VEEM navigates FY25 challenges, poised for defence-driven growth

VEEM Ltd reported FY25 revenue of A$68.6m, a 15% decrease from FY24's A$80.6m, with EBITDA falling 38% to A$9.2m and NPAT down 57% to A$3.0m. Defence revenue declined by A$5.2m due to the cyclical nature of the ASC contract, although other defence work partially offset this. The company anticipates stronger performance in 2HFY26, underpinned by new ASC orders and a A$65m contract signed in August 2025.

Strategic advancements in defence include qualification for the US Submarine Industrial Base and a 9-year MLA with Northrop Grumman valued up to $33m. VEEM also launched its VEEM EXTREME propulsion system, boasting up to 18.1% fuel efficiency gains, and the new Mark III Gyrostabiliser, designed for improved operating costs and efficiency.

On November 27, 2025, Michael Bailey retired as a director. An Appendix 3Z filing shows that Michael Robert Bailey and Mary Teresa Bailey jointly hold 115,423 fully paid ordinary shares. In its 1HFY26 trading update, VEEM expects revenues between A$24m to A$26m, with EBITDA in the range of -A$1m to A$1m, and a Net Loss After Tax between -A$2m to -A$3m, citing delays in defence orders and purchasing hesitancy ahead of the Mark III Gyro launch.