Global shipbuilder Austal (ASX:ASB) announced a surge in its financial performance for the first half of fiscal year 2026, headlined by a record-breaking order book and substantial revenue growth.
For the six months ended Dec. 31, 2025, the company reported revenue of $1.1 billion, a 34.4% increase compared to the $825.7 million recorded in the same period last year.
The growth was driven by strong contributions across both its shipbuilding and support divisions.
The company's profitability also saw a sharp upward trajectory as EBIT rose 41.3% to $60.3 million, with margins improving slightly to 5.4%.
Net profit after tax climbed to $30.5 million, representing a 21.4% year-on-year increase.
Austal’s forward-looking prospects have reached unprecedented levels, with the total order book hitting a new record of $17.7 billion as of February.
This includes a landmark $5 billion contract for landing craft medium and heavy vessels under Australia’s Strategic Shipbuilding Agreement.
Despite the strong earnings, Austal has opted not to pay an interim dividend.
Management stated this decision reflects a strategic pivot toward reinvesting capital into a major expansion of manufacturing facilities in the United States.
While the company maintains a healthy net cash position of $241.4 million, this figure has decreased from June 2025 levels due to increased capital expenditure aimed at rapidly scaling shipbuilding capacity to meet future defence demands.