FDC Consolidated Holdings (ASX: FDC) Lifts FY27 Guidance as Work Pipeline Reaches $2.85 Billion

FDC Consolidated Holdings has raised its FY27 revenue and earnings guidance by 5% to 10% after new contract wins and project delivery lifted its secured work pipeline to $2.85 billion.

The construction and building services contractor now expects revenue of $2.00 billion to $2.08 billion for the year ending 30 June 2027, compared with the $1.9 billion pro forma forecast in its prospectus.

Normalised earnings before interest and tax are forecast at $105 million to $110 million, up from $100 million. FDC continues to target a normalised EBIT margin of about 5.3%, broadly unchanged from the prospectus forecast.

The stable margin guidance indicates the higher earnings forecast is being driven by additional revenue rather than an expected improvement in profitability per dollar of sales.

FDC attributed the upgrade to project execution, earnings performance over the first four months of FY27 and new contracts secured through what it described as disciplined project selection. Financial information for the four months ended 31 October 2026 remains unaudited.

Secured pipeline grows 14%

Work in hand reached $2.85 billion at 31 October, an increase of $350 million, or 14%, from 30 June 2026. Revenue already delivered and secured work scheduled for the remainder of FY27 now fully support the original $1.9 billion prospectus revenue forecast.

That provides a base for the upgraded target, although not all work in hand will necessarily be recognised as revenue during FY27.

The order book is spread across FDC’s Construction and Fitout & Refurbishment operations. No individual sector represents more than one-fifth of secured work, limiting the company’s dependence on any single end market.

Industrial projects account for 18.1% of work in hand, followed by education at 17.1% and data centres at 16.3%. Recent wins also cover retirement living and aged care, health, public spaces and commercial projects.

Chief Executive Officer Russell Grady said FDC remained selective when assessing prospective work.

“We remain disciplined in selecting projects that meet our delivery, risk and return criteria, with a clear focus on quality delivery and profitable growth.”

Execution remains the key variable

FDC delivers non-residential construction, fitout and refurbishment projects across Australia and employs more than 730 people. Its activities range from industrial developments and data centres to education, health and cultural facilities.

The revised guidance uses the same normalised basis as the prospectus forecasts. Normalised EBIT is a non-IFRS measure and should be considered alongside FDC’s statutory results.

The forecast also assumes current trading conditions continue, projects proceed broadly to schedule and there are no material adverse changes to market conditions or the group’s operations. Project timing, economic conditions and delivery costs remain the main variables that could cause the final result to differ from guidance.