ASX-listed industrial and investment group maintains dividend and advances Jandakot logistics project despite market headwinds
Introduction
Schaffer Corporation Limited (ASX: SFC) has reported a net profit after tax (NPAT) of $24.3 million for the year ended 30 June 2025. The diversified industrial and investment company delivered growth across its Automotive Leather and Delta building materials divisions while strengthening its property and equity portfolio.
Schaffer Corporation ASX SFC head office Perth 2025
The group’s flagship South Connect Jandakot logistics estate in Western Australia advanced further during the year, positioning the company to capture demand from the e-commerce and logistics sectors. With a market capitalisation of $285.4 million, Schaffer Corporation continues to balance operational performance with long-term asset growth.
Key Findings and Results
The 2025 results underscored steady performance across the company’s operating divisions. Revenue rose 2% to $229.7 million, supported by international automotive contracts and Australian infrastructure demand.
Financial highlights for FY25:
- Group revenue: $229.7m (FY24: $226.2m)
- Statutory NPAT: $24.3m (FY24: $27.1m)
- EPS: $1.78 per share (FY24: $1.99)
- Dividend: $0.90 per share, fully franked
- Investment portfolio valuation: $227.3m, up 7.8%
- South Connect Jandakot valuation: $88.0m, up from $82.1m
Schaffer Corporation Automotive Leather division Slovakia 2025
Automotive Leather delivered $16.3m NPAT, an increase of 7% on FY24, while Delta reported $4.9m NPAT, a 9% gain. Investments contributed $3.3m, up 75% from the prior year.
Economic and Strategic Benefits
The Automotive Leather division supplied luxury automotive brands including Audi, Porsche, and Mercedes. Higher volumes and favourable currency shifts underpinned earnings, despite supply chain disruptions.
Delta Corporation infrastructure projects Western Australia 2025
Delta’s performance reflected robust demand from Western Australian rail and infrastructure projects. While several major contracts concluded during the year, the division delivered record revenue of $31.5m.
Managing Director John Schaffer AM said the company’s diversified model had been critical in navigating external pressures.
“Despite supply chain challenges and currency volatility, Schaffer Corporation delivered resilient results across divisions,” he said. “Our portfolio continues to support shareholder value while positioning us for future growth.”
Resource and Project Updates
South Connect Jandakot advanced to a pre-tax net equity value of $88m. Civil works have been completed, with the first warehouses scheduled for construction in FY26.
The logistics estate covers 34 hectares and will provide institutional-grade facilities to meet rising demand for e-commerce and distribution. The initial 13,500 square metre warehouse will be developed as a build-to-lease project, enhancing recurring income streams.
The company also maintained steady investment in equities and syndicated property holdings across Australia and the United States. The investment portfolio, representing $16.73 per share, continues to provide a tangible asset base for investors.
Market and Industry Context
Schaffer Corporation operates in markets shaped by global automotive cycles, infrastructure demand, and supply chain realignment.
The Automotive Leather division is well positioned to supply the electric vehicle industry through its facilities in Europe, Australia, and China. The division has also progressed emissions reduction initiatives, cutting Scope 1 and 2 emissions by 44% since 2017.
The property division is aligned with global logistics growth trends. Rising demand for warehouse space, driven by e-commerce, supports the medium-term outlook for South Connect Jandakot.
Investor Outlook
Schaffer Corporation shares last traded at $21.00, flat on the day, with a market capitalisation of $285.4 million. The company’s dividend yield remains attractive at 4.3%, reflecting its fully franked $0.90 per share payout.
Over the past year, shares have traded steadily within a 52-week range of $20.50–$23.20. Investors continue to view the group’s diversified earnings base and asset backing as defensive strengths.
The company also reduced net debt slightly to $32.9m, supported by $28m in operating cash flow. Analysts point to the combination of recurring property income, automotive contracts, and a disciplined investment approach as a buffer against cyclical risks.
Also Read: Australian Stock Market Live News September 2025: ASX200 Gains as Myer Plunges
Final Thoughts
Schaffer Corporation’s 2025 results reinforce the benefits of its diversified model. Strong earnings from Automotive Leather and Delta, combined with the growth of South Connect Jandakot, underpin a balanced outlook.
With a long history of uninterrupted dividends, the company maintains its reputation as a reliable income stock. Its continued expansion in logistics and automotive markets positions Schaffer Corporation to deliver long-term value to shareholders while navigating economic uncertainty.
Frequently Asked Questions (FAQs)
- What was Schaffer Corporation’s net profit for FY25?
Schaffer Corporation reported a statutory net profit after tax (NPAT) of $24.3 million for the year ended 30 June 2025. - How did Schaffer Corporation’s revenue perform in FY25?
Group revenue rose 2% to $229.7 million, supported by higher sales in the Automotive Leather and Delta divisions. - What dividend did Schaffer Corporation declare in FY25?
The company declared a fully franked dividend of $0.90 per share, consistent with the previous year. - What is the South Connect Jandakot project?
South Connect Jandakot is a 34-hectare master-planned logistics estate in Western Australia. Construction of the first warehouse is scheduled for FY26. - How is the Automotive Leather division performing?
Automotive Leather contributed $16.3 million in NPAT, a 7% increase year-on-year, driven by new programs with Audi and Porsche. - What is Schaffer Corporation’s current share price and market cap?
As of the latest update, shares trade at $21.00 with a market capitalisation of $285.4 million. - How does Schaffer Corporation support sustainability?
The group has cut Scope 1 and 2 emissions by 44% since 2017, advanced supply chain traceability, and invested in renewable energy solutions.
