The Propel Funeral Partners Ltd (ASX: PFP) share price is in focus today after the company posted FY26 revenue of $226.6 million, steady on last year, and declared a fully franked final dividend of 6.9 cents per share.
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What did Propel Funeral Partners report?
- Revenue: $226.6 million, up 0.3% on FY25 and within guidance
- Operating EBITDA: $55.3 million, down 1.6% year on year
- Operating NPAT: $20.7 million, a 4.0% decline from the prior year
- Total fully franked dividends: 14.4 cents per share (unchanged from FY25)
- Five acquisitions completed in FY26 and since, totalling ~$12 million
- Funding capacity of ~$169 million and strong cash flow conversion of 100.7%
What else do investors need to know?
Propel carried out roughly 22,850 funerals in FY26, marking a 1.1% increase on the previous year, despite a contraction in comparable volumes of about 2%. Average revenue per funeral climbed ~2% to $6,673, supported by recent acquisitions and pricing, but was impacted by foreign exchange movements.
Over the year, Propel made five acquisitions in New Zealand, broadening its network of funeral homes and memorial businesses. The company notes continued focus on its core strategy of investing in death care assets across Australia and New Zealand.
The balance sheet remains solid with about $650 million in total assets, $252 million in freehold property, and a recently extended $275 million debt facility now maturing in October 2029. Gearing sits at roughly 31%, and the net leverage ratio is well within covenant limits at about 2.2 times.
What's next for Propel Funeral Partners?
Looking ahead, Propel says it is well placed for growth thanks to strong funding, favourable demographics, and contributions from its latest acquisitions. The company notes the industry remains highly fragmented, presenting further acquisition opportunities, though timing is yet to be determined.
In July 2026, Propel produced revenue of approximately $21.5 million, supported by increased average revenue per funeral and ongoing resilience in funeral volumes, despite lower industry death volumes. The company will update shareholders on FY27 trading at its AGM in November.
Propel Funeral Partners share price snapshot
Over the past 12 months, Propel Funeral Partners shares have declined 32%, trailing the All Ordinaries Index (ASX: XAO).
