built earnings, scale and cash generation over time. The FY26 result is part of that broader trend. The key message here is that the pl
Slide 32: EQT Infrastructure proposal
FY26 result presentation Prepared remarks 20 August 2026 Slide 25 Moving to slide 25. I’ll briefly touch on last week’s announcement before wrapping up. Cleanaway received a non-binding Proposal from EQT Infrastructure to acquire 100% of Cleanaway shares for $3.13 per share. The proposal is all cash
Slide 33: Business priorities during EQT process
FY26 result presentation Prepared remarks 20 August 2026 At the same time, we remain confident in the strength of our existing business and the long- term value Blueprint 2030 can create for Cleanaway shareholders. EQT’s proposal attributes value to our strategy today. While the Board works through
Slide 34: Closing remarks and questions
FY26 result presentation Prepared remarks 20 August 2026 Slide 26 To close the formal presentation, the core message is this: FY26 delivered solid earnings and cash flow growth, but the organic growth was weaker than we would like due to some pockets of underperformance. The underperformance, in Hea
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