AMA Group Limited

AMA Group said FY '26 revenue was a record $1.039 billion, up $25.4 million or 2.5% on FY '25. Normalized pre-AASB 16 EBITDA was $68 million, up $5.4 million or 8.6%, with EBITDA margin improving from 6.2% to 6.5%. Net profit after tax was $7.7 million versus a net loss after tax of $6.2 million in FY '25. Operating cash flow after lease payments was $32.8 million, finance costs were down $8.7 million, net debt ended at $18.4 million, and the board declared a fully franked $0.05 per share dividend. For FY '27, the company expects normalized pre-AASB 16 EBITDA of $75 million to $80 million, Capital SMART EBITDA margin of 10% to 11%, capital expenditure of around $35 million, and corporate costs of $12 million to $13 million.

Ray Smith-Roberts framed FY '26 as evidence that the group’s vertically integrated model is working better, especially as Capital SMART, AMA Collision, the Specialist business and ACM Parts are increasingly connected across the value chain. He repeatedly emphasized that ACM Parts is now seen as an important, consistent contributor rather than a business for sale, and said the group has a stronger foundation and is “very positive” about the road ahead. His tone was constructive and confident, while still acknowledging that collision network optimization and volume recovery are not finished.

Domenic Romanelli highlighted the core financial improvements: revenue of $1.039 billion, normalized EBITDA of $68 million, EBITDA margin of 6.5%, and NPAT of $7.7 million. He said finance costs fell by $8.7 million, mainly due to lower funding costs and debt levels after refinancing, partly offset by $4 million higher lease finance costs, and noted operating cash flow of $32.8 million after lease payments. He also flagged net debt of $18.4 million, capex of $30.3 million in FY '26, expected capex of around $35 million in FY '27, regular maintenance capex of $12.5 million to $15 million annually, and corporate costs of $12 million to $13 million in FY '27. He added that the company remains within covenants and can consider dividends, buybacks, CapEx, and M&A, though dividend/buyback capacity is currently constrained by an NPAT-based debt facility restriction.

Analysts focused on ACM Parts, collision volumes, the pace of network rationalization, capital allocation, and capex. Management said ACM is now an integral, profitable part of the group with a longer runway, and that it is no longer viewed as a sale candidate. On collision, management said volumes in Q4 and early Q1 were stable but not improving much, with consumers delaying minor repairs and a mix shift toward more non-drivable complex work; the company also said some further rationalization is still likely, especially in Victoria, before the network is fully optimized. On capital returns, management said dividend reinstatement was important, buybacks may be used if the shares stay subdued, and M&A becomes more likely later as organic investment needs are completed.