Worley outlines FY26 results as it positions for a return to growth in FY27
In its FY2026 full-year results presentation delivered on 26 August 2026, Worley Limited outlined a transitional year in which aggregated revenue held broadly flat while earnings softened, alongside guidance pointing to renewed growth in FY27. Chief Executive Officer Chris Ashton and Chief Financial Officer Justine Travers detailed a result shaped by Middle East disruption and foreign exchange (FX) headwinds.
Aggregated revenue came in at $12,023m, effectively level with FY25’s $12,050m, and up 2.3% on a constant currency basis. Underlying earnings before interest, tax and amortisation (EBITA) fell to $734m, representing a 10.8% reported decline, or a 6.1% drop in constant currency terms. The final dividend was maintained at 25c.
Management framed the theme as “executing amid disruption, while positioning for growth,” highlighting Worley’s position at the centre of energy, chemicals and resources (ECR) megatrends. The company reaffirmed its FY30 ambition and guided to mid-to-high single digit growth in both revenue and underlying EBITA for FY27.
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FY26 performance snapshot, resilience through disruption
The presentation attributed the softer earnings outcome to three principal factors: Middle East disruption with a $58m impact, a slower chemicals market, and FX translation into the Australian dollar. Despite these pressures, management pointed to areas of operational resilience.
The Worley Middle East conflict impact was initially estimated at $30-$40 million when management first revised its FY26 outlook in April, with no project cancellations recorded at that stage and the disruption characterised as a timing delay rather than permanent order book erosion.
EBITA margin excluding procurement held at 9.0%, within the FY26 target range of 9.0% to 9.5%. Normalised cash conversion remained strong at 93.6%, inside the 85% to 95% target band, while safety performance reached record levels.
| Metric | FY26 | FY25 | Change |
|---|---|---|---|
| Aggregated revenue | $12,023m | $12,050m | −0.2% (up 2.3% cc) |
| Underlying EBITA | $734m | $823m | −10.8% (−6.1% cc) |
| Underlying NPATA | $395m | $475m | −16.8% |
| Underlying EPS | 78.2cps | 90.2cps | — |
| Normalised cash conversion | 93.6% | 94.9% | Within 85–95% target |
Safety and ESG progress
Management highlighted improvements across its safety and sustainability metrics during the period:
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Total Recordable Case Frequency Rate (TRCFR) improved to 0.07, down from 0.13 at 30 June 2025
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Serious Case Frequency Rate of 0.006, down from 0.02
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Greenhouse gas (GHG) emissions 76% below the 2020 base, from 73% previously
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Ratings including EcoVadis ‘Silver’, MSCI ‘A’, and CDP ‘B’, described as a leading rating in its peer group
These outcomes suggest operational discipline held despite the external shocks encountered during the year.
Leading indicators point to a stronger FY27
The presentation foregrounded forward-looking metrics as the clearest signal of momentum, with pipeline, bookings and backlog all growing. Management linked this growth to the FY30 ambition through expanding EPC and EPCM scopes and future-facing markets.
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Factored sales pipeline was up 24% pcp, with 50% expected to be awarded within the next 12 months
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Bookings rose 23% pcp to $15.5b (FY25: $12.6b), with sole-sourced wins at 44%
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Backlog increased 9% pcp, sitting at $15.0b on a constant currency basis (reported Jun-26 backlog was $13.8b), with over 62% expected to be delivered within 12 months
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Future-facing markets recorded more than $10b in bookings in FY26, with pipeline up 49% pcp
These leading indicators underpin the FY27 growth guidance issued by management.
Understanding Worley’s business model
For investors weighing the significance of the result, Worley’s delivery model helps explain why its earnings behave differently from many peers exposed to commodity markets. The company operates a capital-light, predominantly reimbursable model.
Reimbursable work represented 77% of FY26 revenue, meaning the company is paid for actual costs plus profit rather than taking on fixed-price commodity exposure. As a result, earnings track customer capital expenditure cycles rather than commodity prices, which can reduce volatility through cycles.
Full project delivery is central to the growth strategy. Approximately 75% of a project’s Total Installed Cost sits in the execution phase, so winning execution scope provides access to a materially larger share of customer spend. Management stated a deliberate risk discipline: “We do not and will not perform competitively bid Lump Sum Turnkey work (LSTK).”
Sector and regional performance
Performance across Worley’s three sectors was mixed, with diversification cushioning the chemicals downturn. Energy, the largest sector, delivered revenue up 8.1% to $6,373m, supported by EPC opportunities progressing through the pipeline.
Resources revenue rose 5.8% to $3,282m, described as the fastest-growing sector over the past four years, driven by copper, mined fertilisers and battery materials. Chemicals revenue fell 22.4% to $2,368m, reflecting near-term project cancellations, though management noted the sector remains structurally significant over the long term.
Regionally, Americas revenue rose 17.3% as major projects advanced into execution. EMEA declined 11.3% on Middle East disruption, while APAC fell 22.0% following major project completions.
Flagship project wins
Marquee awards highlighted during the presentation included:
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Venture Global CP2 (Phases 1 & 2)
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Uniper Connah’s Quay Low Carbon Power (preferred EPC contractor)
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Heidelberg Materials Padeswood carbon capture project (EPCM)
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BHP Jansen Potash (fabrication, modularisation and construction)
Financial discipline and capital returns
Management emphasised cost and capital actions as building blocks for FY27 earnings. The company delivered $132m in cost-out actions, exceeding its initial $100m target from FY27 onwards.
One-off restructuring costs of $120m, predominantly relating to Western Europe, were excluded from the underlying result but are reflected in statutory NPATA of $306m. On capital returns, a $500m buyback was completed, with an additional $300m buyback ongoing, and $359m returned to shareholders during FY26.
The balance sheet showed leverage of 1.8x against a target of around 2.0x, cash conversion of 93.6%, and Days Sales Outstanding (DSO) improving to 44.3 days.
Key message from management
“Executing amid disruption, while positioning for growth.”
Strategy, FY30 ambition and outlook
Presenting management’s forward view, the company reaffirmed its FY30 ambition to achieve a double-digit medium-term underlying EBITA CAGR by FY30. All forward-looking statements remain subject to no material deterioration in current market conditions.
Four building blocks were outlined to support this ambition: current market growth, AI-enabled full project delivery, future-facing growth markets, and scale benefits. Worley aligned its strategy to long-term demand tailwinds, citing (in USD) an estimated $106t in energy security infrastructure spend to 2040, $7t in data centre capital expenditure by 2030, and $4.5t per annum in energy transition capital expenditure by 2030.
Management noted it is exploring a change of presentation currency from Australian dollars to US dollars to reduce translation volatility, framed as under exploration rather than a decided outcome.
FY27 outlook
Key elements of the FY27 outlook included:
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Mid-to-high single digit growth in both revenue and underlying EBITA
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Underlying EBITA expected to be more heavily H2-weighted than historical norms
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Middle East work volumes anticipated to lift in H2
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Continued tailwinds in North America, the company’s largest market
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Australian dollar strength remaining a translation headwind
The presentation set out a clear roadmap from a transitional FY26 towards a growth-oriented FY27, with the diversified, capital-light model and a growing pipeline underpinning the path back to growth.
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