SLC is a $1.6bn Australian telco that builds and operates high-speed internet infrastructure, providing services to consumers, businesses, and wholesale customers across the Asia-Pacific region. Its growth is driven by fibre network expansions, enterprise solutions, and partnerships such as its recent deal with Origin Energy (taken from ABB), which adds significant earnings and strategic investment. SLC reported a total revenue of $546.5mn for the FY25, a 31% increase from the previous year. Revenue is generated from three areas:
- Consumer Segment contributed $363.7mn, up +37% YoY. This growth was fuelled by the addition of 63,000 net new customers, bringing the total customer base to over 731,000. The segment also benefited from higher average revenue per user (ARPU) and the successful migration of 130,000 Origin Energy customers, with an additional 83,000 added by the end of the year.
- Wholesale Segment generated $77.9mn, a healthy +62% jump.
- Business Segment contributed $104.0mn, a +4.3% increase. The segment’s growth was supported by new enterprise customers and expanded services to small businesses,
SLC is profitable, albeit just, reporting a $1.2mn NPAT in FY25, illustrating there’s plenty of business upside already in the company’s valuation. Moving forward, SLC’s growth is set to gain momentum in FY26, supported by NBN speed upgrades and the strong performance of its Smart Communities business.
- We can see SLC trading to new 2025 highs into 2026, but the risk/reward isn’t overly compelling above $3.
