Civmec Limited has secured a series of new contracts and extensions with a combined value exceeding A$400 million ($344.63 million).

 

The A$400 million of new contracts and extensions are expected to be delivered across 2HFY2026 and FY2027, building upon an uplift in activity heading into the second half of this year.

 

Among these newly awarded contracts, Civmec secured a contract with BHP for the Port Debottlenecking Project 2 (PDP2) at Nelson Point, Port Hedland, to deliver the concrete and earthworks for the installation of a sixth car dumper (CD6) which is also being manufactured by Civmec at its Henderson fabrication facility.

 

The group has also been awarded a contract for the construction of Light Mobile Equipment and Support Mobile Equipment charger facilities and pit power infrastructure at Fortescue&rsquo s Eliwana and Flying Fish mine sites.

 

Revenue is down 27.5 per cent year on year at A$190.4 million

 

[SINGAPORE] Civmec on Wednesday (Oct 26) posted a net profit after tax of A$10.5 million (S$9 million) for its first quarter ended Sep 30, down about 30.9 per cent from A$15.2 million for the corresponding period a year prior.

 

The construction and engineering company, which is listed in both Singapore and Australia, reported a 27.5 per cent decline in revenue to A$190.4 million for Q1 FY2026, from A$262.7 million for Q1 FY2025. 

 

Civmec completed the acquisition of Luerssen Australia on Jul 1, and renamed it Civmec Defence Industries on Oct 1. 

 

In Q1 FY2026, Civmec delivered an Arafura Class offshore patrol vessel to the Australian government. Shipbuilding for the Arafura Class vessels has transitioned to the company&rsquo s facility in Henderson, Western Australia, it said.

 

Another vessel is scheduled to be launched on Oct 31, and three more ships are under construction.

 

As at Sep 30, Civmec&rsquo s order book stood at about A$1.2 billion. The company said this reflects &ldquo ongoing replenishment driven by a stream of operationally critical but modestly sized awards&rdquo .

 

While previous expectations of reduced activity in the first half of FY2026 are materialising, Civmec said it is observing an uplift in activity heading into the second half.

A final dividend of A$0.035 per share was declared for the period, unchanged from the year before

 

[SINGAPORE] Integrated heavy engineering, construction and maintenance service provider Civmec : P9D +0.53% posted a 50.7 per cent drop in net profit to A$16 million (S$13.4 million) for its six months ended Jun 30, from A$32.5 million in the previous corresponding period.

 

This came alongside a 43.1 per cent fall in revenue to A$307.7 million for the second half of its financial year, from A$541.1 million in H2 FY2024. 

 

In a bourse filing on Thursday (Aug 28), the mainboard-listed company attributed its performance to reduced activity levels following the completion of several major contracts.

 

Basic earnings per share for the six-month period fell to A$0.0316 from A$0.0641 in the previous year.

 

A final dividend of A$0.035 per share was declared for the period, unchanged from the year before. The dividend will be paid on Oct 24, after books closure on Oct 15. 

 

Full-year performance

For the full year, net profit fell 34 per cent to A$42.5 million from A$64.4 million in FY2024, following a 21.6 per cent drop in revenue to A$810.6 million from A$1.03 billion in the previous year. 

 

Civmec notched an increase in revenue from its energy segment, but recorded a decrease from its resources as well as infrastructure, marine and defence segments. 

 

Higher activity levels undertaken in the energy sector drove its revenue up by 110 per cent to A$65.2 million from A$31 million in FY2024. 

 

Meanwhile, lower activity levels meant that its revenue for its resources sector fell 26.8 per cent to A$641.2 million, and that for its infrastructure, marine and defence segment declined 17.3 per cent to A$104.2 million. 

However, gross profit for the latter increased by 100.4 per cent due to the timing of profit recognition from the completed Boorloo Bridge project, noted the group. 

 

Civmec said: &ldquo Whilst the group continues to maintain its strong relationship with long-term customers, the previously observed shift in market conditions has eventuated, resulting in delays to key project awards and rescheduling of project timelines impacting activity levels in H2 FY25 and H1 FY26. 

 

&ldquo Despite this, tendering activity remains strong, and market outlook is improving, with indications that activity levels will increase in H2 FY26.&rdquo

 

Earlier in June, Civmec announced its purchase of Luerssen Australia from Naval Vessels Luerssen Australia for A$20 million in cash, funded by the group&rsquo s existing cash reserves. 

 

As at Jul 1, 2025, it had successfully completed the acquisition, which is expected to boost activity within its infrastructure and defence segments, it noted. 

 

Within its balance-machine business unit, the group also observed positive market conditions with an increase in interest and client engagement, said the financial statement. 

 

The company continues to focus on maintaining a strong pipeline of tendering activities and exploring new revenue streams to ensure sustained growth and profitability, it added. 

 

Civmec Limited has secured a series of new contract awards and extensions of approximately A$600+ million ($505.26 million), including the addition of SEA1180 program of works after the group&rsquo s acquisition of Luerssen Australia.

 

Among the newly secured contracts, Civmec has been awarded a package of works for Rio Tinto&rsquo s Cape Lambert Port A facility.

 

The contract involves the upgrade of six balanced machines&mdash two stackers, two reclaimers, and two shiploaders&mdash to support the introduction of high-density ore types. The scope of work includes procurement, fabrication, SMP (structural, mechanical, piping), and E& I (electrical and instrumentation) works.

 

Civmec has also been awarded the contract to install civils and SMPE& I for Fortescue&rsquo s Christmas Creek Green Iron Project. This project, located at Fortescue&rsquo s Green Energy Hub at Christmas Creek in Western Australia&rsquo s Pilbara, is part of Fortescue&rsquo s commitment to developing the technologies and processes to produce green metal. The first production is anticipated in FY2026.

 

Finally, Civmec, as part of a consortium comprising Civmec, Seymour Whyte, and Aurecon has been selected by the WA Government through Main Roads Western Australia as the preferred proponent for the planning and design development of the Perth Sporting and Entertainment Precinct Project.

 

The work will include the architectural and engineering work which will begin immediately and is anticipated to be completed by the end of the calendar year 2025. The project will see a new outdoor amphitheatre, facilities to support live music and sporting events, and green spaces.

 

&ldquo Our diversification into becoming an end to end supplier of services for Balance machines is continuing to pay dividends with the award of the contract to upgrade the balance machines at Rio Tinto&rsquo s CLA facility. We are very pleased to continue our strong relationship with Fortesque and be part of their campaign to be a world leader in the production of Green metal,&rdquo says Civmec&rsquo s CEO Patrick Tallon.

The aim of the deal is to consolidate the country&rsquo s sovereign shipbuilding capability under a single unit

 

[SINGAPORE] Construction and engineering services provider Civmec   : P9D +2.91%will purchase Luerssen Australia from Naval Vessels Luerssen (NVL) Australia for A$20 million (S$16 million) in cash, the company said on Thursday (Jun 26).

 

Civmec will take ownership of the whole business, including assets, employees and licences. The deal will be funded by the group&rsquo s existing cash reserves.

 

The assets, plant and equipment, were valued at A$3.6 million. No external valuation was conducted for the acquisition.

 

The aim of the deal is to solidify Australia&rsquo s sovereign shipbuilding capability by consolidating design, construction and operational expertise under a single, locally owned entity, in a bid to enhance national resilience and support long-term defence industry growth, said the Australian shipbuilder. 

 

Luerssen Australia is a subsidiary of NVL, which is an independent, privately owned group of German shipyards and related companies.

 

It specialises in the design, manufacture and servicing of yachts, naval and coastguard vessels. The company supports Australia&rsquo s national sovereign shipbuilding strategy and operates from the Australian Marine Complex in Henderson, Western Australia.

 

The acquisition has a target completion date of Jul 1. 

 

A pre-agreed level of working capital will be retained within Luerssen Australia upon completion to support post-completion operations as well, Civmec said.

 

Civmec signed a non-binding heads of agreement with the German shipbuilder for the transfer of ownership of Luerssen Australia last Oct 15. 

 

This, in particular, was to ensure the &ldquo uninterrupted design and build&rdquo of six offshore patrol vessels for the Royal Australian Navy under an existing contract with the Australian Department of Defence &ndash the NVL subsidiary&rsquo s sole business, executed at a shipyard in South Australia and a Civmec-owned facility in Western Australia.

 

Engineering firm CivmecLimited has reported a net profit after tax of A$8 million ($6.66 million) for the 3QFY2025 ended March 31, 2025, down from the A$17.1 million reported in the same period a year ago.

 

For the 9MFY2025, net profit after tax came in at $34.6 million.

 

The company reported a revenue for 3QFY2025 and 9MFY2025 of A$158.5 million and A$661.3 million respectively. The 3QFY2025 revenue was lower than the A$258.3 million revenue in 3QFY2024, the reporting period a year ago.

 

Earnings per share for the nine months ended March 31 was 6.8 cents.

 

Civmec says that the second half of the FY2025 reflects a transition period for the group as it focuses on securing new contracts, after the completion of several major projects earlier this calendar year.

 

Its expectations for the fourth quarter revenue and earnings are consistent with the 3QFY2025.

 

The company recently won A$285 million of contracts, taking its current order book over A$760 million with current tendered works totalling A$13.2 billion.

 

The company, which is based in Australia, says that new facilities at Port Hedland and Gladstone better position Civmec for maintenance and fabrication in the regions.

 

The company is also hopeful about the Australian government&rsquo s multi-billion-dollar investment to expand Fleet Base West and the Henderson Precinct, which it says will present naval shipbuilding and infrastructure opportunities.

 

Australia-based engineering firm Civmechas won several new contracts and extensions valued at some A$285 million.

 

The company' s materials handling works portfolio continues to grow, with a new shiploader project for Port Waratah Coal Services (Port Waratah).

 

Civmec will help design, fabricate, preassemble, ship and install a new shiploader to the Kooragang Terminal, and the removal of the existing shiploader.

 

According to Civmec, this project will create more than 100 jobs throughout its duration to 2028.

 

Next, Civmec won a contract for the refurbishment works for an existing Port Waratah shiploader to ensure its continued reliable operation and extend its usable life.

 

Civmec has also been awarded a contract for the design and construction of field-erected tanks and civil concrete works for Iluka Resources' Eneabba rare earths refinery - Australia' s first fully-integrated facility for the production of separated rare earth oxides.

 

Last but not least, Civmec won more maintenance services contracts worth more than A$40 million in its 3QFY2025.

Civmec, on Jan 10, announced that it made positive progress with the due diligence for the transfer of ownership of Luerssen Australia, a shipyard in Western Australia.

 

The update comes after the company signed a non-binding heads of agreement with NVL B.V. & Co. KG of Bremen Germany outlining the framework for the transfer of ownership in October 2024. Luerssen Australia is responsible for building six Arafura Class Offshore Patrol vessels for the Royal Australian Navy under the SEA 1180 contract.

 

The heads of agreement includes the transfer of all NVL' s shareholding in Luerssen Australia to Civmec , encompassing all assets, employees, and licences.

 

The successful transfer of ownership will ensure the continued design and construction of the Arafura Class Offshore Patrol vessels at the Osborne South shipyard in South Australia and Civmec' s facility in Henderson, Western Australia.

 

In its Jan 10 update, Civmec says both parties have been actively exploring ways to enhance efficiency and synergies for the SEA 1180 project while collaborating closely with the Commonwealth to obtain consent.

 

The parties are now working towards a revised effective date the transfer of ownership is expected to be on or before July 1.

 

Amid the due diligence and consent process, Civmec Construction & Engineering and Luerssen Australia have entered into a service level agreement to enable the former to provide the latter with shipbuilding services and operational support. Civmec' s shipbuilding and operational support under the agreement will continue until the successful transfer of ownership or the end of the agreement&rsquo s term.

 

Dual-listed construction and engineering services provider Civmec P9D Limited has reported a net profit of A$15.2 million ($13.2 million) in 1QFY2025 ended September, in line with the same period last year. 

 

Meanwhile, earnings per share stood at 2.99 Australian cents in 1QFY2025, down from 3.01 Australian cents in 1QFY2024. 

 

For the same period, the group&rsquo s revenue stood at A$262.7 million, up 7.2% y-o-y from 1QFY2024. 

 

In 1QFY2025, the group reported an ebitda of A$29.2 million, up by 1% y-o-y. 

 

Net asset value (NAV) per share stood at 95.8 Australian cents, up from 86.0 Australian cents in 1QFY2024. 

 

As at end-September, the group had an order book of A$800 million, down from A$853 million in the previous quarter. 

James Fitzgerald, chairman of Civmec, says: &ldquo We continue to secure projects with long term clients, demonstrating our robust market position.&rdquo  

 

He adds: &ldquo Additionally, we are excited to announce the successful completion of the re-domicile of the Civmec&rsquo s parent company to Australia, effective from Sept 4. This strategic move is anticipated to enhance our ability to secure Australian contracts, particularly from entities with local content policies or initiatives.&rdquo

All assets, employees and licences will be transferred to ensure the uninterrupted design and build of six offshore patrol vessels under an existing contract 

 

CONSTRUCTION and engineering services provider Civmec : P9D -2.8% has signed a non-binding heads of agreement with German shipbuilder Naval Vessels Lurssen (NVL) for the transfer of ownership of its subsidiary Luerssen Australia. 

 

Once the potential transaction is completed, NVL will transfer all its shareholding in Luerssen Australia to Civmec, including all assets, employees and licences. 

 

This will ensure the &ldquo uninterrupted design and build&rdquo of six offshore patrol vessels for the Royal Australian Navy under an existing contract with the Australian Department of Defence &ndash   Luerssen Australia&rsquo s sole business, done at a shipyard in South Australia and the Civmec-owned facility in Western Australia, said Civmec in a Tuesday (Oct 15) bourse filing. 

 

The proposed change of ownership and control of Luerssen Australia will be subject to the government&rsquo s approval. 

 

To obtain the necessary consent as soon as possible, Civmec said the group and Luerssen Australia will immediately begin engagements with the authorities on the required administrative approval process and work towards a target date of Dec 31. 

 

At the same time, the group will conduct necessary due diligence and detailed planning, since the non-binding agreement is subject to satisfactory due diligence and the fulfilment of certain conditions. 

 

&ldquo The immediate priority is to agree on a framework for the interim period in which Luerssen Australia and Civmec will closely cooperate in managing (the existing contract), ensuring that (the Department of) Defence, the Royal Australian Navy and industry all benefit from the efficiencies and advantages of the agreement,&rdquo said Civmec. 

 

Civmec executive chairman Jim Fitzgerald said the acquisition of Luerssen Australia is a &ldquo natural step&rdquo for the company, as a sovereign Australian shipbuilder with world-class shipbuilding facilities and an experienced shipbuilding workforce. 

 

&ldquo Having worked on the project since 2018, we&rsquo re confident in our ability to execute the remaining work scope and ensure a smooth transition for all stakeholders,&rdquo he added. 

 

Tim Wagner, Luerssen Australia&rsquo s chairman and chief executive of NVL, added that he is confident in Civmec&rsquo s ability to finish the remaining works, and assured that NVL will support the group until it successfully completes the existing project. 

 

&ldquo We appreciate there are many details to work through, and we look forward to engaging with all stakeholders, including the Commonwealth, Luerssen Australia employees and suppliers to ensure a smooth and successful transition,&rdquo said Wagner.

 

Maybank Securities analyst Eric Ong has kept &ldquo buy&rdquo on Civmec P9D 0.00% with a target price of $1.05 following the company&rsquo s FY2024 ended June results.

 

For its 2HFY2024, Civmec posted a patmi of A$32.5 million, up 10.6% y-o-y, bringing full year earnings to A$64.4 million, up 11.7% y-o-y.

 

Civmec declared a final dividend per share (DPS) of 3.5 Australian cents, taking the total DPS to 6 Australian cents. Given its net cash balance sheet, Ong believes there is still room for the company to raise its payout ratio. 

 

Turnover for 2HFY2024 rose 31.3% y-o-y to A$541.1 million, mainly due to increased activity levels especially in its resource and infrastructure and defence segments, which more than offset the weaker energy segment, which was down 58% y-o-y.

 

While Ong notes that Civmec&rsquo s order book declined by 17.9% y-o-y to A$853.4 million as at end-June, the company is currently working towards formalising the MoU for a strategic joint venture to tender on the LAND8710 landing craft heavy shipbuilding programme for the Australian government. This could potentially open the opportunity for Civmec to participate in over A$25 billion of future works.

 

Meanwhile, Civmec&rsquo s new facility in Port Hedlands is now fully operational. The company has commenced on delivering maintenance work for local clients, Ong points out.

The company has also purchased an established adjoining workshop next to its existing land in Gladstone, Central Queensland. This acquisition has expedited Civmec&rsquo s objective to establish a permanent base of operations in the region, Ong notes. The company has since moved into the newly acquired facility, thus enabling it to further enhance its service offering and capabilities.

 

On Aug 1, the move to redomicile Civmec&rsquo s parent company to Australia was passed and has been sanctioned by the court on Aug 28. Civmec will lodge the court order on September 4 with the Accounting and Corporate Regulatory Authority of Singapore and the scheme will take effect on the date of lodgement. 

 

The NewCo shares will then commence trading on both the Singapore Exchange S68 0.18% and Australian Securities Exchange on September 5. 

 

This strategic initiative is designed to better align Civmec with local manufacturing requirements in Australia, thereby improving the number of opportunities available to the group, Ong highlights.

Dual-listed construction and engineering services provider Civmec P9D 0.00% Limited has reported another record set of results for the FY2024 ended June 30. Earnings rose by 11.6% y-o-y to A$64.4 million ($57.0 million) while revenue grew by 24.4% y-o-y to A$1.03 billion.

 

The higher revenue was attributed to the group&rsquo s increased activity levels as well as the timing of revenue recognition on projects. Revenue for the group&rsquo s resources and infrastructure, marine & defence segments rose while revenue for Civmec&rsquo s energy segment fell.

 

FY2024 gross profit increased by 9.0% y-o-y to A$119 million thanks to the higher revenue.

 

Other income during the year surged by 102.6% y-o-y to A$5.3 million mainly due to the fair value gain on an investment property and higher interest income.

 

The group&rsquo s ebitda stood at A$120.8 million while cash from operations stood at $96.9 million, representing a conversion rate of 80%.

 

Earnings per share (EPS) stood at 12.70 Australian cents, up from 11.42 Australian cents in FY2023.

 

As at June 30, Civmec&rsquo s order book came in at over A$853 million.

 

&ldquo It is pleasing to deliver another record result for our shareholders, with the group achieving over A$1 billion in revenue and A$64 million in NPAT. This continued strong performance has allowed us to propose a final dividend of 3.5 Australian cents, taking total dividends payable for the year to 6 Australian cents, a 20% increase on FY2023,&rdquo says Civmec&rsquo s chairman James Fitzgerald.

 

&ldquo As in the past, the dividends are fully franked for Australian taxpayers. As recently announced, the resolution to change the domicile of the parent entity of the group to be Australian was passed at the shareholders&rsquo scheme meeting on Aug 1. The change in domicile of the group will broaden the future opportunities that will align with Civmec&rsquo s strategic growth plans,&rdquo he adds.

The shareholders&rsquo scheme was sanctioned by the court on Aug 28. Civmec will lodge the court order with the Accounting and Corporate Regulatory Authority of Singapore (ACRA) on Sept 4. The scheme will take effect on and from the date of lodgement.

 

Looking ahead, the group says it continues to grow its engineering design capability as it sees strong demand for original equipment manufacturer (OEM) material handling machines, for both new facilities and replacement of ageing assets.

 

Based on its estimates, there is demand for over 30 OEM machines over the next 10 years in Australia and the group is the only one in the country with a full in-house service offering so far.

 

In addition, the group says it is committed to supporting future shipbuilding programmes in the defence sector.

 

&ldquo As we celebrate 15 years of successful operations in Australia, the group&rsquo s outstanding financial performance and ability to deliver over A$1 billion in revenue this year is a testament to our group&rsquo s operational excellence,&rdquo says CEO Patrick Tallon.

 

On the same day, Civmec announced the appointment of Bojan Cica as its new chief financial officer (CFO). The appointment is internal with the current acting CFO, Kevin Deery, serving in a dual capacity. Deery is also the group&rsquo s chief operating officer (COO).

 

Cica, who was most recently Civmec&rsquo s group manager commercial and operational risk, will step into his new role from Sept 1.

The deals include fabrication, manufacturing, construction and maintenance work in Australia

 

CONSTRUCTION and engineering group Civmec Limited : P9D +1.22% on Monday (Jul 1) said it has bagged multiple projects with a combined contract value of about A$174 million (S$157.5 million). 

 

These include a &ldquo significant&rdquo contract for the supply, manufacture and offsite assembly of a new shiploader for the Dalrymple Bay Terminal in Queensland, Australia, said Civmec, which is listed in Singapore and Australia. 

 

&ldquo The project will create significant opportunities for local employment and subcontracting, reinforcing Civmec&rsquo s commitment to contributing positively to the communities in which we operate,&rdquo it said. 

 

It also follows the recent completion of manufacturing of a shiploader for the Hay Point Coal Terminal, said Patrick Tallon, Civmec&rsquo s chief executive officer, in a bourse filing. 

 

Additionally, the group said it recently secured a number of new contracts and work orders under existing term contracts and framework agreements across Australia. These include a shiploader travel bogie changeout project, as well as risk management and inspection services in Western Australia, wharf remediation activities on the country&rsquo s east and west coasts, and balance machine design and investigative work. 

 

There is ongoing shutdown and maintenance work throughout Australia as well, and the group&rsquo s plans for a new east coast maintenance hub in Gladstone are progressing, said Civmec. 

 

&ldquo (This) is expected to further add to Civmec&rsquo s growth across the maintenance service sector nationally,&rdquo it said. 

 

At the same time, Civmec said additional scopes of work were added to &ldquo numerous&rdquo existing manufacturing and construction contracts, and tendering activities remain at &ldquo historically high levels&rdquo .

 

&ldquo (This will provide) significant opportunities for both order book replenishment and growth in the medium and longer term,&rdquo said the group.

 

Tallon added: &ldquo We have made significant investments into our capabilities over the years, enabling successful delivery of a wide range of materials-handling equipment for many clients and commodities.&rdquo