MLG Oz (ASX:MLG) Delivers Double-Digit Revenue Growth in H1 FY25 Despite NPAT Dip, Expects Upside in FY26

Highlights

• MLG Oz delivered over 20% YoY revenue growth in H1 FY25, supported by a 32.7% surge in mine site services and bulk haulage.
• A significant AUD 75 million, three-year contract has been secured with Westgold Resources.
• Simon Price has been appointed as a Non-Executive Director of MLG.

Kalgoorlie-based MLG Oz Limited (ASX:MLG) is a mining services and resource asset management provider. The company specialises in supporting ore processing operations across gold, iron ore, and other base metals in Western Australia and the Northern Territory.

H1 FY25 Performance

MLG posted a 20.31% YoY revenue growth in the first half of the financial year 2025 (H1 FY25), with revenue climbing to AUD 268.56 million from AUD 223.22 million in H1 FY24. This boost was largely driven by a 32.7% YoY increase in mine site services and bulk haulage, totalling AUD 246.7 million.

During the reported period, gross profit rose by 11.95% YoY to AUD 40.79 million. However, Net Profit After Tax (NPAT) declined by 42.25% YoY to AUD 4.10 million, primarily due to higher depreciation associated with recent fleet investments and weaker revenue from crushing and screening services.

Despite the drop in NPAT, MLG remains optimistic about its growth trajectory, with expectations of continued momentum into H2 FY25 and beyond, driven by expanding operations at six major mining sites including King of the Hills and Norseman.

New Westgold Contract to Boost Future Revenues

MLG recently secured a major three-year, AUD 75 million bulk haulage contract with Westgold Resources, set to begin in March 2025. The deal is projected to generate over AUD 25 million in annual revenue and further strengthen MLG’s operations in the Goldfields region.

This contract is expected to add to revenue from FY26.

Strategic Investments

To support its growth strategy and reduce long-term rental expenses, MLG has invested AUD 29.2 million in fleet expansion. The acquisition of an AUD 3.5 million accommodation facility in Kalgoorlie is another strategic step aimed at improving workforce retention and operational cost efficiency.

Leadership Expansion

On 24 March 2025, MLG informed about the appointed Mr. Simon Price as a Non-Executive Director. A co-founder and Deputy Chair of Azure Capital, Price brings extensive expertise in corporate finance, M&A, and capital markets.

Share performance of MLG

MLG shares closed flat at AUD 0.58 per share on 09 April 2025. Over the past year, MLG’s share price has gained approximately 3.57%, with a year-to-date increase of 5.45%. However, the stock recorded a 6-month decline of 9.37%. The 52-week high for MLG.AX is AUD 0.895, reached on 27 May 2024, while the 52-week low of AUD 0.520 was recorded on 18 December 2024.

Support and Resistance Summary

Note 1: Past performance is neither an Indicator nor a guarantee of future performance.

Note 2: The reference date for all price data and currency is 09 April 2025. The reference data in this report has been partly sourced from REFINITIV.

Technical Indicators Defined:

Support: A level at which the stock prices tend to find support if they are falling, and a downtrend may take a pause backed by demand or buying interest. Support 1 refers to the nearby support level for the stock and if the price breaches the level, then Support 2 may act as the crucial support level for the stock.

Resistance: A level at which the stock prices tend to find resistance when they are rising, and an uptrend may take a pause due to profit booking or selling interest. Resistance 1 refers to the nearby resistance level for the stock and if the price surpasses the level, then Resistance 2 may act as the crucial resistance level for the stock.

Disclaimer

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