Here are 5 of the worst 1H25 results on the ASX this reporting season

5 of the worst 1H25 results on the ASX this reporting season

Johns Lyng Group (ASX:JLG)

Remember in 2022-23 when there were so many extreme weather that JLG was booming like it never had before? Those were the days, but they are behind the company, at least not right now. You see, JLG is one of those companies insurers turn to for repair work. So it stands to make a lot of money when there are extreme weather events.

Unfortunately for JLG shareholders, its profit in 1H25 fell by a third to $20.8m and its revenue fell by 6% to $610.6m. JLG paid a 1H25 dividend of just 2.5c per share, 49% of its profit. The company told investors that its US business had green shoots, plus there was potential for recent flood and storm recovery over the summer in Queensland and NSW to show in its results. The company guided to $1.167bn revenue and $126.5m EBITDA for the full year. This would compare to $1.158bn revenue and $129.6m EBITDA in FY24.

Nuix (ASX:NXL)

One of the ASX’s most controversial companies appeared to be on the road to recovery. After a horror 2021 with downgraded guidance multiple times and lawsuits against the company, 2023 and 2024 appeared to be better. It closed FY24 with $220.6m revenue (up 21%) and a $5m profit (compared to a $5.6m loss).

For FY25 Nuix has promised:

• ~15% ACV growth in constant currency,
• Revenue growth to exceed cost growth, and
• Underlying Cash Flow positive for the full year.

Well, it appears Nuix won’t reach at least the first of these, with just 8% ACV growth in 1H25. It looks like Nuix will be cash flow positive, although its NPAT swing to $10.4m in the red and EBITDA fell 11% to $15.3m. Nuix told investors that its results would be skewed to the second half as some pipeline deals moved to the second half. But ACV growth could be between 11% and 16% now. Plus its Net Dollar Retention (NDR) saw a slight drop, while churn increased 1% to 5.4%.

Civmec (ASX:CIV)

Civmec provides construction and engineering services to the energy, infrastructure, defence and resources sectors. Despite recording 2% revenue growth in 1H25, its EBITDA fell 11% to $52.9m and its profit fell 17% to $26.5m. This reduced its EBITDA and profit margins to 10.5% and 5.3%, compared to 12.1% and 6.5% the year before. Its order book fell by a third from over $1bn to $633m.

Despite the company having some achievements, such as witnessing the opening of the Boorloo Bridge in Perth, the company told investors that there had been a change in market conditions, driving delays in the timing of key project awards or the re-scheduling of projects.

Reece (ASX:REH)

We warned a year ago that Reece was too expensive. It is fair to say it is cheaper now after its 1H25 results…although we’ll reserve judgement on whether or not to buy in for another article. The company’s revenue retreated 3%, its EBITDA by 10%, its EBIT by 17% and its profit by 19%. Accordingly, the company cut its interim dividend by 19%.

Reece admitted trading conditions were challenging and capex was high. What would also have worried investors is that Chairman Alan Wilson was standing down from the board after serving since 1969 and becoming ‘Chairman Emeritus’.

Spark (ASX:SPK)

Spark is a New Zealand telco, and its 1H25 results showed that it is suffering from the impacts of the recession in New Zealand. Despite maintaining a top market position, its revenue fell 2% to NZ$1.9bn and its profit fell 77% to NZ$35m.

And so the company cut its ‘EBITDAI’ (The I stands for Investment Income for those wondering) amnd told investors it was taking actions to turn things around. The sale of Connexa would deliver NZ$310m in the current quarter, and it was cutting net labour and opex by $80-100m in FY25.

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