Service Stream Limited · ASX:SSM
Service Stream — FY2025 Earnings Presentation
27 slides from Service Stream's earnings presentation, Aug 20, 2025
Slide 1: FY25 Full Year Results Presentation
Service Stream FY25 Full Year Results Presentation For the year ended 30 June 2025
Slide 2: Acknowledgment of Country
Acknowledgment of Country Service Stream acknowledges the traditional custodians of country throughout Australia and their continuing connections to land, water and communities. We pay our respects to their elders past and present.
Slide 3: Key Messages
Key Messages A successful year headlined by strong financial performance and WIH growth Strong financial > Improved profitability across all divisions 1 results > Strong cashflow conversion Significantly > Exceptional contract retention rates 2 expanded WIH > Multi-year diversified order book Utilit
Slide 4: Group Financial Highlights
Group Financial Highlights Strong profit delivery and cash flow conversion Total Revenue Underlying EBITDA $ 2,420m $ 146.1m Increase of 1.2% up on pcp Increase of 13.1% on pcp NPATA OCFBIT Cashflow Conversion $ 68.5m 104.4% Increase of 36.7% on pcp Net Cash FY25 Total Dividend $ 73.6m 5.5 cps 4 Inc
Slide 5: Operational & Strategic Highlights
Operational & Strategic Highlights Disciplined strategy execution creating a strong platform for continued growth and improved shareholder returns Improved Group Margin Improved Utility Performance High Quality Order Book 6.0% EBITDA-A 4.5% EBITDA-A Margin Margin 80% O&M Strong annuity-style, long-t
Slide 6: Safety
Safety Proudly differentiating through industry leading safety performance Total Recordable Injury Frequency Rate - 24% • Significant YoY improvements delivered across major 2.56 performance metrics 1.95 • Continued focus on: FY24 FY25 ‒ Higher risk work activities and associated critical controls L
Slide 7: Creating significant shareholder value
Creating significant shareholder value Execution of the Group’s strategy delivering consistent improvement across all metrics Total Revenue ($m) EBITDA from Operations ($m) EPS-A (cps) CAGR 15.7% CAGR17.1% CAGR 17.1% CAGR 28.1% 146 11.2 146 2,392 2,420 129 2,151 129 114 8.2 114 1,564 91 6.0 91 5.3 F
Slide 8: High Quality Diversified Revenues
High Quality Diversified Revenues Group earnings underpinned by high quality contract portfolio Work Type Commercial Model 3% • Balanced mix of works predominantly favouring annuity-style, lower risk maintenance operations with exposure to select project 24% opportunities: 31% $2.4b $2.4b 6% ‐ ~66%
Slide 9: Segment Insights
Segment Insights Telecommunications Utilities Transport • Secured record $3.3bn of work during FY25 • Improving earnings and margin through operational • Strong performance from new VRMC contract after delivery, new growth and cost initiatives initial mobilisation in H1 • Extended nbn field services
Slide 10: Secured Contract Awards
Secured Contract Awards Secured $4.2bn+ in major multi-year O&M agreements, further strengthening the Group’s diversified portfolio H1 FY25 H2 FY25 Contract Retention Rate 98% Urban Utilities nbn MECS Maintenance Field Services Water Telecommunications (New Agreement) (Renewal / Extension) of existi
Slide 11: Sustainability
Sustainability Making a meaningful contribution across each of the Group’s Sustainable Pathways Safety The wellbeing of our workforce, clients and communities we operate Improved safety outcomes Environmental emissions across 22% ~5% People Improving how we attract, retain and Reduction Reduction de
Slide 12: Financial Performance
Financial Performance 12
Slide 13: Financial Headlines
Financial Headlines Total Revenue1 Underlying EBITDA EBITDA from Adjusted NPAT Operating Cashflow Total FY25 Dividend from Operations Operations 2 2 (OCFBIT) $2,420m $146.1m $63.4m $68.5m $148.9m 5.5cps +15.2% vs pcp +1.2% vs pcp 13.1% vs pcp +36.7% vs pcp +25.5% vs pcp +22.2% vs pcp • Group EBITDA
Slide 14: Telecommunications
Telecommunications Highlights • Another solid year, maintaining the significant step up in volume and earnings achieved in FY24 across multiple clients and various programs of work • Revenue of $1,165.9m, down slightly $34.3m (2.9%): ‒ Revenue was skewed to the H1 due to a backlog of remediation, co
Slide 15: Utilities
Utilities Highlights • Strategic repositioning, securing profitable new growth and strong operational execution delivering improved quality of earnings • Revenue of $1,008.2m up $36.1m (3.7%) ‒ Strong revenue growth despite cycling off discontinued operations and completed D&C projects ‒ Water O&M a
Slide 16: Transport
Transport Highlights • Strong finish to the year; reflecting historical H2 bias due to client project funding cycles • Revenue of $245.8m, up $26.3m (12.0%) ‒ New long-term Victorian Roads Maintenance contract commenced 1 July 2024 and performing well ‒ Acquisition of remaining 50% of SARS JV (SA ou
Slide 17: Group Profit and Loss
Group Profit and Loss Comparison of results for the period ended 30 June 2025 $m FY25 FY24 Change $ Total Revenue 2,420.1 2,391.8 28.3 Total Revenue growth 1.2%: Underlying EBITDA from Operations 146.1 129.2 16.9 • Growth tempered by contract cycles and Underlying EBITDA from Operations % 6.0% 5.4%
Slide 18: Cashflow
Cashflow Comparison of results for the period ended 30 June 2025 $m FY25 FY24 $ EBITDA 142.6 116.8 25.8 Closing net cash of $73.6m, up $65.7m on pcp Change in working capital and non-cash items 7.4 3.6 3.8 Adjustments for joint ventures (1.0) (1.7) 0.7 OCFBIT 148.9 118.6 30.3 OCFBIT conversion of 10
Slide 19: Balance Sheet & Capital Management
Balance Sheet & Capital Management Maintaining a strong balance sheet and reinvesting in the business 1. Maintain strong balance sheet • Capital lite business model, target >80% OCFBIT conversion • Debt facilities $395m refinanced and extended to December 2027 2. Fund optimisation & organic growth •
Slide 20: Group Outlook
Group Outlook 20
Slide 21: Work In Hand
Work In Hand Significantly expanded the Group’s diversified order book by 40% on FY24 to $7.6bn • Strong period of new work winning and contract renewals, leading to substantial 40% uplift of WIH • Successfully renewed/confirmed extensions for all key contracts across each operating segment, providi
Slide 22: Market Growth
Market Growth Positive market conditions support ongoing growth opportunities and a favorable outlook • Strong levels of investment associated with the upgrade and maintenance Australian Maintenance Market of critical infrastructure Annual Expenditure ($bn) • Ageing infrastructure • Population growt
Slide 23: Outlook
Outlook Solid momentum and a strong, scalable business platform to support earnings growth in FY26 • Strong diversified order book exceeding $7.6bn (initial term only) • Positive momentum during FY25 providing a solid foundation for growth in FY26 • ~85% of WIH for FY26 secured under contract or ext
Slide 24: Appendices
Appendices 24
Slide 25: Reconciliation of statutory to adjusted profitability measures
1. Reconciliation of statutory to adjusted profitability measures Reconciliation of EBITDA from Operations to NPAT $m FY25 FY24 $ Underlying EBITDA from Operations 146.1 129.2 16.9 Onerous contract provision for QLD project - (9.8) 9.8 EBITDA from Operations 146.1 119.4 26.7 Joint venture adjustment
Slide 26: Other information
2. Other information Reconciliation of Total Revenue to Revenue $m FY25 FY24 $ Total Revenue 2,420.1 2,391.8 28.3 Joint venture adjustments 91.6 100.2 (8.6) Revenue 2,328.5 2,291.6 36.9 Amortisation of customer contracts & relationships Balance $m FY25 FY26 FY27 FY28 FY29 30-Jun-25 Comdain Infrastru
Slide 27: Disclaimer
Disclaimer This Presentation contains summary information about the current activities of Service Stream Holdings Limited (Service Stream). It should be read in conjunction with the Service Stream’s other periodic and continuous disclosure announcements lodged with the Australian Securities Exchange