InvestSMART

SGH Limited (ASX:SGH)

ALERT: Price-sensitive ASX Announcement for SGH
Current share price for SGH : $40.410 -8.74 (-17.78%)+
Announcement
Release
11 Feb 2026 7:31AM
Price at Release
$49.150
Full Release
download
Summary
SGH Limited announced a strong financial performance for the first half of FY26, with revenue reaching $5.4 billion. The company experienced a margin expansion, leading to an EBIT margin increase to 15.6%. Despite a normalization in capital sales at WesTrac, EBITDA rose by 1% to $1.1 billion, and underlying NPAT increased by 2% to $518 million. SGH strengthened its financial position by reducing net debt and enhancing cash flows, resulting in an improved adjusted net debt to EBITDA ratio. A fully franked interim dividend was declared, reflecting the company's commitment to returning value to shareholders. Operational highlights included resilient performances from WesTrac and Boral, and significant progress in energy investments. SGH's strategic focus remains on operational efficiency and growth across its diversified industrial businesses.
Key Points
  • SGH delivered a robust financial result for HY26 with revenue of $5.4 billion.
  • EBIT margin increased by 30 basis points to 15.6%.
  • EBITDA was up 1% to $1.1 billion, and EBIT was flat at $844 million.
  • Underlying NPAT increased by 2% to $518 million, while statutory NPAT rose by 1% to $473 million.
  • Operating cash flow increased by 32% to $1.1 billion.
  • SGH's net debt reduced by 4% to $4.0 billion, with an improved net debt to EBITDA ratio of 1.91x.
  • A fully franked interim dividend of 32 cents per share was declared, an increase of 7%.
  • WesTrac maintained resilience with revenue of $3.0 billion, despite a 6% decline.
  • Boral's revenue increased by 7% to $1.9 billion, with EBIT rising by 10% to $284 million.
  • SGH's energy investments saw progress with key projects like the Crux LNG backfill project advancing.
IMPORTANT NOTE: This information is autogenerated and has not been reviewed for accuracy or completeness. You should refer to the full announcement here for further information.