LOGISTICS giant Team Global Express (TGE), has announced financial results for the 2025 financial year, referring to “a solid performance” in a tough market.
Highlights were reported as the “successful completion” of its divestment from the Toll Group and improved capital structure.
"The completion of our divestment from the Toll Group enables us to increase our focus and investment in our operational performance and customer interface,” said chief executive Nick Stratford.
"While revenue was in line with the previous year, our diversified service offering and signing of new strategic partnerships locally and internationally have enabled us to maintain market share.
"Our liquidity position, combined with improved earnings and earnings retention, provides TGE with the cash required to accelerate investment into our systems, people, and processes.”
Group executive chair Christine Holgate said they remained “committed to reinvesting into Team Global Express and capitalising on growing cross-border, ecommerce, and strategic partnership opportunities, specifically throughout Asia”.
“The business expects to deliver significant earnings growth in the year ahead, driven by sustainable improvements in ecommerce, underlying cost disciplines and the optimising of our core business” Ms Holgate said.
“We have the financial flexibility to accelerate operational advances across the Group and continue to improve service to our customers.”
The completion of the Toll Group divestment was described as representing “a pivotal milestone for TGE, eliminating previous payment obligations and enabling substantially improved earnings retention”.
The 2025 financial year statutory EBITDA was $104 million, up $99.7 million on the year prior, “mostly attributable to a $71.8 million reduction in divestment-related payments” as well as cost management and lower employee related expenses.
Underlying EBITDA after one-off technology investment expenses linked with upgrading company IT systems and process efficiencies was $140.1 million.
TGE has also restructured its Tasmanian operations, establishing Strait Link as a separate entity focused on moving freight via the Strait Link Shipping business between the ports of Melbourne and Burnie.
TGE and Strait Link Shipping, a subsidiary of Strait Link Australia Holdings, have begun a process for the logistics operation to be sold to the SLAH Group, with a share purchase agreement expected to be finalised this calendar year.
“Our restructuring of the TGE Tasmania operations demonstrates the Group’s ability to identify and extract market value for our shareholders, while optimising our operational footprint,” Ms Holgate said.
“This strategic divestment allows TGE to focus on its core multi-modal network and maximise its capital allocation across the business.”
Ms Holgate said TGE remained “confident and optimistic” while acknowledging ongoing challenges.
“The separation from Toll Group, combined with disciplined cost and capital management, positions TGE to deliver enhanced shareholder value while maintaining its commitment to safety, our people, and quality of service delivery to our customers,” she said.