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Emeco Holdings Limited (EHL) Share Price & Analysis
EHL Stock Chart & Stats
- Day’s Range
- AUD 1.33 - AUD 1.41
- 52-Week Range
- AUD 0.91 - AUD 1.46
- Previous Close
- AUD 1.34
- Volume
- N/A
- Average Volume (3M)
- 724.72K
- Market Cap
- AUD 683.76M
- Enterprise Value
- AUD 653.00M
- Total Cash (Recent Filing)
- AUD 125.38M
- Total Debt (Recent Filing)
- AUD 252.43M
- Price to Earnings (P/E)
- 9.3
- Beta
- 1.00
- Next Earnings
- Feb 23, 2027 (Est.)
- EPS Estimate
- 0.08
- Last Dividend Ex-Date
- Sep 07, 2023
- Dividend Yield
- N/A
Bulls Say, Bears Say
Bulls Say
Deleveraging And Liquidity
Material debt reduction and a stronger equity base improve financial resilience and reduce balance-sheet pressure. Lower leverage should give Emeco greater flexibility to fund fleet investment, withstand mining-cycle volatility, and pursue opportunities without relying heavily on additional borrowing.
Strong Operating Cash Generation
Operating cash flow consistently exceeding accounting earnings indicates that reported profits are being converted into cash at a solid rate. This supports fleet maintenance, debt reduction, and investment while providing an internal funding base for the company’s recurring rental and service operations.
Growth In Maintenance Services
The expanding maintenance-services contribution diversifies Emeco beyond equipment rental and supports a structurally less capital-intensive earnings mix. Continued growth in these services could improve margin quality, deepen customer relationships, and make returns less dependent on fleet utilization alone.
Bears Say
Multi-year Revenue Decline
Three consecutive years of revenue contraction indicate that top-line momentum has weakened rather than reflecting only a single-period disruption. Persistent declines can limit operating leverage, reduce the scale available to support fixed costs, and constrain the company’s ability to grow earnings organically.
Sharp Gross-margin Deterioration
The pronounced gross-margin decline signals meaningful cost or revenue-mix pressure in the reported results, even though net income remained resilient. If sustained, weaker gross profitability would reduce the earnings benefit of revenue recovery and make returns more sensitive to utilization and cost control.
Low Utilization And Flat Near-term Guidance
Below-target fleet utilization directly limits rental revenue and spreads ownership costs across fewer productive assets. Management’s expectation of broadly flat FY2027 earnings means the recovery case depends on utilization improving later, delaying material earnings growth and leaving near-term performance exposed to operating conditions.
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Emeco Holdings Limited Stock Smart Score
Company Description
Emeco Holdings Limited
Established in 1972 and headquartered in Perth, Australia, Emeco Holdings Limited delivers a broad spectrum of heavy earthmoving machinery and essential mining support services throughout Australia. The company primarily leases key equipment including trucks, excavators, bulldozers, loaders, and graders. Additionally, Emeco specializes in the refurbishment and rebuilding of diverse heavy earthmoving equipment components, alongside providing mechanical, boilermaker, sandblasting, and painting repair services.
- Sector
- Industrials
- Industry
- Rental & Leasing Services
- CEO
- Ian Testrow
- Employees
- 867
- Website
- www.emecogroup.com
- Address
- 133 Hasler Road, Perth, WA, 6017, AU
Emeco Holdings Limited (EHL) Earnings & Revenues
EHL Company Deck
EHL Earnings Call
Earnings Call SentimentPositive
The call conveyed a positive strategic and financial position: solid earnings growth (operating NPAT +5%), strong cash generation (adjusted FCF AUD 114.5m), significant deleveraging (net leverage 0.43x), and a deliberate shift toward higher‑margin, lower‑capex maintenance services (on‑site maintenance +44% YoY; maintenance ~50% of revenue). Key negatives were a H2 utilization decline (surface 82%, underground 67%), reduced rental revenue and an 8% drop in Force external revenue due to capacity prioritization, plus one lost time injury and one‑off refinancing/ERP costs. Overall, the positive metrics, balance-sheet strength, growth in maintenance services, and shareholder return actions (10% buyback) outweigh the operational headwinds, supporting a constructive outlook as utilization recovers into FY2027–FY2028.
View all AU:EHL earnings summariesEHL Stock 12 Month Forecast
Average Price Target
Technical Analysis
Overall Consensus
| Indicator | Bullish | Neutral | Bearish |
|---|---|---|---|
| Overall Consensus | 14 | 2 | 6 |
| Technical Analysis | 2 | 2 | 6 |
| Moving Averages | 12 | 0 | 0 |








