Macquarie Technology Group has achieved twelve consecutive years of EBITDA growth, reflecting the durability of its recurring revenue model and disciplined capital deployment. The company reported EBITDA of $115.9 million for the year ended 30 June 2026, representing 2% growth on the prior year and aligning with management guidance. More significantly, the company has secured $200 million in capital from the Australian Government’s National Reconstruction Fund Corporation, validating its strategic importance to Australia’s sovereign digital infrastructure ambitions.
The investment by the NRFC represents a material shift in MAQ’s capital structure. The non-convertible subordinated securities, drawn in two $100 million tranches with the first received on 1 June 2026 and the second due by 1 March 2027, provides long-term funding for the company’s data centre expansion. Combined with an undrawn debt facility of $496.5 million and $100 million in hybrid securities available, MAQ has substantial financial flexibility to execute its growth strategy without equity dilution.
The foundation of MAQ’s stability rests on contracted revenue, with 95% of revenue derived from monthly recurring commitments. Operating cash flow reached $94.6 million in FY26, delivering 108% cash conversion, demonstrating that growth translates to cash generation despite significant capital investment. Capital expenditure of $230.5 million during the year, driven primarily by $186.2 million allocated to the IC3 SuperWest project, underscores management’s commitment to capacity expansion in a market experiencing strong demand from cloud, AI, and cyber security customers.
The acquisition of a 34,200 square metre site in Macquarie Park, completed on 6 August 2026, establishes the foundation for the proposed Macquarie Engineering and Technology Campus targeting 200MW of capacity. This addition brings MAQ’s total capacity to approximately 268MW, with 265MW located in Sydney’s Tier 1 Northern Zone. The holding costs for the METC site are estimated at $1 million to $2 million annually before financing, representing a modest investment relative to the long-term capacity potential.
IC3 SuperWest Phase 1, a 6MW facility, remains on track for completion by September 2026. Phase 2, comprising 13MW, has been accelerated to June 2027. The expedited delivery reflects responsive positioning to current market dynamics, where customers seek larger capacity with faster deployment timelines. Management expects IC3 SuperWest Phase 1 revenue to commence in the second half of FY27, informing guidance for modest EBITDA growth in that period.
Investors should monitor the timing of IC3 SuperWest Phase 1 revenue recognition, the completion and ramp of Phase 2, progress on the METC development, and the drawdown of the second NRFC tranche by March 2027. The combination of government backing, contracted recurring revenue, and demonstrated execution capability positions MAQ favourably within Australia’s infrastructure buildout cycle. This announcement has been flagged as price sensitive and material by the ASX.
View the full ASX announcement (PDF)
About Macquarie Technology Group Limited (ASX: MAQ)
Macquarie Technology Group Limited is an Australian data centre, cloud, cybersecurity, and telecommunications company serving medium to large businesses and government customers. The company provides voice communications, cloud infrastructure, network management, cyber security solutions, and colocation services. It is headquartered in Sydney and listed on the Australian Securities Exchange since 1999.
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