Macmahon Holdings and Monadelphous have reported an increase in revenue for the first half of the 2024–25 financial year (H1 FY25), among other operational highlights.
Macmahon
Macmahon’s revenue from ordinary activities equalled $1.2 billion for the six months ending December 31 2024, a 22 per cent increase from the previous period in 2023.
The mining services company delivered $30 million in profit after income tax, $163.4 million in underlying operating cash flow, and $49 million in free cash flow.
Macmahon also increased its underlying earnings before interest, depreciation, and amortisation (EBITA) by 14.7 per cent, delivering $78.1 million for the six-month period.
The strong financial performance was credited to Macmahon finalising its acquisition of Decmil in August 2024, as well as the organic growth in Macmahon’s existing projects at the Greenbushes lithium mine, Vault Minerals’ Daisy Milano gold mine and Genesis Minerals’ Ulysses gold mine – all in Western Australia.
“We are pleased with the half year result which saw continued revenue diversification and earnings growth across our divisions,” Macmahon managing director and chief executive officer Michael Finnegan said.
“This result is a credit to the performance of our team of nearly 10,000 people across Australia and Indonesia, all of whom I’m incredibly proud of. Our focus in the half remained on the safe and profitable execution of our order book.”
Over $800 million in new work was added to Macmahon’s secured order book, which now stands at $2.2 billion for FY25. Finnegan said this reflects the “fundamental strength” of the company and positions it to meet its FY25 guidance of $2.4–$2.5 billion in revenue and $160–$175 million in underlying EBITA.
“Macmahon is well placed for a strong second half performance and will continue to effectively manage our capital position, our people requirements, and our costs,” Finnegan said.
“Most importantly, we will work with our clients to deliver their projects safely and efficiently.”
Monadelphous
Monadelphous has delivered $1.05 billion in revenue for H1 FY25, a 4.2 per cent increase on the prior corresponding period.
Monadelphous’ maintenance and industrial services division delivered $645.1 million in revenue, with approximately $950 million in new contracts and contract extensions locked in since July 1 2024.
The company’s engineering construction division reported $405.4 million in revenue, with approximately $740 million of new construction contracts awarded during H1 FY25.
A boost in net profit after tax was also a highlight for Monadelphous, with $42.5 million delivered for the six-month period. The result was a 41.3 per cent increase from the six-month period ending December 31 2023.
Monadelphous also brought in 79.8 million in earnings before interest, tax, depreciation and amortisation, a 30.2 per cent increase on the prior corresponding period.
The company had secured approximately $1.7 billion in new contracts since July 1 2024 across a range of resources sectors. Most recently, Monadelphous was awarded two new construction and maintenance contracts with Rio Tinto’s Pilbara operations in WA.
Monadelphous managing director Zoran Bebic said these contracts will “provide a significant pipeline of prospects across a broad range of commodities”.
“Resources and energy demand is expected to remain strong over the long-term, underpinned by sustained economic growth and increasing investment in decarbonisation activities,” Bebic said.
“Significant investment in the renewable energy sector is also forecast to support the energy transition. The company continues to focus on sustainable growth and quality of earnings through a selective approach to new work, collaborative customer engagement, high standards of delivery, and the appropriate allocation of risk.”
Monadelphous ended H1 FY25 with $272.5 million in cash balance and $93.1 million in cash flow from operations.
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