Duratec Limited (DUR) AI Stock Analysis

• Market Cap: AU$461.55M
• Dividend Yield: 2.37%
• Average Volume (3M): 452.77K
• Price to Earnings (P/E): 19.7
• Beta (1Y): 0.94
• Revenue Growth: 3.10%
• EPS Growth: 5.08%
• Country: AU
• Employees: 1,132
• Sector: Industrials
• Sector Strength: 72
• Industry: Engineering & Construction
• EPS (TTM): 0.04
• Shares Outstanding: 257,849,730
• 10 Day Avg. Volume: 472,255
• 30 Day Avg. Volume: 452,772
• PEG Ratio: 3.11
• Price to Book (P/B): 4.86
• Price to Sales (P/S): 0.63
• P/FCF Ratio: 16.41
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: AU$2.10
• Price Target Upside: 17.32% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 63 Neutral
• Price Target: AU$2.00 ▲(11.73% Upside)

Duratec Limited's strong financial performance is the most significant factor, supported by robust cash flow and revenue growth. However, technical analysis indicates bearish momentum, which negatively impacts the overall score. The valuation suggests potential overvaluation, but the dividend yield offers some compensation.

Positive Factors

Revenue Growth

Consistent revenue growth indicates a strong market position and the ability to capture new business, supporting long-term business sustainability.

Cash Flow Generation

Robust cash flow generation enhances financial flexibility, enabling strategic investments and reducing reliance on external financing.

Operational Efficiency

Improved gross profit margins reflect effective cost control, which can lead to better profitability and competitive pricing strategies.

Negative Factors

Leverage Concerns

Increased leverage can strain financial resources and limit strategic options, posing risks if market conditions worsen.

Net Profit Margin

A modest net profit margin indicates potential challenges in translating revenue growth into bottom-line profitability, impacting long-term earnings potential.

Debt Management

Higher debt levels require careful management to avoid financial distress, especially in volatile market conditions.

Duratec Limited Business Overview & Revenue Model

Company Description

Duratec Limited engages in the provision of assessment, protection, remediation, and refurbishment services to a range of assets, primarily steel and concrete infrastructure in Australia. It operates through Defence, Mining & Industrial, and Buildings & Facades segments. The Defence segment delivers capital facilities infrastructure and estate works program projects. The Mining & Industrial segment offers preventative maintenance programmes. The Buildings & Facades segment provides façade condition assessment and restoration completion services. It offers asset protection, building refurbishment, infrastructure upgrades, recladding, durability engineering, specialist access systems, construction, petrography lab, jack up barge hire, and spatial integration services. The company serves defense, mining, oil and gas, transport, marine, energy, building and façade, heritage, property, industrial, and water infrastructure industries. Duratec Limited was incorporated in 2010 and is headquartered in Wangara, Australia.

How the Company Makes Money

Duratec generates revenue through a variety of streams, primarily from its core service offerings in maintenance and refurbishment projects. The company contracts with clients across different sectors, providing specialized services that are often project-based, which can include long-term contracts for ongoing maintenance or short-term contracts for specific repair projects. Key revenue streams include service contracts, project management fees, and product sales related to its engineering solutions. Additionally, Duratec benefits from partnerships with major corporations and government entities, which can lead to larger project opportunities and consistent revenue flow. The company's focus on sustainability and innovative solutions also positions it favorably in a competitive market, attracting clients who prioritize environmentally responsible practices.

Duratec Limited Financial Statement Overview

Summary

Duratec Limited exhibits strong financial health with consistent revenue growth and efficient cost management. While profitability margins are stable, there is potential for improvement. The balance sheet shows increased leverage, which should be monitored. Cash flow generation is robust, supporting the company's operational and strategic initiatives.

Income Statement

Duratec Limited has shown consistent revenue growth over the years, with a notable 4.13% increase in the latest year. The gross profit margin has improved to 18.55%, indicating efficient cost management. However, the net profit margin remains modest at 3.98%, suggesting room for improvement in profitability. EBIT and EBITDA margins are stable, reflecting operational efficiency.

Balance Sheet

The company's debt-to-equity ratio has increased to 0.66, indicating a higher reliance on debt financing, which could pose a risk if not managed carefully. Return on equity is strong at 30.71%, showcasing effective use of shareholder funds. The equity ratio is healthy, suggesting a solid financial foundation.

Cash Flow

Duratec Limited has demonstrated significant free cash flow growth of 54.29%, highlighting improved cash generation capabilities. The operating cash flow to net income ratio is 0.25, indicating that cash generation is aligned with reported earnings. The free cash flow to net income ratio of 0.61 suggests a good conversion of earnings into cash.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	573.03M	573.03M	555.79M	491.80M	310.00M	235.71M
Gross Profit	71.67M	106.31M	96.17M	82.07M	48.41M	45.81M
EBITDA	42.59M	47.84M	45.64M	37.47M	15.90M	15.15M
Net Income	22.83M	22.83M	21.43M	19.20M	7.76M	7.13M
Balance Sheet
Total Assets	251.37M	251.37M	225.40M	212.43M	137.62M	105.22M
Cash, Cash Equivalents and Short-Term Investments	84.03M	84.03M	65.22M	66.19M	58.26M	41.25M
Total Debt	49.39M	49.39M	19.72M	18.32M	14.81M	13.41M
Total Liabilities	177.05M	177.05M	166.28M	166.37M	106.67M	79.30M
Stockholders Equity	74.33M	74.33M	59.12M	46.06M	30.96M	25.92M
Cash Flow
Free Cash Flow	23.73M	22.01M	11.03M	22.20M	20.59M	-2.37M
Operating Cash Flow	37.77M	36.06M	27.28M	35.20M	28.03M	8.17M
Investing Cash Flow	-16.08M	-14.37M	-24.46M	-22.22M	-5.09M	-8.52M
Financing Cash Flow	-2.88M	-2.88M	-3.79M	-4.70M	-4.42M	1.82M

Duratec Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.79
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:DUR, the sentiment is Negative. The current price of 1.79 is below the 20-day moving average (MA) of 1.82, below the 50-day MA of 1.92, and above the 200-day MA of 1.69, indicating a neutral trend. The MACD of -0.01 indicates Negative momentum. The RSI at 42.94 is Neutral, neither overbought nor oversold. The STOCH value of 30.98 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:DUR.

Duratec Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SXE	76 Outperform	AU$662.27M	20.77	16.18%	3.01%	45.23%	43.94%
GNG	71 Outperform	AU$702.93M	20.23	50.61%	5.31%	12.96%	8.19%
ACF	69 Neutral	AU$317.61M	13.47	16.13%	5.74%	25.14%	-14.54%
FWD	68 Neutral	AU$228.68M	15.89	8.79%	10.12%	20.83%	290.55%
SND	64 Neutral	AU$111.33M	46.80	4.01%	2.80%	-0.72%	-78.03%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
DUR	63 Neutral	AU$461.55M	19.67	34.21%	2.37%	3.10%	5.08%

Duratec Limited Corporate Events

Duratec Limited Successfully Passes All AGM Resolutions

Duratec Limited announced that all resolutions presented at its Annual General Meeting were successfully passed. This outcome reflects strong shareholder support and is expected to positively impact the company’s governance and strategic initiatives, reinforcing its position in the engineering and construction industry.

Duratec Limited Reports Strong FY25 Performance Amid Strategic Growth

Duratec Limited reported a strong financial performance for FY25, with a revenue increase to $573 million and a net profit after tax of $22.8 million. The company attributes its success to a diversified business model and strategic execution, which have allowed it to capitalize on growth opportunities despite geopolitical uncertainties and inflationary pressures. Significant demand in the Energy sector and strategic acquisitions have bolstered its capabilities and market position, particularly in high-compliance environments. The company’s order book and tender pipeline are robust, positioning it well for future growth, especially in the Defence and Mining sectors.

Duratec Limited Announces Virtual 2025 Annual General Meeting

Duratec Limited has announced its 2025 Annual General Meeting, which will be held virtually on November 20, 2025. The company emphasizes the importance of shareholder participation and offers options for electronic communication to enhance efficiency and reduce environmental impact. Shareholders can participate in the meeting via a live webcast, ask questions, and vote online. Duratec encourages shareholders to update their communication preferences to receive documents electronically, aligning with its commitment to sustainability.

Duratec Limited Announces Director’s Share Acquisition

Duratec Limited has announced a change in the director’s interest in securities, specifically involving Martin Brydon. On October 15, 2025, Brydon acquired 764 fully paid ordinary shares under a dividend reinvestment plan, increasing his total holdings to 85,179 shares. This transaction did not occur during a closed period, indicating compliance with trading regulations.

Duratec Limited Announces Quotation of New Securities

Duratec Limited has announced the quotation of 407,603 fully paid ordinary securities on the Australian Securities Exchange (ASX) as of October 15, 2025. This move is part of a dividend or distribution plan, potentially enhancing the company’s liquidity and market presence, thereby benefiting its stakeholders.

Duratec Limited Updates Securities Trading Policy to Enhance Compliance and Market Confidence

Duratec Limited has released a revised Securities Trading Policy in compliance with ASX Listing Rule 12.10, aimed at ensuring compliance with insider trading laws and maintaining market confidence. The policy outlines trading restrictions, exceptions, and procedures for obtaining clearance, thereby safeguarding the company’s reputation and supporting shareholder and investor confidence.

Duratec Limited Confirms Final Dividend Details for FY2025

Duratec Limited has announced an update regarding its final dividend for the financial year ending June 30, 2025. The update confirms the Dividend Reinvestment Plan (DRP) price at AUD 1.9443 following the end of the pricing period. This announcement reflects the company’s commitment to shareholder returns and provides clarity on the dividend distribution process, which is crucial for investor relations and market positioning.

Duratec Limited Announces AGM Date and Director Nominations

Duratec Limited has announced that its Annual General Meeting will take place on 20 November 2025, with key business including the re-election and appointment of directors. The deadline for director nominations is set for 2 October 2025, as per the company’s constitution. This announcement is significant for stakeholders as it outlines the governance framework and potential leadership changes within the company, which could influence its strategic direction and operational focus.