Aussie Broadband has announced an on-market share buyback

Aussie Broadband Limited (ASX: ABB) unveiled an impressive on-market share buy-back plan that allows for repurchasing up to 10% of its issued capital over the next 12 months. This strategic initiative will kick off following the release of its half-year results for FY25 in February 2025, positioning the company firmly for future growth. This framework emphasizes a solid financial foundation, targeting a net leverage ratio between 1.75x and 2.50x. Notably, as of 30 June 2024, Aussie Broadband's net debt was AU$ 138.0 million, showcasing a commendable net leverage ratio of 1.1x based on FY24 EBITDA. Furthermore, the company has successfully divested its remaining stake in Superloop, garnering gross pre-tax proceeds of AU$99.8 million and realizing a substantial gain of AU$42.7 million, effectively enhancing its financial health.

Aussie Broadband is also committed to investing in its future growth, with FY25 capital expenditure guidance set between AU$55 million and AU$60 million. These strategic investments aim to bolster its core platforms, driving competitiveness and operational efficiencies. By combining the buy-back program with targeted growth initiatives, Aussie Broadband is ultimately dedicated to creating value for its shareholders while reinforcing its business for sustainable success in the future.

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