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BSA Delivers Profit and Strong Margins Amid Sharp Revenue Decline After Contract Losses

Story Highlights
  • BSA has completed a major restructuring, sharply reduced staff, and refocused on Foxtel, wireless and electrical services while maintaining strong EBITDA margins despite much lower revenue.
  • Following the loss of key NBN and metering contracts, BSA posted a modest Q2 profit, preserved a solid net cash position, and stabilised cash flows, but warns profitability remains at risk in the second half.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
BSA Delivers Profit and Strong Margins Amid Sharp Revenue Decline After Contract Losses

Meet Samuel – Your Personal Investing Prophet

BSA Limited ( (AU:BSA) ) has issued an update.

BSA Limited reported second-quarter FY2026 revenue of $5.3 million and EBITDA of $0.9 million, translating to a 16.4% EBITDA margin, as the company completed a major restructuring that reduced headcount from about 150 to 40 and sharpened its focus on select customers and service lines including Foxtel, wireless projects and electrical services such as smart meter installations. While profit of $0.9 million in the quarter marks a recovery after the loss of key contracts with NBN, Bluecurrent and Intellihub and an 85% year-on-year revenue decline to $22.8 million year-to-date, management highlights healthy margins driven by cost control, breakeven operating cash flow (excluding restructuring costs) and a net cash position of $17.1 million, but cautions there is still a risk of losses in the second half even as it pursues new growth opportunities and seeks to stabilise activity in its remaining contracts and project pipeline.

The most recent analyst rating on (AU:BSA) stock is a Buy with a A$0.18 price target. To see the full list of analyst forecasts on BSA Limited stock, see the AU:BSA Stock Forecast page.

More about BSA Limited

BSA Limited is an Australian technical services group operating across telecommunications, pay TV platform support, wireless infrastructure and electrical services. Its activities include set-top box installation and support for Foxtel, wireless small-cell and telecoms projects, and national smart meter and electrical installation services, with a customer base that has historically included major clients such as NBN and energy metering providers.

Average Trading Volume: 217,777

Technical Sentiment Signal: Sell

Current Market Cap: A$12.05M

Learn more about BSA stock on TipRanks’ Stock Analysis page.

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