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GR Engineering Services Ltd (AU:GNG)
ASX:GNG
Australian Market
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GR Engineering Services Ltd (GNG) AI Stock Analysis

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AU:GNG

GR Engineering Services Ltd

(Sydney:GNG)

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Neutral 67 (OpenAI - 4o)
Rating:67Neutral
Price Target:
AU$4.00
▲(10.80% Upside)
The overall stock score of 66.9 reflects strong financial performance and attractive valuation, offset by technical indicators suggesting short-term caution. The company's profitability and dividend yield are key strengths, while revenue growth and cash flow volatility present challenges.

GR Engineering Services Ltd (GNG) vs. iShares MSCI Australia ETF (EWA)

GR Engineering Services Ltd Business Overview & Revenue Model

Company DescriptionGR Engineering Services Ltd (GNG) is a leading engineering services company based in Australia, specializing in the mining and resources sectors. The company offers a comprehensive range of services, including engineering design, project delivery, and asset management, primarily focusing on the development and optimization of mining projects. GNG is known for its innovative solutions and expertise in providing tailored engineering services to enhance operational efficiency and project success.
How the Company Makes MoneyGR Engineering Services Ltd generates revenue through multiple streams, primarily by providing engineering, procurement, and construction (EPC) services to the mining and resources sectors. Key revenue streams include contract-based project work, where the company charges clients for specific engineering and construction services, and ongoing maintenance contracts that ensure continual income from established projects. Significant partnerships with major mining companies and participation in large-scale resource projects further bolster its earnings. Additionally, the company may benefit from performance bonuses linked to project milestones and successful project completions, enhancing its financial performance.

GR Engineering Services Ltd Financial Statement Overview

Summary
GR Engineering Services Ltd exhibits strong profitability and financial stability, with impressive margins and low leverage. However, the company faces challenges in revenue growth and cash flow volatility. Continued focus on revenue expansion and cash flow management will be crucial for sustaining long-term growth.
Income Statement
72
Positive
GR Engineering Services Ltd has demonstrated strong profitability with a consistent gross profit margin above 50% in recent years, indicating effective cost management. However, the company has faced challenges in revenue growth, with a decline of 5.87% in the latest year. Despite this, net profit margins have remained stable, reflecting efficient operations.
Balance Sheet
68
Positive
The company's balance sheet shows a healthy debt-to-equity ratio of 0.13, suggesting low leverage and financial stability. Return on equity is impressive at nearly 50%, indicating strong profitability relative to shareholder investments. However, the equity ratio is moderate, suggesting room for improvement in asset management.
Cash Flow
65
Positive
While operating cash flow has been positive, the free cash flow growth rate has been volatile, with a significant decline of nearly 60% in the latest year. The operating cash flow to net income ratio is relatively low, indicating potential challenges in converting income into cash. However, the free cash flow to net income ratio remains strong, suggesting efficient cash management.
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue479.02M479.02M424.06M551.36M651.67M392.39M
Gross Profit166.03M254.86M232.54M52.61M65.77M40.42M
EBITDA56.35M55.44M50.02M46.20M55.93M34.09M
Net Income34.21M34.21M31.18M27.49M34.72M23.24M
Balance Sheet
Total Assets192.51M192.51M226.75M193.96M235.44M160.29M
Cash, Cash Equivalents and Short-Term Investments70.96M70.96M74.65M86.02M101.99M68.97M
Total Debt9.18M9.18M9.15M7.23M4.26M8.26M
Total Liabilities123.66M123.66M160.43M134.23M173.28M108.65M
Stockholders Equity68.85M68.85M66.33M59.73M62.16M51.64M
Cash Flow
Free Cash Flow34.49M35.84M24.97M9.86M65.81M47.51M
Operating Cash Flow36.86M38.21M29.79M13.27M69.42M49.19M
Investing Cash Flow-3.02M-3.02M-8.27M4.25M-3.99M-1.47M
Financing Cash Flow-37.34M-38.69M-33.51M-32.94M-33.13M-16.35M

GR Engineering Services Ltd Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price3.61
Price Trends
50DMA
3.87
Negative
100DMA
3.73
Negative
200DMA
3.23
Positive
Market Momentum
MACD
-0.09
Positive
RSI
43.58
Neutral
STOCH
54.37
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:GNG, the sentiment is Neutral. The current price of 3.61 is below the 20-day moving average (MA) of 3.73, below the 50-day MA of 3.87, and above the 200-day MA of 3.23, indicating a neutral trend. The MACD of -0.09 indicates Positive momentum. The RSI at 43.58 is Neutral, neither overbought nor oversold. The STOCH value of 54.37 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for AU:GNG.

GR Engineering Services Ltd Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
€619.72M19.4316.18%3.14%45.23%43.94%
AU$536.33M22.0934.21%2.00%3.10%5.08%
AU$493.15M11.7729.67%2.80%-3.08%-16.35%
AU$1.16B32.3725.18%0.54%36.30%82.20%
AU$685.45M16.078.35%4.18%-21.57%-34.09%
AU$590.02M17.2050.61%6.09%12.96%8.19%
$10.43B7.12-0.05%2.87%2.86%-36.73%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:GNG
GR Engineering Services Ltd
3.61
1.66
85.13%
AU:LYL
Lycopodium Limited
12.50
1.54
14.02%
AU:SXE
Southern Cross Electrical Engineering Limited
2.39
0.90
60.62%
AU:GNP
GenusPlus Group Ltd.
6.72
4.34
182.35%
AU:DUR
Duratec Limited
2.07
0.50
31.85%
AU:CVL
Civmec Singapore Limited Shs Chess Deposit Interests Repr 1 Sh
1.44
0.14
10.77%

GR Engineering Services Ltd Corporate Events

GR Engineering Services Ltd Releases 2025 Corporate Governance Statement
Oct 22, 2025

GR Engineering Services Ltd has released its corporate governance statement for the financial year ending June 30, 2025, which has been approved by the board as of August 25, 2025. The statement outlines the company’s adherence to the ASX Corporate Governance Council’s principles and recommendations, detailing its compliance with governance practices and any deviations along with reasons and alternative practices adopted. This release is significant as it demonstrates the company’s commitment to transparency and accountability, potentially impacting stakeholder confidence and reinforcing its industry positioning.

The most recent analyst rating on (AU:GNG) stock is a Hold with a A$4.00 price target. To see the full list of analyst forecasts on GR Engineering Services Ltd stock, see the AU:GNG Stock Forecast page.

GR Engineering Services Ltd Announces 2025 AGM and Key Resolutions
Oct 22, 2025

GR Engineering Services Ltd has announced its Annual General Meeting scheduled for November 21, 2025, where shareholders will review the company’s financial statements and vote on key resolutions. These include the adoption of the remuneration report, re-election of directors Phillip Lockyer and Peter Hood AO, and approval of the 2025 Equity Incentive Plan. The outcomes of these resolutions could impact the company’s governance and strategic direction, influencing its market positioning and stakeholder relationships.

The most recent analyst rating on (AU:GNG) stock is a Hold with a A$4.00 price target. To see the full list of analyst forecasts on GR Engineering Services Ltd stock, see the AU:GNG Stock Forecast page.

GR Engineering Announces Details for 2025 Annual General Meeting
Oct 22, 2025

GR Engineering Services Limited announced the details of its upcoming Annual General Meeting, scheduled for November 21, 2025, in Western Australia. The company will not send hard copies of the meeting notice unless requested, encouraging shareholders to access documents online. This move aligns with modern communication practices and reflects the company’s commitment to sustainability and efficiency. Shareholders are advised to lodge proxies by November 19, 2025, and update their details for future electronic communications.

The most recent analyst rating on (AU:GNG) stock is a Hold with a A$4.00 price target. To see the full list of analyst forecasts on GR Engineering Services Ltd stock, see the AU:GNG Stock Forecast page.

GR Engineering Services Ltd Releases 2025 Annual Report
Oct 22, 2025

GR Engineering Services Ltd has released its 2025 annual report, detailing its financial performance and corporate governance activities. The report outlines key financial metrics, including profit and loss, cash flows, and changes in equity, as well as the company’s plans for dividend payments and its upcoming annual general meeting.

The most recent analyst rating on (AU:GNG) stock is a Hold with a A$4.00 price target. To see the full list of analyst forecasts on GR Engineering Services Ltd stock, see the AU:GNG Stock Forecast page.

GR Engineering Services Issues New Performance Rights
Sep 22, 2025

GR Engineering Services Ltd announced the issuance of 109,500 performance rights as part of an employee incentive scheme. This move is likely aimed at enhancing employee engagement and aligning their interests with company performance, potentially impacting the company’s operational efficiency and stakeholder value.

The most recent analyst rating on (AU:GNG) stock is a Buy with a A$4.50 price target. To see the full list of analyst forecasts on GR Engineering Services Ltd stock, see the AU:GNG Stock Forecast page.

GR Engineering Services Updates Dividend Reinvestment Plan Price
Sep 18, 2025

GR Engineering Services Ltd announced an update regarding its dividend distribution, specifically the Dividend Reinvestment Plan (DRP) price. This announcement, dated September 18, 2025, updates a previous notification from August 25, 2025, and pertains to the dividend distribution for the six-month period ending June 30, 2025. The update is significant for stakeholders as it provides clarity on the DRP price, which can influence investor decisions and reflect the company’s financial health and strategic direction.

The most recent analyst rating on (AU:GNG) stock is a Buy with a A$4.50 price target. To see the full list of analyst forecasts on GR Engineering Services Ltd stock, see the AU:GNG Stock Forecast page.

GR Engineering Services Schedules AGM for Director Elections
Sep 15, 2025

GR Engineering Services Ltd has announced that its Annual General Meeting will take place on November 21, 2025, where the election of Directors will be a key agenda item. This meeting is significant for stakeholders as it will shape the company’s leadership and potentially influence its strategic direction.

The most recent analyst rating on (AU:GNG) stock is a Buy with a A$4.50 price target. To see the full list of analyst forecasts on GR Engineering Services Ltd stock, see the AU:GNG Stock Forecast page.

GR Engineering Services Reports Strong FY25 Results and Project Success
Aug 29, 2025

GR Engineering Services Ltd reported a significant increase in revenue and EBITDA for FY25, achieving $479.0 million and $57.2 million, respectively. The company successfully delivered several major projects and continued work on key ongoing projects, enhancing its market position. Additionally, GR Production Services saw increased revenue visibility through contract extensions, while Mipac and Paradigm sustained their delivery of control systems and automation solutions to global clients, reinforcing GR Engineering’s industry standing.

The most recent analyst rating on (AU:GNG) stock is a Buy with a A$4.50 price target. To see the full list of analyst forecasts on GR Engineering Services Ltd stock, see the AU:GNG Stock Forecast page.

GR Engineering Services Announces Cessation of Performance Rights
Aug 26, 2025

GR Engineering Services Ltd announced the cessation of 30,000 performance rights due to unmet conditions, impacting its issued capital. This decision reflects the company’s adherence to performance-based incentives and may influence stakeholder perceptions regarding its operational efficiency and strategic focus.

The most recent analyst rating on (AU:GNG) stock is a Buy with a A$4.50 price target. To see the full list of analyst forecasts on GR Engineering Services Ltd stock, see the AU:GNG Stock Forecast page.

GR Engineering Services Ltd Announces Quotation of New Securities
Aug 26, 2025

GR Engineering Services Ltd announced the quotation of 80,000 fully paid ordinary securities on the Australian Securities Exchange (ASX) as of August 26, 2025. These securities are part of an employee incentive scheme, indicating the company’s commitment to rewarding its workforce and potentially enhancing employee retention and motivation.

The most recent analyst rating on (AU:GNG) stock is a Buy with a A$4.50 price target. To see the full list of analyst forecasts on GR Engineering Services Ltd stock, see the AU:GNG Stock Forecast page.

GR Engineering Issues Shares Under Incentive Plan
Aug 26, 2025

GR Engineering Services Ltd has issued 80,000 fully paid ordinary shares to employees as part of its 2019 Equity Incentive Plan. This move, executed without the need for investor disclosure under the Corporations Act, signifies the company’s commitment to rewarding its workforce, potentially enhancing employee retention and aligning staff interests with company performance.

The most recent analyst rating on (AU:GNG) stock is a Buy with a A$4.50 price target. To see the full list of analyst forecasts on GR Engineering Services Ltd stock, see the AU:GNG Stock Forecast page.

GR Engineering Services Ltd Releases 2025 Annual Financial Report
Aug 25, 2025

GR Engineering Services Ltd has released its annual financial report for the year ending 30 June 2025. The report outlines the company’s financial performance, including profit and loss, financial position, and cash flows. Key dates for stakeholders include the final dividend ex-dividend date on 1 September 2025, record date on 2 September 2025, and payment date on 25 September 2025. The annual general meeting is scheduled for 21 November 2025, providing an opportunity for shareholders to engage with the company’s strategic direction and financial health.

The most recent analyst rating on (AU:GNG) stock is a Buy with a A$4.50 price target. To see the full list of analyst forecasts on GR Engineering Services Ltd stock, see the AU:GNG Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Oct 22, 2025