NRW Holdings Limited (NWH) AI Stock Analysis

• Market Cap: €2.17B
• Dividend Yield: 3.22%
• Average Volume (3M): 1.75M
• Price to Earnings (P/E): 77.9
• Beta (1Y): 1.11
• Revenue Growth: 12.18%
• EPS Growth: -73.81%
• Country: AU
• Employees: 8,000
• Sector: Industrials
• Sector Strength: 72
• Industry: Engineering & Construction
• EPS (TTM): 0.15
• Shares Outstanding: 459,466,950
• 10 Day Avg. Volume: 1,891,111
• 30 Day Avg. Volume: 1,752,514
• PEG Ratio: -0.67
• Price to Book (P/B): 2.24
• Price to Sales (P/S): 0.42
• P/FCF Ratio: 14.07
• 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: €5.40
• Price Target Upside: 5.21% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 6
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 56 Neutral
• Price Target: AU$5.50 ▲(7.21% Upside)

NRW Holdings Limited's stock score is primarily influenced by its solid revenue growth and improved gross profit margins, which are offset by challenges in profitability and cash flow. The technical analysis indicates strong momentum but warns of overbought conditions. The high P/E ratio suggests overvaluation, adding risk to potential investors.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong demand for NRW's services, enhancing its market position and providing a foundation for future expansion.

Gross Profit Margin Improvement

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

Diversified Revenue Streams

Diversification into urban infrastructure reduces dependency on the mining sector, providing stability and new growth opportunities.

Negative Factors

Profitability Challenges

Declining net profit margins indicate difficulties in converting revenue into profit, potentially affecting long-term financial health.

Cash Flow Decline

Reduced cash flow limits the company's ability to invest in growth and manage debt, posing risks to financial stability.

Increased Debt Levels

Higher reliance on debt financing increases financial risk, potentially impacting the company's ability to sustain operations during downturns.

NRW Holdings Limited Business Overview & Revenue Model

Company Description

NRW Holdings Limited, through its subsidiaries, provides diversified contract services to the resources and infrastructure sectors in Australia. The company operates through three segments: Civil; Mining; and Minerals, Energy & Technologies. The Civil segment delivers private and public civil infrastructure, mine development, bulk earthworks, and commercial and residential subdivision projects. Its civil construction projects include roads, bridges, tailings storage facilities, rail formations, ports, renewable energy projects, water infrastructure, and concrete installations. The Mining segment engages in the mine management, contract mining, load and haul, dragline, drill and blast, and coal handling preparation plant operations; maintenance activities; and fabrication of water and service vehicles. The Minerals, Energy & Technologies segment provides materials handling, onsite maintenance, and shutdown services; industrial engineering and fabrication services; and engineering, procurement, and construction services. It also provides heat treatment services, as well as mining equipment solutions. The company was founded in 1994 and is headquartered in Belmont, Australia.

How the Company Makes Money

NRW Holdings generates revenue through multiple key streams, primarily from contracting services in the mining and civil construction sectors. The company earns money by undertaking large-scale mining projects, offering services such as excavation, haulage, and infrastructure development. Additionally, NRW has established significant partnerships with major resource companies, which provide a steady flow of contracts and projects. The company also benefits from ongoing maintenance and service agreements, which contribute to its recurring revenue. Furthermore, the diversification of its service offerings into urban infrastructure projects allows NRW to tap into new markets, further enhancing its earning potential.

NRW Holdings Limited Financial Statement Overview

Summary

NRW Holdings Limited demonstrates solid revenue growth and improved gross profit margins, but faces challenges in profitability and cash flow generation. The increased debt-to-equity ratio suggests a higher financial risk, while the decline in return on equity indicates reduced shareholder returns. Overall, the company needs to focus on enhancing operational efficiency and cash flow management to sustain growth.

Income Statement

NRW Holdings Limited has shown consistent revenue growth over the years, with a 4.02% increase in the latest period. The gross profit margin improved significantly to 55% in 2025, indicating better cost management. However, the net profit margin has decreased to 0.85%, reflecting challenges in converting revenue into net income. The EBIT and EBITDA margins have also declined, suggesting pressure on operating efficiency.

Balance Sheet

The company's debt-to-equity ratio increased to 0.67, indicating a higher reliance on debt financing, which could pose a risk if not managed properly. Return on equity has decreased to 4.54%, showing reduced profitability for shareholders. However, the equity ratio remains stable, suggesting a balanced asset structure.

Cash Flow

Free cash flow has decreased by 25.06%, which could impact future investments and debt repayments. The operating cash flow to net income ratio is 0.33, indicating moderate cash generation relative to net income. The free cash flow to net income ratio is 0.39, showing some level of cash flow efficiency despite the decline.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	3.27B	3.27B	2.91B	2.67B	2.37B	2.22B
Gross Profit	1.02B	1.80B	1.40B	431.98M	349.22M	391.81M
EBITDA	238.08M	250.87M	306.73M	267.57M	262.98M	254.43M
Net Income	27.67M	27.67M	105.10M	85.64M	97.41M	54.30M
Balance Sheet
Total Assets	1.70B	1.70B	1.61B	1.61B	1.50B	1.41B
Cash, Cash Equivalents and Short-Term Investments	265.74M	265.74M	246.65M	227.58M	219.34M	146.55M
Total Debt	411.12M	411.12M	325.46M	311.92M	285.92M	317.83M
Total Liabilities	1.09B	1.09B	959.70M	995.37M	906.05M	869.46M
Stockholders Equity	610.01M	610.01M	652.56M	610.12M	591.09M	545.12M
Cash Flow
Free Cash Flow	107.08M	97.05M	38.70M	59.70M	81.65M	68.84M
Operating Cash Flow	251.47M	251.47M	233.53M	246.99M	288.00M	147.44M
Investing Cash Flow	-226.30M	-226.30M	-152.28M	-180.57M	-124.75M	-121.68M
Financing Cash Flow	-6.34M	-6.34M	-62.12M	-58.26M	-90.52M	-49.44M

NRW Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 5.13
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:NWH, the sentiment is Neutral. The current price of 5.13 is below the 20-day moving average (MA) of 5.19, above the 50-day MA of 4.98, and above the 200-day MA of 3.60, indicating a neutral trend. The MACD of 0.07 indicates Positive momentum. The RSI at 50.35 is Neutral, neither overbought nor oversold. The STOCH value of 20.88 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for AU:NWH.

NRW Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LYL	75 Outperform	AU$514.85M	12.28	29.67%	2.62%	-3.08%	-16.35%
SSM	70 Outperform	€1.34B	22.46	12.08%	2.46%	1.65%	84.19%
SRG	66 Neutral	AU$1.81B	35.95	13.62%	1.92%	23.76%	21.18%
MND	65 Neutral	€2.26B	26.81	17.57%	2.75%	7.20%	32.60%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
NWH	56 Neutral	€2.17B	77.89	4.71%	3.22%	12.18%	-73.81%
MGH	56 Neutral	AU$1.66B	21.91	9.26%	1.56%	15.14%	-7.23%

NRW Holdings Limited Corporate Events

NRW Holdings’ Fredon Secures $150M in Data Centre Contracts

NRW Holdings Limited announced that its subsidiary, Fredon, has secured several data centre contracts valued at approximately $150 million. These contracts, which include electrical and mechanical works in Victoria, Brisbane, and New South Wales, reinforce Fredon’s strong position in the Australian data centre market. The contracts are expected to extend Fredon’s involvement in these projects for up to 18 months, highlighting the subsidiary’s capabilities and contributing to NRW’s diversification strategy. Fredon’s CEO, Scott Olsen, and NRW’s CEO, Jules Pemberton, emphasized the significance of these contracts in strengthening Fredon’s market reputation and expanding NRW’s service offerings and market exposure.

Dimensional Entities Ceases Substantial Holding in NRW Holdings

NRW Holdings Limited has announced that Dimensional Entities has ceased to be a substantial holder in the company as of November 27, 2025. This change in substantial holding reflects a shift in the voting securities and relevant interests previously held by Dimensional Entities, potentially impacting the company’s shareholder dynamics and market perception.

Mixed Outcomes at NRW Holdings’ Annual General Meeting

NRW Holdings Limited, during its Annual General Meeting, announced the outcomes of several key resolutions. Notably, the remuneration report and the grant of performance rights for FY26 to Mr. Julian Pemberton were not carried, indicating shareholder dissatisfaction. However, the re-election of directors Mr. Michael Arnett and Mr. Jeffrey Dowling was approved, along with the approval of financial assistance, suggesting a mixed response from stakeholders regarding the company’s governance and strategic decisions.

NRW Holdings Limited Annual General Meeting Highlights

NRW Holdings Limited held its Annual General Meeting on November 27, 2025, providing a presentation that offers a summary of the company’s activities and performance. The presentation emphasized that past performance is not indicative of future results and included disclaimers about the reliability and completeness of the information provided. Stakeholders are advised to consider the inherent risks and uncertainties associated with forward-looking statements and to seek independent advice before making investment decisions.

NRW Holdings Reports Strong FY25 Growth and Strategic Expansion

NRW Holdings Limited reported significant financial growth in FY25, overcoming challenges such as extreme weather in Queensland and issues with OneSteel in South Australia. The acquisition of Fredon Industries has expanded NRW’s capabilities, particularly in the EMIT sector, and positioned the company for future growth in areas like energy transition and infrastructure investments. The company’s market capitalization increased by 63% since June 2024, reflecting its strong performance and strategic acquisitions, which have led to record dividends and a top 10 ranking among ASX 200 stocks over the past decade.

NRW Holdings Reports Strong FY25 Results Amid Challenges

NRW Holdings Limited reported strong financial results for FY25, with revenue and earnings growth despite challenges such as legislative changes in South Australia and adverse weather in Queensland. The company faced a significant financial setback due to the South Australian government’s legislative intervention, resulting in a $110.5 million impairment related to OneSteel Manufacturing debt. Despite this, NRW maintained its dividend and cash flow stability, showcasing the resilience of its diversified business model. The company also emphasized its commitment to safety, ESG initiatives, and stakeholder engagement, while announcing board changes and welcoming new team members.

NRW Holdings Expands Capabilities with Strategic Acquisitions

NRW Holdings Limited has announced recent acquisitions in future-focused markets driven by the energy transition and digital innovation, which are expected to enhance the company’s capabilities and secure growth opportunities. The company has delivered long-term shareholder returns and is rated among the top 10 best ASX stocks over the past decade, with a strong track record of value-accretive mergers and acquisitions, supported by a diversified portfolio and a market capitalization of approximately $2.2 billion.

NRW Holdings Limited Releases 2025 Modern Slavery Statement

NRW Holdings Limited has released its Modern Slavery Statement for the financial year 2025, detailing the measures taken to identify and mitigate modern slavery risks within its operations and supply chains. This statement, part of NRW’s annual reporting suite, complies with the Modern Slavery Act 2018, outlining the company’s structure, operations, and the steps taken to assess and address modern slavery risks. The statement reflects NRW’s commitment to ethical practices and transparency, potentially enhancing its reputation and stakeholder trust.

NRW Holdings Releases 2025 Corporate Governance Statement

NRW Holdings Limited has released its corporate governance statement for the financial year ending June 30, 2025, which is available on their website. The statement, approved by the board, outlines the extent to which the company has adhered to the ASX Corporate Governance Council’s recommendations. This disclosure is part of the company’s compliance with ASX Listing Rules, ensuring transparency and accountability in its governance practices.

NRW Holdings Limited Upholds Corporate Governance Standards in 2025

NRW Holdings Limited has released its Corporate Governance Statement for the financial year 2025, highlighting its adherence to the ASX Corporate Governance Council’s Principles and Recommendations. The company emphasizes its commitment to maintaining high standards of business ethics and governance practices, which it views as essential for long-term success. NRW confirms its compliance with all ASX Principles and Recommendations, reflecting its dedication to corporate governance excellence.

NRW Holdings Limited Releases 2025 Annual Report

NRW Holdings Limited has released its annual report for 2025, highlighting its continued presence on the Australian Stock Exchange under the code NWH. The company is headquartered in Belmont, Western Australia, and has a diverse board of directors led by Chairperson Michael Arnett and CEO Julian Pemberton. The report outlines the company’s operational achievements and strategic focus for the upcoming year, emphasizing its commitment to maintaining strong market positioning and delivering value to its stakeholders.

NRW Holdings Limited Announces 2025 Annual General Meeting

NRW Holdings Limited has announced its Annual General Meeting (AGM) scheduled for November 27, 2025, at the Duxton Hotel in Perth, Western Australia. Shareholders are encouraged to participate and submit questions in advance, as the meeting will address various business matters outlined in the Notice of Meeting. This AGM is a crucial event for stakeholders to engage with the company’s strategic direction and operational updates.

NRW Holdings Director Adjusts Shareholding in Strategic Move

NRW Holdings Limited announced a change in the director’s interest, with Michael Norman Arnett disposing of 112,734 fully paid ordinary shares through an on-market trade, reducing his holding to 600,000 shares. This transaction, valued at $548,111.42, reflects a strategic adjustment in the director’s investment portfolio, potentially influencing stakeholder perceptions of the company’s market performance.

NRW Holdings Announces Director’s Change in Shareholding

NRW Holdings Limited has announced a change in the director’s interest notice, specifically involving Jeffrey Phillip Dowling. The notice details that Dowling has disposed of 164,705 fully paid ordinary shares through an on-market trade, reducing his holding to 200,000 shares. This transaction, valued at $805,407.45, reflects a significant adjustment in Dowling’s investment in the company, potentially impacting stakeholder perceptions of the company’s future performance.

NRW Holdings Director Reduces Indirect Shareholding

NRW Holdings Limited has announced a change in the indirect interest of its director, Julian Alexander Pemberton, who disposed of 4,000,000 fully paid ordinary shares through an on-market trade. This transaction, valued at approximately $19.77 million, reduces Pemberton’s indirect holdings in the company, potentially impacting the market perception of the company’s stock and signaling a shift in the director’s investment strategy.

NRW Holdings Director Adjusts Shareholding

NRW Holdings Limited announced a change in the director’s interest, with Michael Norman Arnett disposing of 100,000 fully paid ordinary shares through an on-market trade, reducing his total holdings to 712,534 shares. This transaction, valued at $500,119.60, reflects a strategic financial decision by the director, potentially impacting stakeholder perceptions and the company’s market positioning.

NRW Holdings Issues New Performance Rights to Employees

NRW Holdings Limited announced the issuance of 44,444 performance rights under an employee incentive scheme, which are not intended to be quoted on the ASX. This move is part of the company’s strategy to motivate and retain key employees, potentially enhancing its operational efficiency and competitive positioning in the construction and engineering sector.

NRW Holdings Director Alters Shareholding

NRW Holdings Limited announced a change in the director’s interest, with Michael Norman Arnett disposing of 200,000 fully paid ordinary shares through an on-market trade, reducing his total holdings to 812,534 shares. This transaction, valued at approximately $945,381.64, reflects a strategic financial decision by the director, potentially impacting stakeholder perceptions and the company’s market dynamics.

NRW Holdings Schedules Annual General Meeting and Director Nomination Deadline

NRW Holdings Limited has announced that its Annual General Meeting will take place on 27 November 2025. The deadline for director nominations is set for 17 October 2025, requiring written submissions to be delivered to the company’s registered office. This announcement is part of NRW’s continuous disclosure policy and reflects the company’s commitment to transparent governance practices.

NRW Holdings Completes Fredon Acquisition and Updates FY26 Guidance

NRW Holdings Limited has completed the acquisition of Fredon Industries Pty Ltd, integrating Fredon’s 2,500 employees and expanding NRW’s capabilities in HVAC and electrical services. This acquisition supports NRW’s strategy to grow by entering new markets and enhancing service offerings, particularly in emerging sectors like data centers. The company has updated its FY26 guidance, projecting revenue to exceed $4 billion and underlying EBITA between $255 million and $265 million, reflecting a strong start to the financial year and increased activity across its business sectors.

NRW Holdings Announces Director’s Change in Securities Interest

NRW Holdings Limited has announced a change in the interests of its director, Julian Alexander Pemberton. The change involves the vesting of performance rights under the company’s Performance Rights Plan for FY23, resulting in an increase of 862,167 fully paid ordinary shares held indirectly by Pemberton. This adjustment reflects the company’s ongoing commitment to aligning executive incentives with shareholder interests, potentially impacting its governance and stakeholder confidence.

NRW Holdings Limited Announces Quotation of New Securities

NRW Holdings Limited has announced the quotation of 2,104,485 ordinary fully paid securities on the Australian Securities Exchange (ASX) as part of an employee incentive scheme. This move is expected to enhance the company’s capital structure and provide additional liquidity, potentially strengthening its market position and benefiting stakeholders.

NRW Holdings Limited Announces Proposed Securities Issue

NRW Holdings Limited announced a proposed issue of 2,104,485 ordinary fully paid securities, scheduled for issuance on September 30, 2025. This move is part of a placement or other type of issue, potentially impacting the company’s capital structure and market positioning, as it seeks to enhance its financial flexibility and support future growth initiatives.