Home / Sector / Resources Shares / Worley flags $30–40m EBITA hit from Middle East conflict in FY26 outlook

Worley flags $30–40m EBITA hit from Middle East conflict in FY26 outlook

Worley flags a $30–40 million EBITA hit for FY26 from Middle East disruptions, but keeps core targets and focuses on longer-term growth.

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Laura Stewart
Author bio Laura Stewart is a Finance Editor at The Motley Fool, where she covers Australian and international equity markets. She joined the company in 2022, following a career transition from legal advisory work in Southeast Asia into the investment industry. Prior to her current editorial role, Laura spent three years as an Equity Analyst and Writer, producing investment research across the ASX, NYSE, and NASDAQ. Her coverage included small-cap growth companies, thematic investment ideas, and high-quality U.S.-listed businesses. Laura holds a Master of Applied Finance and brings additional expertise in accounting, taxation, and estate and wealth planning from her postgraduate studies. She also has a background in law and communications, which supports her analytical and reporting work in financial markets. Outside of work, she enjoys spending time in the Adelaide Hills with her flock of sheep. Education Laura holds a Bachelor of Laws, a Bachelor of Communication (Journalism), and a Bachelor of Commerce with majors in Accounting and Corporate Finance. In 2025, she completed a Master of Applied Finance at the University of Adelaide, receiving postgraduate awards in Accounting Concepts & Methods, Ethical Principles in Accounting & Finance, Real Estate Valuation & Investment, and Tax, Estate & Wealth Planning. Social media LinkedIn FYI – I am taking a break from social media at the moment, so this account isn’t active at the moment, but I will let you know when I rejoin. Favorite investment quote "Compound interest is the eighth wonder of the world. He who understands it, earns it... he who doesn't... pays it." — Albert Einstein
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The Worley Ltd (ASX: WOR) share price is in focus today after the company warned of a $30–40 million hit to FY26 underlying EBITA from the ongoing conflict in the Middle East, and said it is now unlikely to achieve EBITA growth next year.

A group of market analysts sit and stand around their computers in an open-plan office environment.

Image source: Getty Images

What did Worley report?

  • No project cancellations in the Middle East so far; projects continue with some delays
  • Estimated adverse impact of $30–40 million on FY26 underlying EBITA from Middle East conflict
  • Underlying EBITA margin (excluding procurement) still expected at 9.0–9.5% for FY26
  • Aggregated revenue growth in FY26 still targeted above FY25
  • Delays to commencement and awards of new projects in the Middle East region

What else do investors need to know?

Worley has stepped in to help customers restore assets and support strategic projects linked to the conflict, focusing on business continuity and repairs. While some existing projects are delayed due to safety and supply chain issues, the company is working to minimise further impact, including using its global Operational Centres outside the Middle East to maintain services.

The delay of new project awards and timeline extensions for existing projects could weigh on short-term growth. However, no project cancellations have occurred so far, and Worley is maintaining close communication with clients while monitoring further developments.

What's next for Worley?

Worley is sticking to its margin targets for FY26 and expects to grow revenue above FY25, but the lingering conflict and uncertainty could create further variability. The company sees medium-to-long-term opportunities in regional pipeline and export infrastructure and anticipates increased global focus on national security, especially for alternative energy and resources.

The company plans to provide more details at its Investor Day on 14 May 2026 and promises to keep investors updated on any significant changes to its outlook.

Worley share price snapshot

Over the past 12 months, Worley shares have risen 1%, trailing the S&P/ASX 200 Index (ASX: XJO) which has risen 14% over the same period.

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Motley Fool contributor Laura Stewart has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips. This article was prepared with the assistance of Large Language Model (LLM) tools for the initial summary of the company announcement. Any content assisted by AI is subject to our robust human-in-the-loop quality control framework, involving thorough review, substantial editing, and fact-checking by our experienced writers and editors holding appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content published by The Motley Fool Australia.

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