AUSDF (AUSDF) Q4 2026 Earnings Report, Transcript and Summary

Thank you for standing by, and welcome to the Perenti FY '26 Results Presentation. [Operator Instructions] Finally, I would like to advise all participants that this call is being recorded. I'd now like to welcome Vanessa Torres, Managing Director and Chief Executive Officer, to begin the presentation. Vanessa, over to you.

Good morning, everyone, and thank you for joining the Perenti FY '26 Results Call. My name is Vanessa Torres, and presenting with me today is Mike Ellis, our CFO. Today, we will outline our full year performance, the outlook for our business and how we plan to maximize returns for our shareholders. As this is my first reporting period as CEO for Perenti, I am very pleased to be announcing another year that Perenti has delivered to our guidance, marking our fifth consecutive year. For those who are new to the Perenti story, we illustrate on Slide 3, our diversified portfolio of businesses spanning across the mining life cycle. Our businesses offer a broad suite of services, spreading across 12 different countries. We have world-leading expertise in underground mining and drilling. 66% of our revenue in FY '26 was generated from underground operations, and this was mostly from gold and copper projects. We operate 20 mines around the world. And collectively, we employ around 10,000 people to service more than 160 different clients. We aim to be the safest and most productive in industry, which unlocks enduring value and certainty for our people, our clients, our communities and ultimately deliver sustainable returns for our shareholders. As announced on Friday, we have agreed to sell the BTP Group for AUD 100 million. The accounting standards require BTP to be reported in our annual report as a discontinued operation in our financial results. In order to allow comparison between FY '26 and FY '25 in a like-for-like manner, the results presented here represent the division as it was on 30th of June 2026, which is inclusive of the BTP Group. Mike will step through a reconciliation to statutory numbers later. Before I get into the financial performance, I want to highlight our focus on safety. At Perenti, we are committed to ensure that everyone comes home safe and well. This mindset shapes how we operate our business and the decisions we make. In FY '26, we continue to strengthen our safety system in four key areas. Our critical risk management systems have strengthened the identification of hazards. Safety leadership training is building our safety culture across all of our workforce -- direct workforce engagement. It's also simplifying our systems, making them more accessible and practical for our workforce and technology and engineering solutions are prioritized to reduce exposure to hazards where possible. We are proud to report 0 fatalities in FY '26 and improvements in both total recordable injury frequency rate, which is down to 6.0 and significant potential incident frequency rate down to 2.8. Whilst these results are encouraging, a safety culture requires continued focus and an enduring commitment from everyone in our organization. Turning to our FY '26 financial results on Slide 5. As guided to the market, FY '26 has been a transitional year that sets up our company for future growth. A shift in revenue mix from Africa towards Australia and North America has been underway for some time, and the success of this strategy is now building momentum. EBIT(A) margin increased to 9.8%, delivering a record EBIT(A) result, even with revenue holding steady from FY '25. At the same time, -- the balance sheet has continued to benefit from the strong free cash generation. Leverage at 0.4x and gearing at 12.8% is the strongest position our balance sheet has ever been in. This provides significant capacity to pursue growth options that I will unpack later in this presentation. On an adjusted basis, free cash flow of $182 million exceeded our guidance, which was upgraded during our first half results. Underlying NPAT(A) grew 8% compared to FY '25, benefiting from the lower finance costs. The strength of these results has allowed our Board to declare a final dividend of $0.045 per share, which lifts the total dividend for FY '26 to $0.0775 per share. Underlying EPS increased to $0.205 per share compared to $0.191 in FY '25, a 7% improvement year-on-year. On Slide 6, we show our performance against guidance for the past five years. This is the fifth consecutive year that guidance has been met, which has also occurred in parallel with the portfolio transition, shifting the concentration of revenue in West Africa towards Australia and North America. The consistent free cash generation has enabled the balance sheet to be fundamentally transformed and now provides the group with significant funding capacity to pursue growth options aimed to maximize shareholder return. Operationally, FY '26 included several important highlights. In Australia, we won the Bellevue contract worth approximately $850 million, which is the largest Australian contract in the history of Barminco. Our drilling businesses continue to build momentum with rising utilization, which is encouraging for FY '27. In North America, development at Goldrush has maintained a high operating standard that has been helpful to showcase the productivity advantages that Barminco's high-speed development can deliver for clients to maximize value. The award of the neighboring Fourmile contract is an important step to build regional scale in the U.S.A. and the recently announced addition of the Fourmile project to the Nevada Gold Mines JV between Newmont and Barrick enables us to unlock the benefits of working on these neighboring mines. I recently had the opportunity to visit our operations in Ghana, and I was pleased to see our underground mining operations continue to deliver strong results. The culture amongst our Ghanaian workforce is excellent and the flow-on impact on the communities is immense. As we will be shortly exiting surface mine in Ghana, the recent agreement to sell the Iduapriem fleet as part of this transition will allow the recycling of capital toward new high-performing opportunities elsewhere in the portfolio. The numbers at the base of this slide provide a glimpse of the size of our operations. Over 120 kilometers of development advance and more than 14 million tonnes of ore was delivered by Contract Mining in FY '26. The total drilling meters in the lower right includes everything drilled by drilling services and also the contribution of the drillers who work as part of the Contract Mining operations. And to give context to the 13,000 kilometers of drilling, it is more than the diameter of Planet Earth. So effectively, in a single year, our teams have drilled the equivalent distance from one side to the planet to the other. Turning to Slide 8. Perenti delivered record EBIT(A) of $340 million, up 2% on FY '25 on a broadly flat revenue of around $3.5 billion. The key feature of this result was the improvement in EBIT(A) margin, which increased to 9.8%, supported by improved operational performance from Contract Mining. As highlighted during our first half results and consistent with prior years, earnings were heavily weighted to the second half. This is typical of the nature of our business, and we anticipate a similar first half and second half profile in FY '27 as new projects ramp up. Looking ahead, the sale of the AMS fleet and the divestment of BTP are expected to recycle approximately $150 million towards higher return opportunities. Moving to Contract Mining, our largest division, which generated revenue of $2.4 billion and EBIT(A) of $291 million. As I mentioned previously, the pivot from Africa towards Australia and North America has shifted the revenue mix within this division. Our long-term contracts are advantageous for many reasons, but it does take time to shift the portfolio. This is evident in these results. But pleasingly, we are still delivering very strong margins. The EBIT(A) result from Contract Mining was a key driver of the Group's EBIT(A) results. This is not surprising when you consider that Contract Mining represents approximately 75% of underlying group EBIT(A) before corporate costs. Recent project wins at Bellevue, Fourmile and Dalgaranga continue to move the portfolio mix towards a high-quality, long-life projects in both Australia and North America. While the proportion of revenue from Africa is changing, our clients in Africa remain an important part of the portfolio. AUMS has recently commenced some early works at Sabodala in Senegal for Endeavour Mining with a longer-term agreement under negotiation. I will discuss later our work in hand and pipeline, but the outlook for underground operations is particularly bright in North America, where there's visibility of $6.4 billion of potential work. Turning to Drilling Services. The division has grown revenue to $843 million and set a new record EBIT(A) of $85 million. Drilling Services now represents 22% of underlying EBIT(A) before corporate costs. Utilization across the fleet continues to trend upwards and positions the division for further earnings and margins growth with mobilization costs and some fuel-sensitive inputs expected to normalize in FY '27. Swick has delivered an outstanding year in Australia and continues to see strong opportunities emerging in North America, particularly across gold and copper projects. A recent highlight subsequent to the end of the financial year was the award of a 5-year $92 million contract for Ausdrill for drilling and blasting services at Vault Minerals' King of the Hills mine. On Slide 11, Mining and Technology Services delivered revenue of $190 million and EBIT(A) of $11 million. As announced, an agreement to sell the BTP Group has been reached. So BTP has been reported as a discontinued operation in our financial results. The results presented in this slide represent the division as it was on 30th of June 2026, inclusive of the BTP Group. The proposed sale of BTP is a pivotal move that will transform this division, leaving Supply Direct, Logistics Direct and idoba focused on lower capital-intensive services. This year, Supply Direct and Logistics Direct performed in line with expectations, and both have opportunities to grow in FY '27, idoba product development costs reduced in FY '26 and reduced again in FY '27. And moving forward, they will be included in our underlying results. As announced, the divestment of BTP will unlock $100 million that will be recycled into higher return investments. In addition, the sale of the Iduapriem fleet that is part of the conclusion of the contract as announced in 20th of July 2026 is expected to generate a further $30 million to $40 million. There's also some further AMS idle surface fleet that is currently in Ghana and expected to be sold in FY '27, realizing an additional $10 million to $15 million. In total, these initiatives are expected to return between $140 million and $155 million to the Group, funding near-term opportunities that meet our investment criteria and support EPS growth. It is important to note the timing associated with these sales. The first tranche of the BTP sale, $80 million, is due to arrive towards the end of October 2026, with the final $20 million due 12 months later. The $30 million to $40 million sale of the Iduapriem fleet is due to arrive at contract conclusion in December 2026. The final $10 million to $15 million for the remainder of the idle AMS fleet in Ghana will be collected as and when the fleet is sold and several buyers have expressed interest already. I will now pass on to Mike, who will take you through the financials.

Thank you, Vanessa, and good morning to everyone on the call today. I'll now walk you through the underlying profit and loss on Slide 13. Revenue in FY '26 was $3.46 billion, broadly flat year-on-year, a solid result given the changes in the portfolio. The completion of various projects impacted our revenue growth in FY '26 with the Botswana underground project finishing at the end of FY '25, accounting for circa $250 million of revenue. This was offset by increased drilling services revenue on rising utilization and several contract wins in Contract Mining, further highlighting the benefits of scale. Our revenue and earnings quality has continued to improve in FY '26 with now over 62% of our revenue derived from Australia and North America. This further diversification into Tier 1 jurisdictions highlights the execution of our strategy. With the transitioning portfolio mix, our depreciation expense decreased by $23 million in FY '26 to 9% of revenue. This was a result of the higher depreciation last year for some large projects such as the Botswana underground project and 2 African surface projects, Mako and Sanbrado. All 3 of these projects had large fleets and have now been completed. Record EBIT(A) of $340 million, an increase of 2%, meeting our guidance for the fifth consecutive year. EBIT(A) margin improved to 9.8%, an outstanding result and underpinned by a strong contribution from Contract Mining, steady margin performance from both Drilling Services and Mining and Technology Services and an ongoing focus on corporate overheads. Interest expense reduced by 23% to $54 million, benefiting from the significant reduction in gross debt over recent years and reduced leverage. Our effective underlying tax rate was 32.8% in FY '26. It is worthwhile noting that we do expect this to increase slightly into FY '27 to circa 34% as we repatriate cash from the AMS asset sales. Underlying NPAT(A) increased 8% to $192 million and underlying earnings per share increased 7% to $0.205 per share. Our reported statutory NPAT significantly reduced in FY '26 as a result of non-underlying adjustments of $148 million included in the statutory results. Accordingly, this has had a corresponding impact to our reported statutory earnings per share for the year. I'll provide further detail of these adjustments on the next slide. Slide 14, the statutory to underlying reconciliation, which has more substantive adjustments than in FY '25. Looking backwards from our statutory results at the top, the amortization of customer-related intangibles has reduced further to $28.2 million in FY '26. This reduction was mainly due to several African contracts concluding during the year. To assist with anyone who needs to update their models, our CRI amortization will further reduce to approximately $15 million in FY '27. Net foreign exchange losses and other one-off costs were $8 million, predominantly due to unrealized FX losses, noting that last year, we did have an FX gain of $12.4 million. idoba product-related costs reduced further to $7.6 million during the year. As a part of our year-end impairment procedures, we incurred noncash asset impairments totaling $54.3 million in FY '26. To break this down further, firstly, a $25.1 million impairment on idle AMS surface fleet due to localization changes in West Africa impacting surface mining contractors. Accordingly, this changed our valuation methodology for these assets and resulted in an impairment. As Vanessa mentioned, we plan to liberate a minimum of $10 million to $15 million of cash in FY '27 in relation to these idle assets that are currently not deriving any returns. It is important to note that this is separate to the $30 million to $40 million of surface equipment scheduled for sale that is currently operating at the Iduapriem contract. So realizing redeploying this capital to higher returning projects will be beneficial for our shareholders. Secondly, we incurred a $29.2 million impairment on idoba-related goodwill and intangibles. In FY '27, idoba will see a further reduction in development expenditure and an increased focus on internal project application within Perenti. This accordingly changed the assumptions and the recoverable value of idoba at year-end. Going forward, idoba will be included in our underlying results and is included in our FY '27 guidance. Discontinued operations relates to the BTP divestment as announced on Friday last week. The full year BTP revenue, EBITDA, EBIT contribution is included in the underlying result for FY '26 that shifted to discontinued operations in line with the accounting standards. The transaction is scheduled to return $100 million and as a result, booked a non-cash loss on the revaluation of the BTP Group of $64.4 million. For clarity, the EBITDA result shown in the reconciliation table is after corporate overheads charged to the business for support services. Finally, after the net tax effect of $14.4 million results in an underlying NPATA of $192.1 million. Turning to the cash flow. At the half year result, we lifted our free cash flow guidance to greater than $170 million. After adjusting for 2 client receipts totaling $50.9 million received on the 1st and 2nd of July, we delivered a free cash flow of $181.6 million, up on the FY '26 guidance. Operating cash conversion was 97% after adjusting for the same 2 late receipts and our seventh year above 95% cash conversion. Net interest paid reduced to $52.8 million, following the early and final repayment of the 2025 Senior Unsecured Notes in July '25. Cash tax was steady year-on-year, and we do expect that to increase into FY '27 with the increased effective tax rate. Net capital expenditure was $321 million, slightly under our guidance of approximately $325 million. Dividends paid to shareholders have increased for the third consecutive year to $70.4 million and $13.1 million was utilized by the on-market share buyback. Slide 16 shows the further strengthening of the balance sheet that occurred during FY '26. Consistent real free cash flow generation over the past 4 years has transformed our balance sheet position to the strongest in Perenti history. With the BTP Group being classified as held for sale, you will notice some changes on the face of the balance sheet with a held-for-sale asset and corresponding liability. This reclassification also has impacted the year-on-year comparatives for inventory and PPE on a like-for-like basis. Gross debt has reduced to $594 million and net debt reduced to $271 million. This has brought leverage to 0.4x, which now puts us under the previously advised targeted range of 0.5x to 1x. While this is below our targeted range, we will continue to be very disciplined in deploying this capacity. Liquidity increased to $911 million, comprising of $323 million of cash and $589 million of undrawn syndicated facilities. In October '25, the new $650 million syndicated debt facility was completed on better terms and rates. The book was well oversubscribed and attracted several new domestic and international lenders to the syndicate. With several organic or inorganic growth opportunities ahead, the balance sheet provides substantial capacity for us to move quickly when the right opportunity presents. This will also be further bolstered upon the receipt of the first tranche of the BTP proceeds on completion of $80 million expected to be received around October '26. Turning to Slide 17, highlighting our disciplined approach to capital allocation and free cash flow generation. Over the past several years, revenue and EBIT(A) have grown materially. Strong free cash flow has funded growth projects, allowed repayment of gross debt, dividends to be resumed and increased and 80 million shares have been bought back on the market and canceled. We believe this balanced approach to capital allocation allows flexibility to capture opportunities and drive sustainable returns to shareholders. We continually assess the relative returns available from growth, dividends, buybacks and debt reduction. Thank you. I'll now hand back to Vanessa.

Thank you, Mike. Slide 18 illustrates how our strategy is contributing to reach our long-term financial targets. We have several strategic levers that are being used to drive performance and deliver long-term value. As Mike mentioned, our balance sheet has never been stronger in the history of Perenti. This position of strength gives us significant optionality. The earnings quality and stronger margins give us confidence that the business can continue to deliver consistent returns. In turn, the optionality provided by the balance sheet and the stability of the underlying business provides a platform to confidently pursue organic opportunities, particularly in Australia and North America. The decision regarding BTP demonstrates our active approach to inorganic opportunities and portfolio quality. We continue to assess acquisitions to add scale and capability to our group. And finally, we continue to prioritize delivery of free cash flow from operations because we appreciate the flexibility that this provides across the portfolio. Over time, we continue to target revenue growth of 5% to 10% EPS growth above revenue growth with each project generating returns on invested capital above our risk-weighted cost of capital. Additionally, we target return on equity above 10% and free cash flow above 5% of the revenue. Whilst free cash flow generated by our operations provides us the optionality to invest, we aim to strategically allocate this cash in a way that we optimize our long-term TSR for our shareholders. In this way, we start with our dividend policy that has a range of underlying 30% to 40% of NPAT(A). We then assess between growth options, share buybacks and debt reduction, depending on the availability of options and the best return for shareholders. A quality growth opportunity, either organic or inorganic, will usually outrank buybacks or further debt reduction, but the timing of when to invest in growth opportunities is important. Over time, countercyclical capital allocation maximizes TSR. And in this context, a strong balance sheet is key to enable transformational growth. Additionally, strategically timed buybacks are also attractive on an EPS basis and an important way to reward our long-term shareholders. Turning to the outlook to give some color on the opportunity ahead. Work in hand at 30 June 2026 was $6.2 billion, and the tender pipeline has grown to $20 billion. Our work in hand number has been pushed up slightly during the second half following wins at Bellevue, Duketon and Fourmile, together with smaller contract wins and extensions across all divisions. The pipeline remains incredibly strong across all regions, with Australia representing $8.6 billion and North America, $6.4 billion. Gold remains the largest commodity exposure, whilst importantly, our copper pipeline has almost doubled in value from $3.5 billion at the beginning of 2026 to $6.6 billion. A number of near-term extensions provide further opportunity to increase contracted work for FY '27 and beyond. Slide 21 highlights the strength and longevity of our client relationships. Our clients are extremely important to our business, and our many long-term relationships are one of our best indicators of our performance. This slide shows the current longest project for several clients. And importantly, our relationships with these clients often extend across multiple projects and are generally aligned with the life of the mine rather than a single contract term. For more than a decade, the renewal rate for our long-term contracts has exceeded 90% and when deciding which opportunities to pursue, we prioritize projects with long mine lives, lower unit costs, aligned values and financially stable owners. This has led to us working with many of the world's leading mining companies, including Newmont, AngloGold Ashanti, Barrick and Gold Fields as well as with the most significant and high-quality Australian mines. Turning to FY '27 guidance. We expect revenue of $3.45 billion to $3.65 billion and EBIT(A) of $335 million to $355 million. This guidance takes into account the sale of the BTP business as announced. Net capital expenditure is expected to be approximately $370 million, which includes the previously announced requirements in FY '27 for Bellevue and Fourmile and an allowance for growth capital, net of the proceeds from the AMS fleet sales. Earnings are expected to remain weighted to the second half, consistent with prior years and the characteristics of our business. The portfolio management related to BTP and AMS is expected to unlock approximately $150 million over the next 12 months. As outlined earlier, this capital will be allocated strategically to improve total shareholder returns. Several near-term options for capital exist within the $20 billion pipeline. A number of projects our team is already working on are scheduled to ramp up in FY '27, making successful execution of these projects, a key driver for FY '27. Our drilling team client engagements and internal data indicate that drilling utilization is gaining momentum, which bodes well for further growth in FY '27 and beyond. Finally, our strategic and disciplined approach to capital allocation will continue, balancing growing dividends, EPS accretive organic and inorganic growth opportunities and the buyback to drive total shareholder returns. And in summary, FY '26 was another year of consistent delivery with record EBIT(A), strong margins, stronger cash generation and a further reduction in leverage. In this context, we are also rewarding our shareholders with record dividends since the inception of Perenti. The portfolio is increasingly weighted towards high-quality opportunities in Australia and North America, while our long-standing African operations continue to deliver strong results. With a strong pipeline, a healthy balance sheet, combined with strategic and disciplined capital allocation, Perenti is well positioned to deliver enduring value and certainty for our people, clients, communities and shareholders. Thank you for your time. Mike and I will now take your questions.

[Operator Instructions] And your first question comes from the line of John Campbell at Jefferies.

Firstly, just a couple of questions. Firstly, in terms of Contract Mining, with your pivot out of Africa, West Africa into North America and Australia, what are you expecting in terms of margins, EBIT(A) margins from '26 to '27 within your guidance for Contract Mining? Are you expecting a decline in margin? Thank you.

So what we see today, and I think you've seen already that Contract Mining overall margins actually increased. So what we are doing is that with a very strong pipeline, we are definitely being focused on capturing synergies between projects and also ensuring that we are using well the opportunities. So -- as we go and get more and more in Australia and North America, we might see a slight decrease of margins, but I wouldn't expect that to affect anything materially. And in the end of the day, we will have revenue growth, especially from the second half of this financial year growing into '28. So -- but the focus that we have today, for instance, is to ensure that we're capturing a lot of synergies between projects. So for instance, Goldrush and Fourmile, the 2 projects now being owned by the same entity, which is Nevada Gold Mines will definitely help us to keep our margins as high as we can.

Sorry, John, I'll add there is we still remain very committed to Africa. We've been saying that for a while for the right projects. So I just want to be clear on that as well.

Yes. Not [indiscernible] America.

Yes. I understand that. And just since you raised it, obviously, there's that nationalization movement afoot in Africa or at least in West Africa and it's impacted surface mining. Do you see any risks at all for underground mining?

I recently actually went to Ghana to see our operations there. Underground mining is very different than surface mining. Surface mining today, I think it is -- there is a lot of players there. There is a lot of incentives from, for instance, equipment suppliers. I think that some of that hits firsthand. But underground mining in terms of the -- what we really bring is the productivity and the techniques. And those are very difficult to localize. Of course, there's a pressure to work in joint ventures. But so far, using -- managing those joint ventures haven't reduced our margins overall. So I'll say with underground mining, I'm still very, very confident we have some very good opportunities ahead. But also, I think we have longstanding in Africa. So we do have a lot of work with communities, a lot of work with government. So we're well positioned there to continue.

Look, last question. You pointed towards drill rig utilization going up in '26 and looking good for '27. Are there any numbers you can put on that, roughly how much of the fleet is utilized, that sort of thing?

Yes. Thanks, John. Average utilization across the 5 brands in FY '26 was approximately 70%. Our expectation into FY '27 that will get into the mid-70s. And there's obviously different utilization within the 5 brands, but I mean that's the benefit of scale and having sort of a market-leading drilling division like we do. So we are seeing some pretty good utilization is looking pretty good in July as well. So all things are looking okay at this point in time.

And your next question comes from the line of Mitch Sonogan of Macquarie.

Maybe just a really quick one maybe just following on from the drilling question. Can you maybe just talk to some of those headwinds that you saw in the second half? And obviously, Mike, you talked to utilization getting towards mid-70s. But yes, from a margin perspective, like how should we be thinking about that segment with what you can see at the moment?

Thanks, Mitch. In relation to the margin, so we delivered 10% in FY '26. We did have a lot of mobilizations in the second half of FY '26, which did create a drag on the margin. Secondly, we did see some cost increases off the back of the Middle East situation. So as we look forward, our expectation is that the cost pressure will stabilize and slightly improve, and we are expecting a slight EBIT(A) margin increase into FY '27 in drilling with increased revenue as well. And just to be clear, as I said to John just before, utilization is expected across -- in aggregate across the 5 brands to get into the mid-70% is what we're feeling like an appropriate assumption at this point in time.

Great. And just on the outlook, obviously, you've mentioned the idoba product development costs will be captured in the underlying. And I think that was at the EBIT line, $7.6 million in FY '26. What's expected in terms of that being absorbed in underlying in FY '27.

Thanks. With idoba, we're really focusing on now going forward with the product that's already gone into beta rather than spending too much in other projects in the pipeline. So we expect to be less than $5 million. And I think there's a big, I think, focus into really making sure idoba turns into profit.

Okay. Great. And just final one, Vanessa, just in terms of that pipeline, $20 billion. Can you maybe just talk to some of the bigger opportunities that are, I guess, due for award over the first half FY '27? And yes, just in terms of, I guess, a brief comment on the competitive landscape and our margins or bids being at margins pretty similar in line with current segment margins?

Yes. I think when you look at the pipeline near term, we have -- we are doing some negotiations for instance for our expansion with Geita in Tanzania. We're working with Newmont on Red Chris. And also, we expect to see some other players, other, I would say, greenfield opportunities coming to the market as well. So the focus is ensuring we get all the renewals in line with our plus 90% renewal rate and capture projects, especially in North America starting to move from early stage into production like Red Chris.

[Operator Instructions] And your next question is from the line of Cameron Bell of Canaccord Genuity.

Just hoping you could flesh out the, I guess, the guidance impact from BTP. I saw the $3 million EBIT number, but you also mentioned that's after corporate overheads and presumably BTP is still growing. So could you flesh out the -- I guess, what kind of drag that is on the FY '27 guidance and therefore, we can make our own estimates on the underlying business is doing?

Thanks, Cam. Yes, so you are right. In the discontinued note shows a $3 million EBIT impact for BTP in FY '26. However, that is after the divisional overheads and the corporate overheads as well. So like-for-like, it's a little bit above $5 million impact in the FY '27 guidance for BTP.

And this concludes our Q&A session for today. I would like to turn the call back over to Vanessa for closing remarks.

Thank you. So in summary, FY '26 was another year of constant delivery. We had record EBIT(A), strong margins, strong cash generation, and we further reduced our leverage. So rewarding shareholders with record dividends and in particular, looking for growth. With a strong pipeline, a very healthy balance sheet, we are really well positioned to deliver value for all of our shareholders and in particular, to our clients. So we aim to be the safest, the most productive in the industry, and that's something that we are delivering, and we will continue to deliver in the years ahead. So thank you very much for listening to us today.

This concludes today's conference call. Thank you all for joining us. Enjoy the rest of your day. You may now disconnect.