How did Cleanaway Waste Management (ASX:CWY) perform in the first half of FY26?

Cleanaway reported a strong 17.8% increase in underlying net profit after tax (NPAT), reaching $109.7 million for the half-year ended Dec. 31, 2025..

Why did Cleanaway (ASX:CWY) upgrade its full-year earnings guidance?

The company raised its FY26 underlying EBIT guidance to a range of $480 million to $500 million, up from a previous floor of $470 million. Management cited strong operational momentum and a specialised cost-reduction program as the primary drivers.

What were the key earnings drivers for Cleanaway in this reporting period?

Growth was largely led by the core Solid Waste Services division, which saw earnings increase by 11% to $196.7 million. Group-wide underlying earnings before interest and tax (EBIT) rose 16.9% to $228.2 million.

How much is the Cleanaway (ASX:CWY) interim dividend for 2026?

Cleanaway declared a fully franked interim dividend of 3.35 cents per share, representing a 19.6% increase over the previous year's payout. This higher distribution signals management's confidence in the company's cash flow and long-term "Blueprint 2030" strategy.

Is Cleanaway (ASX:CWY) becoming more efficient?

Yes, the company is actively pursuing a cost-reduction strategy to improve margins. CEO Mark Schubert highlighted that these internal initiatives are on track to deliver $15 million in savings in the coming six months.

What does the Contract Resources acquisition mean for Cleanaway shareholders?

The integration of Contract Resources has been a key contributor to the 13% revenue jump this half. This acquisition diversifies Cleanaway’s revenue streams beyond basic waste collection into more specialised industrial services.

What are the main bull and bear points for CWY stock after this news?

The "bull" case rests on the guidance upgrade, margin expansion through cost-cutting, and a double-digit dividend hike. The "bear" case involves potential cyclical risks in industrial volumes and the ongoing challenge of maintaining "disciplined pricing" if inflation or competition increases.

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Cleanaway Waste Management sees 17.8% jump in H1 profit

Written by Liezl GambePublished Feb 26, 2026, 3:59 AMLast Updated Jul 6, 2026, 10:44 AM

Cleanaway Waste Management (ASX:CWY) delivered a robust set of interim results, posting a 17.8% increase in underlying net profit after tax to $109.7 million for the half-year ended Dec. 31, 2025.

The strong performance was underpinned by a 13% rise in net revenue to $1.88 billion, driven by disciplined pricing and the integration of recent acquisitions, including Contract Resources.

The company's underlying earnings before interest and tax climbed 16.9% to $228.2 million, while the core solid waste services division saw earnings grow 11% to $196.7 million.

Cleanaway declared a fully franked interim dividend of 3.35 cents per share, a 19.6% increase over the prior year.

Looking ahead, the waste giant has upgraded its FY26 underlying EBIT guidance to a range of $480 million to $500 million, up from its previous floor of $470 million.

CEO Mark Schubert attributed the upgrade to strong operational momentum and an ongoing cost-reduction program expected to deliver $15 million in savings in the second half.

At the time of reporting, Cleanaway Waste Management’s share price was $2.59.

Cleanaway Waste Management sees 17.8% jump in H1 profit

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