PeopleIN (ASX:PPE) announced the strategic acquisition of New Zealand-based Infrawork for NZ$24 million.
The cash deal, announced alongside the company's H1 FY26 financial results, marks a transformative pivot toward high-growth verticals, including infrastructure construction, manufacturing, and food services.
Despite a challenging first half that saw revenue dip 8.2% to $394 million and normalised EBITDA fall 9.2% to $10.5 million, the company remains optimistic.
The year-on-year declines were largely attributed to temporary bottlenecks in PALM (Pacific Australia Labour Mobility) worker visa processing.
However, management expects these numbers to rebound in the second half of the year as processing delays ease.
The standout performer of the period was the Engineering, Trades, and Labour division, which delivered an impressive 44% organic growth.
The surge was primarily fueled by robust operations in Queensland and the state's aggressive building infrastructure investment.
Incoming Managing Director and Co-Founder, Tom Reardon, emphasised that the company is intentionally divesting lower-growth assets to "double down" on resilient sectors.
At the time of reporting, PeopleIN's share price was $0.68.