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Wholesale distributor of plumbing, bathroom and HVAC products to trade customers in Australia and the United States.
Wholesale distributor of plumbing, bathroom and HVAC products to trade customers in Australia and the United States.
Plumbers buy at its branches on trade accounts, so profit depends on branch density, stock availability and volume rather than price alone. The 2018 purchase of MORSCO, a US plumbing and HVAC distributor, made the US the larger part of the business. The Wilson family remains a major shareholder.
In one line: Australia's Ferguson (plumbing distribution).
Moat: narrow (scale, distribution, installed base). Dense branch network and trade-counter relationships built over decades in both Australia and the US.
Headquarters: Melbourne, Australia · Founded: 1919 · Employees: 9,000
Size Reece (REH.AX) is an Australia Industrials company (Wholesale Distributors) with a market value of $7.83B, the 44th largest of 316 Australia companies the cockpit tracks. Shares closed at A$18.38 on 6 Nov 2026.
Performance Over six months the shares gained 44.5%, against -1.0% for the median peer and +4.1% for the Australia market (cap-weighted) — highest of 21 in its peer set.
Growth Revenue grew 4.5% over the last twelve months (peer median +4.3%); the operating margin is 5.6% (peer median 10.6%).
Valuation It trades at 35.5× forward earnings against a peer median of 19.2× (2nd most expensive of 21).
Price implies For today's price to make sense, revenue must grow about 24% a year for seven years (Req g). Recent delivered growth is +8%, so the hurdle is +16 pp: the price needs faster growth than the company has been delivering — of companies that just grew 25–50% a year, 93.8% slowed down over the next four years.
Capital Return on invested capital runs 5.2 points below its cost of capital (11.7% WACC).
Next results Next results expected around 3 Mar 2027 (exchange calendar; dates can move).
| TTM | FY2026 | FY2025 | FY2024 | FY2023 | |
|---|---|---|---|---|---|
| Revenue | A$9.38B | A$9.38B | A$8.98B | A$9.10B | A$8.84B |
| Revenue growth | — | +4% | -1% | +3% | — |
| Gross profit | A$2.71B | A$2.71B | A$2.56B | A$2.61B | A$2.51B |
| EBITDA | A$895M | A$895M | A$898M | A$1,000M | A$954M |
| Net income | A$308M | A$308M | A$317M | A$419M | A$388M |
| Free cash flow | A$482M | A$482M | A$358M | A$515M | A$615M |
| Capital expenditure | A$174M | A$174M | A$258M | A$258M | A$177M |
| Total debt | n/a | A$2.25B | A$1.97B | A$1.83B | A$1.96B |
The default views of Competitor Analysis ▸ Charts, drawn from the same data. Open them in the cockpit to change the axes, pin companies and read every value.
| Company | Market cap | 6M return | Revenue growth | Op. margin | Forward P/E | Req g |
|---|---|---|---|---|---|---|
| Reece REH.AX | $7.83B | +44% | +4% | 6% | 35.5× | 24.2% |
| Ferguson Enterprises FERG | $45.2B | -3% | +8% | 10% | 19.4× | 9.9% |
| Watsco WSO | $12.7B | -28% | 0% | 9% | 24.3× | 13.2% |
| Core & Main CNM | $8.76B | -6% | -1% | 10% | 14.3× | 5.3% |
| Beijer Ref BEIJ-B.ST | $8.09B | +27% | +4% | 10% | 28.0× | 14.0% |
Peer set: Industry: the same industry and sector in any market, nearest in size. This is the same default set the interactive Competitor Analysis opens with.
| Measure | REH.AX | Peer median | Rank in peer set |
|---|---|---|---|
| 1-month return | +9.7% | +3.4% | 5th highest of 21 |
| 6-month return | +44.5% | -1.0% | highest of 21 |
| Distance from 52-week high | -3.3% | -16.0% | 3rd highest of 21 |
| Revenue growth (TTM) | +4.5% | +4.3% | 10th highest of 21 |
| Operating margin | 5.6% | 10.6% | 4th lowest of 21 |
| Forward P/E | 35.5× | 19.2× | 2nd most expensive of 21 |
| Growth the price implies (Req g, 7 yrs) | 24.2% | 9.0% | 3rd most demanding of 20 |
| Growth delivered (Del g) | +8.4% | +11.3% | 8th lowest of 20 |
| Hurdle (Req g minus delivered) | +15.8 pp | -1.2 pp | 2nd most demanding of 20 |
| ROIC minus cost of capital | -5.2 pp | +3.8 pp | 3rd lowest of 21 |
| EV / EBITDA | 14.8× | 12.6× | 7th most expensive of 18 |
| Net debt / EBITDA | 2.1× | 2.4× | 9th least indebted of 18 |
| Company | Market | Market cap | 6M return | Revenue growth | Op. margin | Forward P/E | Req g | Delivered g |
|---|---|---|---|---|---|---|---|---|
| Reece REH.AX | Australia | $7.83B | +44% | +4% | 6% | 35.5× | 24.2% | +8.4% |
| Beijer Ref BEIJ-B.ST | Sweden | $8.09B | +27% | +4% | 10% | 28.0× | 14.0% | +21.4% |
| Finning International FTT.TO | Canada | $8.20B | -9% | 0% | 8% | 17.5× | 10.1% | +11.3% |
| Addtech ADDT-B.ST | Sweden | $8.66B | -2% | +4% | 13% | 30.7× | 19.3% | +14.9% |
| MonotaRO 3064.T | Japan | $7.04B | +22% | +19% | 14% | 29.6× | 9.7% | +16.2% |
| Core & Main CNM | United States | $8.76B | -6% | -1% | 10% | 14.3× | 5.3% | +16.0% |
| Hotai Motor 2207.TW | Taiwan | $8.90B | +10% | +8% | 11% | 13.2× | 1.5% | +3.9% |
| Imcd IMCD.AS | Netherlands | $6.80B | +7% | +3% | 8% | 18.2× | 10.9% | +11.5% |
| Royal Vopak VPK.AS | Netherlands | $6.51B | +14% | +1% | 29% | 15.5× | 8.8% | +1.8% |
| MSC Industrial Direct MSM | United States | $6.33B | +9% | +6% | 9% | 20.1× | 9.0% | +4.3% |
| Brenntag BNR.DE | Germany | $10.0B | 0% | -5% | 5% | 14.5× | 1.9% | +5.2% |
| Zhejiang China Commodities City 600415.SS | China | $10.0B | -7% | +22% | 22% | 14.4× | n/a | n/a |
| Applied Industrial Technologies AIT | United States | $10.3B | -8% | +8% | 11% | 23.0× | 8.6% | +8.9% |
| Toromont Industries TIH.TO | Canada | $10.7B | -15% | +16% | 15% | 20.2× | 7.6% | +8.4% |
| Hdhms 443060.KS | South Korea | $5.28B | -39% | +20% | 16% | 23.0× | 3.0% | +14.5% |
| Bollore BOL.PA | France | $11.8B | -28% | -83% | -7% | 36.9× | 37.0% | -29.4% |
| SGH SGH.AX | Australia | $11.9B | +7% | -1% | 13% | 18.1× | 11.4% | +17.0% |
| Rexel RXL.PA | France | $11.9B | -10% | +1% | 6% | 13.5× | 7.7% | +9.0% |
| QXO QXO | United States | $12.0B | -38% | +408% | -1% | 29.2× | 52.0% | +178.0% |
| Bunzl BNZL.L | United Kingdom | $12.0B | +22% | +2% | 7% | 15.3× | 2.3% | +3.2% |
| Diploma DPLM.L | United Kingdom | $12.6B | +4% | +13% | 22% | 27.5× | 23.9% | +23.1% |