Washington H. Soul Pattinson and Company (SOL) H2 2025 earnings summary

Executive summary

• Statutory NPAT rose 125% to $30 million, with underlying NPAT up 222% to $197 million, driven by property revaluation gains and improved operational performance in Australia, despite significant impairment in North America and legal costs.

• The merger with Soul Patts was completed in September 2025, consolidating a 56-year cross-shareholding and delisting both companies from the ASX.

• Property EBITDA surged 252% to $167 million, with the value of Property Trust assets at $2.1 billion and Brickworks' 50% share of net assets at $2.1 billion.

• Building Products Australia EBITDA increased 4% to $106 million, while Building Products North America EBITDA fell 92% to $3 million due to market weakness and impairment.

Financial highlights

• Revenue from continuing operations was $1,068 million, down 2% year-over-year.

• Underlying EBIT from continuing operations before significant items rose 357% to $301 million; underlying EBITDA up 141% to $378 million.

• Operating cash flow increased 3% to $107 million.

• Gearing (net debt to equity) increased to 22% from 20% at July 2024.

• Net tangible assets per share were $19.41, nearly unchanged from $19.42 in 2024.

• Final dividend declared at 48.4 cents per share, fully franked, up 13%.

Outlook and guidance

• Property development continues with ongoing profit contributions expected in FY26 and FY27; significant rent reversion potential remains.

• Building Products divisions face subdued near-term demand but are positioned for medium-term recovery, supported by housing shortages and operational improvements.

• The merged entity is expected to benefit from enhanced scale, a streamlined structure, and a strengthened balance sheet.