# Aussie Broadband (ABB.AU)

Canonical: https://gigainvestors.com/s/ABB.AU

Analysis as of: 2026-10-16T07:44:33.413Z. Financial observations: FY2017–FY2026.

Listing currency: AUD. Reporting currency: AUD.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: fail; earnings resilience is evidence only). Published buy qualification: no.

Share price: AUD 4.09 per share; close as of 2026-10-15.

Estimated value: low AUD 1.03 per share, central AUD 1.13 per share, high AUD 1.26 per share. Buy at or below the central value AUD 1.13 per share. Valuation as of 2026-10-16T07:44:33.413Z; scenarios are not confidence intervals.

Expected annual return: 4.5% at the stated quote. About 4.5% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; AU 10-year bond 5.2% + 4 points).

## Checklist

### understandable: fail

- 0 revenue declines in the last 10 years (informational)

- more than 2 net loss years

- operating margin variation exceeds 0.35

- Financial history: 10 years

- Years with declining revenue: 0

- Years with a net loss: 5

- Operating margin variation: 6.77×

Chart: Operating margin; fiscal year observations.

- FY2017: -0.11×

- FY2018: -0.02×

- FY2019: -0.04×

- FY2020: -0.01×

- FY2021: -0.01×

- FY2022: 0.02×

- FY2023: 0.05×

- FY2024: 0.07×

- FY2025: 0.05×

- FY2026: 0.08×

### moat: fail

- Years with nonpositive invested capital use equity plus debt and leases; positive earnings with no positive capital are shown above 100%.

- ROIC median below threshold

- ROIC worst years below threshold (more than 1 bad year allowed)

- ROIC, median of available years: 1.8%

- ROIC, second-lowest year: -35.4%

- Typical minus recent gross margin: -1.3 pp

- Typical gross margin (annual median): 12.6%

- Recent gross margin (lower of latest and 3-year median): 13.8%

- Years with nonpositive capital: 2

- Capital spending / revenue: 4.2%

- ROIC including acquisitions, ten-year median: 0.7%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2017: 0.0%

- FY2018: 0.0%

- FY2019: -375.2%

- FY2020: -35.4%

- FY2021: -11.5%

- FY2022: 3.7%

- FY2023: 16.7%

- FY2024: 15.4%

- FY2025: 16.5%

- FY2026: 14.1%

### economics: pass

- Owner earnings / net income, 5-yr: 0.97×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: AUD 117M

- Net income, five-year total: AUD 122M

- Return on incremental invested capital: 277.5%

- Working capital / revenue, annual change: 1.1 pp

- Working capital / revenue, change between three-year averages: 7.4 pp

- Working capital / revenue, final three-year average: 0.6%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2022: -0.60×

- FY2023: 0.54×

- FY2024: 0.59×

- FY2025: 0.69×

- FY2026: 2.00×

### management: pass

- buybacks unrelated to price (informational)

- ROIC first 3 years vs last 3 years: 0.0% vs 15.4%

- Per-share earnings: -0.01 to 0.11 (three-year endpoint medians)

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 5-year annual growth: 6.8%

- Diluted shares, 5-year annual growth: 6.8%

- Per-share value change: AUD 0.13

- Per-share value, starting three-year median: AUD -0.01

- Per-share value, ending three-year median: AUD 0.11

- Average buyback yield: 3.1%

- Buyback history: 1 years

- Debt-funded buybacks: No

- Cumulative net income, 10 years: AUD 96M

- ROIC, first three-year median: 0.0%

- ROIC, last three-year median: 15.4%

Chart: Earnings per share; fiscal year observations.

- FY2017: AUD -0.01

- FY2018: AUD -0.01

- FY2019: AUD -0.03

- FY2020: AUD -0.06

- FY2021: AUD -0.02

- FY2022: AUD 0.02

- FY2023: AUD 0.09

- FY2024: AUD 0.09

- FY2025: AUD 0.11

- FY2026: AUD 0.12

### accounting: pass

- Sloan accruals: -6.7%

- Receivables to sales index (DSRI): 1.24×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 0.0%

- Earnings backed by cash: Yes

- Operating cash / earnings: 3.45×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 1.04×

Chart: Sloan accruals; fiscal year observations.

- FY2017: -52.5%

- FY2018: -38.1%

- FY2019: -29.1%

- FY2020: -20.5%

- FY2021: -25.5%

- FY2022: -5.2%

- FY2023: -13.7%

- FY2024: -7.6%

- FY2025: -3.3%

- FY2026: -6.7%

## Holders

## Price story

Down 31% since Oct 2025 · sales +9.1%

Story as of 2026-10-16T10:00:13.091Z; price observation 2026-10-15.

Price needs cash profits to grow 20.5% a year for ten years

### Sales · FY2025–2026

sales +9.1%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2017: AUD 25M 

- FY2018: AUD 49M 

- FY2019: AUD 100M 

- FY2020: AUD 190M 

- FY2021: AUD 350M 

- FY2022: AUD 547M 

- FY2023: AUD 788M 

- FY2024: AUD 1,000M 

- FY2025: AUD 1.2B 

- FY2026: AUD 1.3B 

### Gross margin · FY2026

gross margin 13.8%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2017: 6.3% 

- FY2018: 5.5% 

- FY2019: 4.6% 

- FY2020: 8.6% 

- FY2021: 14.1% 

- FY2022: 11.8% 

- FY2023: 13.3% 

- FY2024: 13.5% 

- FY2026: 13.8% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in telecom services; annual sales are AUD 1.3 billion.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:33.413Z); FY2026: revenue 1295373000; grossProfit 179183000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); ABB.AU: Aussie Broadband Limited provides telecommunications and technology services in Australia. The company operates through Residential; Business, Enterprise and Government; and Wholesale. It offers Internet data, mobile calls and data, telephony services, hosting and managed services and customer support; voice system, and voice carrier; and managed network and managed security. The company also provides network products, phone systems, VOIP phone, and SIP trunks for healthcare, construction, retail, finance, and education, as well as professional services. In addition, it offers NBN services and related hardware, such as modems. The company serves residential, business, wholesale, and enterprise and government customers, as well as software companies and telecom providers. Aussie Broadband Limited was founded in 2003 and is headquartered in Traralgon, Australia.

### Why customers stay

Margins ranged from 13.5% to 100% during 2024–26; it earns 1.8% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:33.413Z); FY2024: grossProfit / revenue = 13.5%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:33.413Z); FY2025: grossProfit / revenue = 100%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:33.413Z); FY2026: grossProfit / revenue = 13.8%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:33.413Z); 10-year return on capital observations [[2017,0],[2018,0],[2019,-3.7522059282959837],[2020,-0.35438844951259885],[2021,-0.11452162616536757],[2022,0.036504196059352956],[2023,0.16724222404000202],[2024,0.15396746467502653],[2025,0.16492322202953194],[2026,0.1411336997015719]]; median 0.018252098029676478. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Paid dividends in 5 of 10 years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:33.413Z); FY2023: growth capex 0; upkeep 49103000; owner earnings 11666000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:33.413Z); FY2024: growth capex 30474000; upkeep 60837000; owner earnings 15503600. Growth capex / owner earnings = 1.9656079878221833.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:33.413Z); FY2025: growth capex 2763000; upkeep 74325000; owner earnings 22758400. Growth capex / owner earnings = 0.12140572272215973.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:33.413Z); FY2026: growth capex 0; upkeep 29811000; owner earnings 70726800. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:33.413Z); Dividend observations: [[2017,120026],[2018,120026],[2019,120026],[2020,0],[2021,0],[2022,0],[2023,0],[2024,0],[2025,23585000],[2026,14063000]]. Zero only counted when supported by a complete cash-flow statement.

### Are managers owners

Insiders own 21.8% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); ABB.AU SharesStats.PercentInsiders = 21.799 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits grow 20.5% yearly over ten years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:44:33.413Z); Ten-year compound average after fade. Initial solved rate 0.2858453417217378. Price 4.09; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03.  Closing-price date 2026-10-15.

## Monthly share-price history (AUD per share)

- 2020-10: AUD 1.83 per share

- 2020-11: AUD 2.00 per share

- 2020-12: AUD 1.99 per share

- 2021-01: AUD 2.47 per share

- 2021-02: AUD 2.68 per share

- 2021-03: AUD 2.71 per share

- 2021-04: AUD 3.06 per share

- 2021-05: AUD 2.48 per share

- 2021-06: AUD 2.95 per share

- 2021-07: AUD 2.85 per share

- 2021-08: AUD 4.00 per share

- 2021-09: AUD 4.89 per share

- 2021-10: AUD 4.87 per share

- 2021-11: AUD 5.23 per share

- 2021-12: AUD 4.75 per share

- 2022-01: AUD 4.22 per share

- 2022-02: AUD 4.93 per share

- 2022-03: AUD 5.32 per share

- 2022-04: AUD 5.56 per share

- 2022-05: AUD 4.18 per share

- 2022-06: AUD 3.31 per share

- 2022-07: AUD 3.63 per share

- 2022-08: AUD 2.78 per share

- 2022-09: AUD 2.28 per share

- 2022-10: AUD 2.34 per share

- 2022-11: AUD 2.62 per share

- 2022-12: AUD 2.61 per share

- 2023-01: AUD 3.00 per share

- 2023-02: AUD 3.12 per share

- 2023-03: AUD 3.12 per share

- 2023-04: AUD 3.31 per share

- 2023-05: AUD 2.78 per share

- 2023-06: AUD 2.98 per share

- 2023-07: AUD 2.75 per share

- 2023-08: AUD 3.57 per share

- 2023-09: AUD 4.11 per share

- 2023-10: AUD 3.92 per share

- 2023-11: AUD 3.82 per share

- 2023-12: AUD 3.90 per share

- 2024-01: AUD 3.84 per share

- 2024-02: AUD 4.55 per share

- 2024-03: AUD 3.58 per share

- 2024-04: AUD 3.71 per share

- 2024-05: AUD 3.44 per share

- 2024-06: AUD 3.46 per share

- 2024-07: AUD 3.19 per share

- 2024-08: AUD 3.37 per share

- 2024-09: AUD 3.85 per share

- 2024-10: AUD 3.64 per share

- 2024-11: AUD 3.77 per share

- 2024-12: AUD 3.58 per share

- 2025-01: AUD 3.94 per share

- 2025-02: AUD 3.96 per share

- 2025-03: AUD 3.99 per share

- 2025-04: AUD 4.10 per share

- 2025-05: AUD 4.15 per share

- 2025-06: AUD 3.91 per share

- 2025-07: AUD 4.51 per share

- 2025-08: AUD 5.17 per share

- 2025-09: AUD 5.78 per share

- 2025-10: AUD 5.95 per share

- 2025-11: AUD 5.32 per share

- 2025-12: AUD 5.04 per share

- 2026-01: AUD 4.52 per share

- 2026-02: AUD 5.08 per share

- 2026-03: AUD 4.78 per share

- 2026-04: AUD 5.32 per share

- 2026-05: AUD 5.37 per share

- 2026-06: AUD 4.93 per share

- 2026-07: AUD 4.77 per share

- 2026-08: AUD 4.32 per share

- 2026-09: AUD 4.29 per share

- 2026-10: AUD 4.05 per share

## Annual estimated value (AUD per share)

- FY2025: low AUD 1.02 per share, central AUD 1.11 per share, high AUD 1.23 per share

- FY2026: low AUD 1.08 per share, central AUD 1.18 per share, high AUD 1.32 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

Prior published observations retained from 2026-10-15T06:50:21.939Z where newer inputs omit a numeric field or fiscal period.

## Sources

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.