SSM - Service Stream

[JohnDe]

For a year the SP has slowly gone up, and several days ago a small dip appeared. I thought that there as going to be some price adjusting down, and then today -

Service Stream secures significant Base Services Contract with the Department of Defence ​

​

Leading essential network services provider Service Stream Limited (ASX: SSM) is pleased to announce that it has secured a significant long-term Base Services Contract (Contract) with the Australian Department of Defence (Defence). ​

​

Service Stream has been appointed the provider of Property and Asset Services for South Australia and the Northern Territory, which encompasses 113 Defence sites and training facilities, including 8 major bases. The business will perform and support estate upkeep, land management, aerodrome operations, and training area and range management services. ​

​

Base Services Contracts are designed to flex with Australia’s changing strategic environment, adapt to changes in the estate and evolving operational contexts, surge to support military exercises and respond to government priorities. ​

​

The Contract will operate for an initial 6-year term, with two extension options of between 1-3 years, to extend to a maximum term of 10-years at Defence’s discretion. The combined value of the works for both regions is approximately $1.6 billion over the initial term. ​

​

Operations commence on 1 February 2026, with approximately 350 new employees and a range of specialist contractors to be engaged to support the Base Services operations. The business is anticipating minimal earnings contribution in FY2026 due to commencement timing and the mobilisation program. ​

 

[divs4ever]

For a year the SP has slowly gone up, and several days ago a small dip appeared. I thought that there as going to be some price adjusting down, and then today -

Service Stream secures significant Base Services Contract with the Department of Defence ​

​

Leading essential network services provider Service Stream Limited (ASX: SSM) is pleased to announce that it has secured a significant long-term Base Services Contract (Contract) with the Australian Department of Defence (Defence). ​

​

Service Stream has been appointed the provider of Property and Asset Services for South Australia and the Northern Territory, which encompasses 113 Defence sites and training facilities, including 8 major bases. The business will perform and support estate upkeep, land management, aerodrome operations, and training area and range management services. ​

​

Base Services Contracts are designed to flex with Australia’s changing strategic environment, adapt to changes in the estate and evolving operational contexts, surge to support military exercises and respond to government priorities. ​

​

The Contract will operate for an initial 6-year term, with two extension options of between 1-3 years, to extend to a maximum term of 10-years at Defence’s discretion. The combined value of the works for both regions is approximately $1.6 billion over the initial term. ​

​

Operations commence on 1 February 2026, with approximately 350 new employees and a range of specialist contractors to be engaged to support the Base Services operations. The business is anticipating minimal earnings contribution in FY2026 due to commencement timing and the mobilisation program. ​

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i am not sure this is a good ( profitable ) thing for SSM , there is a chance this contract could be distracting

VNT might be the biggest beneficiary of the recent flurry of defense department contracts ( i hold DOW )