GR Engineering Services Ltd (AU:GNG)
ASX:GNG
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GR Engineering Services Ltd
(Sydney:GNG)
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Rating:65Neutral
Price Target:
AU$4.00
▼(-8.88% Downside)
Action:ReiteratedDate:04/03/26
The score is driven primarily by solid financial performance (strong margins and low leverage) and supportive valuation (low P/E and high dividend yield). This is meaningfully offset by weak technical momentum, with the stock trading below key moving averages and a negative MACD.
Positive Factors
High Gross Margins
Sustained gross margins above 50% indicate durable project execution and cost discipline across engineering and construction work. High margins provide a structural buffer against input inflation, support reinvestment and dividends, and underpin strong long-term profitability even with revenue cyclicality.
Negative Factors
Revenue Declines
Declining revenue and negative growth metrics reduce scale and limit margin leverage from fixed-cost absorption. Persistent top-line weakness can stem from uneven project awards and undermines medium-term earnings visibility, making it harder to sustain investment in capabilities and retain skilled staff.
Read all positive and negative factors
Positive Factors
Negative Factors
High Gross Margins
Sustained gross margins above 50% indicate durable project execution and cost discipline across engineering and construction work. High margins provide a structural buffer against input inflation, support reinvestment and dividends, and underpin strong long-term profitability even with revenue cyclicality.
Read all positive factors
GR Engineering Services Ltd (GNG) vs. iShares MSCI Australia ETF (EWA)
Market Cap
AU$658.93M
Dividend Yield5.24%
Average Volume (3M)203.79K
Price to Earnings (P/E)10.8
Beta (1Y)1.18
Revenue Growth12.96%
EPS Growth8.19%
CountryAU
Employees415
SectorBasic Materials
Sector Strength58
IndustryEngineering & Construction
Share Statistics
EPS (TTM)0.10
Shares Outstanding170,266,370
10 Day Avg. Volume129,055
30 Day Avg. Volume203,788
Financial Highlights & Ratios
PEG Ratio3.02
Price to Book (P/B)7.89
Price to Sales (P/S)1.13
P/FCF Ratio15.16
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)0.23
Revenue Forecast (FY)AU$505.87M
GR Engineering Services Ltd Business Overview & Revenue Model
Company Description
GR Engineering Services Limited provides engineering, procurement, and construction services to the mining and mineral processing industries in Australia and internationally. The company operates through two segments, Mineral Processing, and Oil &...
How the Company Makes Money
GNG makes money primarily by contracting to deliver engineering and construction work and by providing ongoing services to resource and industrial operators.
Key revenue streams include:
1) EPC / project delivery contracts: Revenue is earned from...
GR Engineering Services Ltd Financial Statement Overview
Summary
Income Statement
72
Positive
Balance Sheet
68
Positive
Cash Flow
65
Positive
| Breakdown | TTM | Jun 2025 | Jun 2024 | Jun 2023 | Jun 2022 | Jun 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 424.92M | 479.02M | 424.06M | 551.36M | 651.67M | 392.39M |
| Gross Profit | 58.53M | 254.86M | 232.54M | 52.61M | 65.77M | 40.42M |
| EBITDA | 50.83M | 55.44M | 50.02M | 46.20M | 55.93M | 34.09M |
| Net Income | 29.62M | 34.21M | 31.18M | 27.49M | 34.72M | 23.24M |
Balance Sheet | ||||||
| Total Assets | 208.18M | 192.51M | 226.75M | 193.96M | 235.44M | 160.29M |
| Cash, Cash Equivalents and Short-Term Investments | 86.51M | 70.96M | 74.65M | 86.02M | 101.99M | 68.97M |
| Total Debt | 12.83M | 9.18M | 9.15M | 7.23M | 4.26M | 8.26M |
| Total Liabilities | 137.81M | 123.66M | 160.43M | 134.23M | 173.28M | 108.65M |
| Stockholders Equity | 70.38M | 68.85M | 66.33M | 59.73M | 62.16M | 51.64M |
Cash Flow | ||||||
| Free Cash Flow | 18.61M | 35.84M | 24.97M | 9.86M | 65.81M | 47.51M |
| Operating Cash Flow | 20.01M | 38.21M | 29.79M | 13.27M | 69.42M | 49.19M |
| Investing Cash Flow | -2.80M | -3.02M | -8.27M | 4.25M | -3.99M | -1.47M |
| Financing Cash Flow | -40.39M | -38.69M | -33.51M | -32.94M | -33.13M | -16.35M |
GR Engineering Services Ltd Technical Analysis
Negative
4.39
Price Trends
4.27
Negative
4.17
Negative
3.92
Negative
Market Momentum
-0.11
Negative
44.37
Neutral
55.15
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:GNG, the sentiment is Negative. The current price of 4.39 is above the 20-day moving average (MA) of 3.97, above the 50-day MA of 4.27, and above the 200-day MA of 3.92, indicating a bearish trend. The MACD of -0.11 indicates Negative momentum. The RSI at 44.37 is Neutral, neither overbought nor oversold. The STOCH value of 55.15 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:GNG.
GR Engineering Services Ltd Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
79 Outperform | AU$706.51M | 9.20 | 29.27% | 2.25% | 3.10% | 5.08% | |
76 Outperform | AU$1.37B | 11.36 | 25.18% | 0.57% | 36.30% | 82.20% | |
69 Neutral | AU$726.22M | ― | 8.35% | 4.17% | -21.57% | -34.09% | |
67 Neutral | AU$525.11M | 7.39 | 22.89% | 2.51% | -3.08% | -16.35% | |
65 Neutral | AU$658.93M | 10.83 | 42.55% | 5.24% | 12.96% | 8.19% | |
61 Neutral | $10.43B | 7.12 | -0.05% | 2.87% | 2.86% | -36.73% |
* Basic Materials Sector Average
AU:GNG
GR Engineering Services Ltd
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GR Engineering Services Ltd Corporate Events
GR Engineering Sets DRP Price in Updated Interim Dividend Notice
Mar 18, 2026
GR Engineering Services has updated its dividend notification for holders of its ordinary fully paid shares, announcing the dividend reinvestment plan pricing linked to its interim distribution. The dividend relates to the six‑month period e...
GR Engineering Issues New Shares to Employees Under Equity Incentive Plan
Mar 13, 2026
GR Engineering Services Limited has issued 217,025 fully paid ordinary shares to employees for nil consideration following the vesting and exercise of an equivalent number of Performance Rights under its 2022 Equity Incentive Plan. The issuance, m...
GR Engineering Seeks ASX Quotation for New Employee Incentive Shares
Mar 13, 2026
GR Engineering Services Limited has applied to the ASX for quotation of 217,025 new ordinary fully paid shares. These securities were issued on 13 March 2026, primarily in connection with the company’s employee incentive scheme and are to be...
GR Engineering to Release Escrowed Shares from Paradigm Acquisition
Mar 4, 2026
GR Engineering Services Limited has announced that 976,610 fully paid ordinary shares will be released from voluntary escrow on 13 March 2026. These shares were originally issued as part of the consideration for the acquisition of Paradigm Enginee...
GR Engineering flags strong outlook, rising dividends and expanding investor base
Mar 3, 2026
GR Engineering Services Limited, founded in 2006, has built a reputation as a preferred EPC provider in the resources sector, completing more than $4 billion of projects across multiple commodities and jurisdictions. The company has diversified it...
GR Engineering named preferred EPC contractor for $225m Tower Hill gold project
Feb 22, 2026
GR Engineering Services Limited has been appointed preferred contractor by Genesis Minerals Limited for an engineering, procurement and construction contract at the Tower Hill Gold Project near Leonora in Western Australia. The company will design...
GR Engineering Releases Half-Year 2025 Financial Report Framework
Feb 19, 2026
GR Engineering Services Limited has issued its half-year financial report for the period ended 31 December 2025, outlining its condensed consolidated profit and loss, financial position, cash flows, and changes in equity. The release signals regul...
GR Engineering Services Declares Interim AUD 0.12 Dividend
Feb 19, 2026
GR Engineering Services Limited has declared an ordinary dividend of AUD 0.12 per fully paid share, relating to the six-month period ended 31 December 2025. The distribution will be paid on 25 March 2026 to shareholders on the register as of 3 Mar...
GR Engineering lifts dividend on solid HY26 cash position despite lower revenue
Feb 19, 2026
GR Engineering Services reported HY26 revenue of $218.0 million, down from the prior corresponding period, with EBITDA of $27.8 million and NPAT of $17.2 million, while maintaining EBITDA margins and a strong cash position of $86.5 million. The Bo...
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.