Good morning, ladies and gentlemen. I'm Brett Gallagher, the Chairman of Service Stream Limited. It's my pleasure to welcome you to Service Stream's 2022 Annual General Meeting, and it's nice to be back in person, albeit we're also online, so running a hybrid meeting today. Before we commence today, I'd first like to begin by acknowledging the traditional owners of the land on which we meet today, the Wurundjeri people of the Kulin Nation, and pay my respects to their elders, past and present. Under Service Stream's constitution, a quorum is required for this meeting, and I've been advised that a quorum is present, so I declare the meeting is open. A significant number of shareholders have already voted and appointed proxies ahead of this meeting, and we thank them for doing so.
Prior to the formal aspects of today's meeting, I'll take the opportunity to make some general remarks on the 2022 financial year. Following my remarks, the managing director, Leigh Mackender, will provide some further insights into the company's performance and outlook. My address and Leigh's presentation were released on the ASX earlier this morning. After the managing director's presentation, we'll move into the formal aspects of the meeting and respond to questions that have been raised in the room through the Computershare platform or received prior to today's meeting. While every effort has been made to ensure that today's AGM runs smoothly for our shareholders, if any technology issues do arise, a recording or a transcript will be available on our website. Before we begin, I would like to introduce my fellow directors who are all here in person.
I'll start by Leigh Mackender, our Managing Director. We have Peter Dempsey, Non-Executive Director and Chair of our Remuneration and Nomination Committee. Next to Peter, we have Deborah Page, Non-Executive Director and Chair of our Audit and Risk Committee. Followed by Greg Adcock, our Non-Executive Director and Chair of our Health, Safety, Environment and Sustainability Committee. Thanks, Greg.
Sorry.
Always a handful. Next to Greg, we have Non-Executive Director Elizabeth Ward. Joining us for the first time today, we have Martin Monro, Non-Executive Director. Also joining us today and available to answer questions, down the end we have our Chief Financial Officer Linda Kow. In the audience there, Trevor Johnson from PwC. Also in the front row, we have a full complement of our executive team, so welcome all. The Company Secretary has advised that no apologies have been received. By joining our hybrid annual general meeting today, you as a Service Stream Limited shareholder or your appointed proxy will have the opportunity to ask questions and submit votes if you haven't already done so. Voting today will be conducted by way of poll on all items of business, and Computershare will act as the independent returning officer.
For those attending the meeting online and who are eligible to vote, as the poll is open, a voting icon is available on your screen. Select this icon, it will bring up a list of resolutions and present you with options. For those voting online, you are free to submit your votes at any time. To cast your vote, simply select one of the options. There is no need to hit submit as the vote is automatically recorded. Please ensure you cast a vote for all resolutions. You will receive a vote confirmation notification on your screen. To change or cancel your vote, click the link, Click here to change your vote, at any time until the poll is closed. Votes may be changed up until the time I declare voting closed.
For shareholders, proxies, and corporate representatives in person, I'll ask you to vote once we have gone through all items of business today to be completing the blue voting card that was provided to you on admission. While white cards are for visitors only and cannot vote or ask questions, shareholders with pink cards are not entitled to vote on certain items of business. I'll provide a warning before I move to close voting at the end of the meeting. It's my duty as Chairman to ensure that shareholders have the opportunity to ask questions and discuss items of business during the meeting. We ask that all questions and comments be concise, be confined to the particular item being discussed and to the matters relevant to shareholders as a whole, be informative and respectful.
Given this is a hybrid meeting, I'll first take questions from those physically present at the meeting, followed by audio questions from participants who have joined us online, and finally written questions. If you are attending the meeting in person, only shareholders, validly appointed proxies, and corporate representatives who have given a blue or pink voting card upon entry are entitled to ask questions. When I call for questions, please raise your blue or pink card, state your name or organization you represent before asking your question. For those attending the meeting online who wish to submit a written question, you may do so at any time during the meeting via the speech bubble located on your screen. Type your question in the chat box on the right of the screen and then select Send. Confirmation that your message has been received will appear above.
Please note that while you can submit written questions from now on, I'll not address them until the relevant time in the meeting. While time constraints may prevent us from answering all questions, we'll do our best to address all the questions during the meeting. If you're asking a verbal question, please state your full name before asking your question. Please limit your questions to one at a time and then rejoin the queue to allow others to ask questions. Okay, with all that, I'll now like to make a few general comments on FY 22. Fellow shareholders, on behalf of the board, I'd like to acknowledge the hard work and dedication of all Service Stream personnel throughout 2022.
I'm particularly delighted by the way management, led by our managing director, Leigh Mackender, have navigated the complexities of the Lendlease Services acquisition and the challenges of the current economic conditions which Australian businesses are encountering. The welfare of our people and the community we serve remains the board's highest priority. Pleasingly, in 2022, the businesses continued to maintain its history, leading health and safety performance. Turning to our financial performance. Despite the impacts of the many flood events experienced on the Eastern Seaboard and the one-off margin impact associated with our major project in Queensland, the business delivered a solid EBITDA from operations in the financial year 2022. The result was further underpinned by an exceptional cash flow performance, a better-than-expected contribution from the rebased telecommunications division, and contributions from the Lendlease Services business in line with our expectations.
Management continues to successfully manage the lingering impacts of COVID-19, including the challenges associated with the resource-constrained environment we are in and the pressures of rising inflation. Following the acquisition, the business contracted pipeline of ongoing work across its blue-chip client base now exceeds AUD 6 billion. This sets the business up for a future long-term growth, providing certainty and continuity for our workforce and management. The board is delighted with the significant progress made by management in FY 2022 on the integration of Lendlease Services. The successful exit from the transitional services agreement and the delivery of forecasted synergies ahead of schedule were notable highlights. A multi-network essential service provider, I'm particularly excited at the opportunities now open to the consolidated Service Stream as the infrastructure investment continues to grow in the telecommunications, utilities, and transport markets.
Leigh will provide a further update on the status of the integration, along with business' current performance later in the meeting. The board is aware that many of our retail shareholders invest in Service Stream on the expectations that the company will return a portion of its earnings to shareholders via dividends. I'm pleased that we've resumed the payment of dividends for the full year 30 June 2022. The board anticipates the continuation of dividends in FY 2023, subject to business performance. The board is also aware, acutely aware, I should say, of the fall in our share price over the recent period and is disappointed, like many of our shareholders. The board and management remain focused on continuing to deliver on objectives that provide strong and sustainable returns for all of our shareholders.
The board remains of the view that this focus will assist in reestablishing market confidence and delivering a longer-term growth and value to our shareholders. Board renewal. As part of our board renewal process, I'm delighted that Martin Monro agreed to join the board on the third of October of this year as a non-executive director. Martin brings to the board extensive operational, contracting, and commercial expertise gained across large-scale infrastructure projects both in Australia and overseas. His skills will be advantageous to the business as it enters its next growth phase. I, along with the rest of the directors, strongly support Martin's election today. The business has also recently announced that Greg Adcock will retire as a non-executive director at the conclusion of today's AGM.
Greg Adcock joined the board in 2016 and was appointed chair of the Health, Safety, Environment & Sustainability Committee in 2017. I, along with the other directors of the board, would like to thank Greg Adcock for his substantial contribution and service to Service Stream during his tenure as a non-executive director, and we wish him every success in the future. Thanks very much, Greg Adcock. The board renewal strategy will continue throughout FY 2023, and I anticipate to be in a position to make further announcements in the very near future. Remuneration. During the year, the board engaged with Ernst & Young to conduct a review of the Service Stream's incentive framework against the market practices. We consulted with our investor community and obtained feedback on proposed amendments and have since revised our plans.
The board is of the view that the changes are appropriate, encourage, and reward management to take a longer-term view of the business, drive behaviors which will ultimately deliver the long-term sustainable value to shareholders and ensure that the business remains market competitive. However, the proxy voting on the remuneration report that we will present at resolution 1 today will show an against vote for more than 25%, which means we will likely incur our first strike. Naturally, we're very disappointed by this. However, we have heard your concerns. The board will use this feedback from shareholders on our remuneration approach and review what changes, if any, we should make going forward. The board will continue to review the structure of the company's incentive plans to ensure that they remain relevant, market competitive, and most importantly, align with shareholder expectations.
Looking ahead, while the consolidated business offering broader capabilities to new and existing clients in new, current and adjacent markets, the business remains strong in a strong position to continue to grow its operations and diversify its revenue streams in the coming years. As a large shareholder in the business, I'm excited for what the future holds for the consolidated Service Stream. I'd like to thank my fellow board members for their contribution and commitment over the course of the challenging but successful year. Their dedication to the continuing growth and success of the company is considerable and greatly appreciated. Finally, I'd also like to thank Leigh, his executive team, and all of our valued staff and contractors for their hard work and dedication during the year.
I'll now hand over to Leigh Mackender, our Managing Director, to present to you our view of operations over the last 12 months and our outlook in the future. Thank you.
Thank you, Chairman. Good morning, ladies and gentlemen. I too wish to welcome you and thank you for joining us today, at our annual general meeting. Can I also say, genuinely how pleasing it is to be back operating in a face-to-face environment, in these traditional settings, but also facilitating those shareholders joining us, virtually. As per the Chairman's introduction, I'll now run through a brief presentation on the business. Presentation largely will reflect an abridged version of what was released to the market on 23 August, but does also provide a short business update, on our trading performance thus far. Start with a brief overview of Service Stream for those who may be new to the business or not as familiar with the group's operations. Service Stream is an essential network service provider.
Our organization designs, constructs, operates, and maintains the essential infrastructure that millions of Australians depend on each and every day. Service Stream plays an important role in partnering with our valued clients in maintaining their critical infrastructure networks right across the country. In terms of the business operations, the group has three operating divisions represented on the screen here, utilities, telecommunications, and transport. Utilities encompasses gas, electricity, water, industrial customers, as well as new energy services. Telecommunications incorporates both fixed and wireless networks. Transport, whilst largely focused on road infrastructure, has recently expanded into the rail networks as well. We have a large multi-skilled workforce of approximately 9,000, and that's broken up with about 5,000 employees and about 4,000 skilled contractors operating across the business at any one time.
Over the last year, the business has conducted over 40 million property visits in support of our clients. We have Australian-focused operations with 80 offices strategically located across the country. As per the Chairman's comments, one of the highlights of the results I'll talk to you later, work in hand just exceeded AUD 6 billion at 30th of June. Importantly, 80% of that work is secured with government or government-related entities. Business had a number of positive highlights during FY 2022. I don't generally use the word transformational. I think it's overused often in business, but I do think it's appropriate when we consider the significant year that was, specifically when we consider the major transaction that was undertaken. After the business completed detailed due diligence, we progressed to successfully acquire, complete, and then make significant progress on the integration of Lendlease Services.
The transaction is significant. Over the past 12 months, the business's revenue has doubled. It significantly increased our earnings. It's doubled the number of employees operating across the business. Most importantly, the acquisition has substantially expanded our capabilities, our service offerings, and the markets that we're operating across. In terms of broader performance highlights, the business generated AUD 91.1 million in EBITDA from operations. That was up 13% on the prior year. FY 2022, as per the Chairman's comments, was another strong period in terms of cash flow generation, and we had a conversion rate of 108%, well ahead of the group's 80% target. The business secured significant work in hand, I just said, just exceeding AUD 6 billion.
We concluded the year with a robust balance sheet, and we're very pleased to resume the payments of dividends. I think another highlight of the business over the last year was our ability to continue to demonstrate resilience, in effectively managing some of the headwinds the Chairman touched on earlier. They included COVID disruptions, labor availability constraints, as well as labor and operating cost pressures. I'm very, very pleased to say that the business was able to pull on various levers and offset all of those challenges that were thrown at us or many of the challenges that were thrown at us over the last year. During FY22, the group revenue for the year was AUD 1.56 billion. That was up 95% or an increase of AUD 760 million on the prior period.
As I stated, EBITDA from operations, AUD 91.1 million or 13.7% on the prior year. The group's EBITDA for the year was 5.8%. That did reduce from 10% in the prior year, and that reduction was attributable to the expected dilution associated with the Lendlease Services operations being integrated into the company, as we'd foreshadowed during the transaction. The expected reduction, again foreshadowed by management across our legacy telecommunications operations as we came off those prior year peaks with NBN build mark one. Growth in utility works, which have traditionally been at a lower margin. We also had some adverse weather impacts that impacted specifically across our utilities and telecommunications divisions. Net profit after tax for the period was AUD 31.4 million. That was down 19% on the prior year.
As I stated in my opening comments, I think one of the strengths of the business over the years has been those strong cash flow generations reflective of our tier one client base, coupled with the business's ability to ensure that we've got optimal processes to support that timely billing and cash flow generation. Cash flow was AUD 98.7 million for the year. We finished 30 June with net debt of AUD 81.3 million. That reflected a leverage ratio of about 1.5x. As we guided in the transaction, we expect to get that leverage ratio down to about 1x EBITDA over the sort of 18-24-month period. As per my opening comments, the acquisition of Lendlease is certainly one of the major milestones and key areas of focus over the year.
The acquisition is aligned with our strategy of growing and diversifying our group operations across key markets and effectively transforming Service Stream rather into that diverse multi-network service provider. The graphs on the bottom of the page just illustrate that progression over time. You can see here in FY21, we had AUD 800 million of revenue across the group, across two divisions and a small number of contracts. That's significantly expanded in FY22, when we look at pro forma revenue, AUD 1.9 billion, and we start to incorporate those additional contracts from the Lendlease Services Group. Then further improves as we look ahead at work in hand, as I stated, over AUD 6 billion and a much more even split across our three markets.
I think importantly with the Lendlease transaction, that future work that we've incorporated into our business is akin to annuity style. It's maintaining operating, essential infrastructure or undertaking minor capital works on behalf of our valued clients. The transaction has assisted in reducing our dependency on any single market or customer. We continue to hold, I think, an enviable client base, as I stated earlier, with 80% of our work secured with government or government related entities and the remaining 20% held with major industrial asset owners and operators across the country. I stated earlier another strength of the group was that work in hand. Not only has that increased to over AUD 6 billion this year, but that work in hand, importantly, that we reference here reflects only the initial term of what are often multi-year contractual agreements.
That equates to about 3.2x our FY22 pro forma earnings. We're really pleased to see that this year we secured AUD 1.5 billion of works across the full year. Again, those majority of works were secured around operations and maintenance of essential infrastructure or minor capital works, which are short, smaller projects. The graphs at the bottom of the page, as I said, just depict both our work in hand by segment and type. Given the current economic climate, we provide additional detail in our full year presentation with regards to the contractual agreements and the business' ability to attempt to manage those inflationary pressures in terms of labor and operating costs that we talked about earlier.
A few points to note, 87% of our revenue is subject to an adjustment mechanism, that is either a fixed price CPI, WPI mechanism that is incorporated into those agreements, or for minor capital works, they're priced on application. Those are shorter projects, 3-6 months duration, typically, where we can take into account rising labor or operating costs into the work that we're bidding. We have limited exposure to fixed price lump sum D&C or design and construction works that is over a 12-month duration. As per my prior slide, the majority of that work is a lower risk schedule of rates type arrangement. We provided detail here around the insight across each of our strategic business units. You see 85% of the work in hand across our telecommunications area is subject to an annual review.
That's not a prescribed mechanism of CPI, WPI, but more so a process where we collectively engage with our client. We review our overheads and rates and seek agreement on those rates moving forward. It's far more prescriptive in our utility area, where 95% of our work in hand is subject to an automatic adjustment, CPI or WPI. In transport, about 70% of our work in hand is subject to either a quarterly or an annual review. It's important to note there's no silver bullet in terms of the timing, the application of these mechanisms as to when the business may see increased costs. Many of these reviews take place on the anniversary of contracts and the business therefore and importantly needs to pull on other levers to try and manage those inflationary or cost pressures as they present.
Moving to safety, as per the chairman's comments, the health and safety of our workforce, our clients, and the community that we operate across is genuinely our highest priority. With more than 9,000 resources operating in the field at any time, we really place great emphasis in striving to drive continual improvement across our operations and particularly focused on those higher risk work activities and tasks that are undertaken by the business. During FY22, the inclusion of Lendlease services was a factor in some of these leading indicators that are presented on the graph here, shifting backwards. We identified that during due diligence, we understood and expected that to be the case. I think it's important to say that that's not a reflection that the business is operating in a less safe manner or it doesn't take safety seriously.
It's more attributable to the differing nature of the operations that we've incorporated as part of Lendlease, such as operating in live transport settings, maintenance of poles and wires, which have different risk profiles to our traditional business. I and many other executives have been really pleased with the positive aspects, in terms of health and safety that the acquisition has brought in. Specialist industry experience, strong and proactive HSE culture, and leading HSE management systems, one of which that was incorporated across the entire Service Stream business just recently, came from the Lendlease Services acquisition. Business continues to deliver strong safety performance, and we are very, very pleased to see an industry-leading lost time injury frequency rate still maintained below one.
Our focus for the year, as per my opening comments, is certainly on those higher risk work activities and looking to implement improved controls and driving continual improvement. As we look at continual improvement, I think a great example of that is the innovation with Service Stream's safety tower net system. Working at heights is one of those higher risk work activities, and the system which was designed and developed in-house by employees enables an inflatable safety net to be installed on telecommunications monopole tower. The device provides yet another layer of protection, reducing the risk that any item should fall from the tower while we're undertaking our works. I congratulate our telecommunications and our HSE teams on their innovation in developing and bringing that device to market and deploying it across our contract operations.
During the year, the business made measured yet meaningful progress in terms of improved sustainability outcomes across our operations. We have a sustainability strategy which targets five key pathways, as indicated here. They include health and safety, environment, people, governance, and community. It's important to note that these pathways directly relate to the specific nature of our operations. We don't take a cookie-cutter approach in terms of our sustainability strategy. These also reflect alignment with the materiality assessment that we conducted in 2021 across all of Service Stream stakeholders, including some shareholders. I note that the group sustainability report was released on 1 September and would encourage any of our shareholders to visit our website if they'd like to obtain and download a copy.
Some of the highlights that I'll touch on as referenced here, throughout the year is we continue to deliver that continual improvement across health and safety. One aspect of that is the launch of our new Enablon HSE management system that I referenced earlier. This year, the group aligned our sustainability reporting to the UN Sustainable Development Goals framework, which is referenced throughout the report. We adopted a Science-Based Targets framework across our Scope 1 and Scope 2 emissions, and we're targeting a 50%-60% reduction by 2035. I'm really proud of the continuing support that the business provides to Aboriginal and Torres Strait Islander peoples, and our business is shortly to release our first Reconciliation Action Plan at an Innovate level, which will be out over the next month.
Of course, given the importance that our people play in our business as our greatest asset, a significant body of work was also undertaken to look at enhancing our employee value proposition. They included a review of non-financial and financial benefits, looking at increased training and development, expansion of our graduate program, improved communications, and enhancing our support networks across the business, just to name a few. I'll now briefly work through each of our three strategic business units, just touching on some of the results and highlights, again, as referenced in our full year presentation. Utilities division generated revenue of AUD 697 million, representing an increase of AUD 284 million on the prior year or 68%. EBITDA from operations was AUD 19.5 million, a decrease of AUD 9.5 million on the prior year.
Unfortunately, as we outlined at the full year results, this division did experience some challenges which negatively impacted on our EBITDA. They were associated with two aspects across our legacy operations that we've discussed at the full year results, but I'll summarize as well here today. The first one is a project in Queensland, where we're responsible for the design and construction of a 27-kilometer pipeline and the construction of a water transfer or pumping station. Unfortunately, in that project, our design partner has experienced some challenges which support the timely completion and approval of the design and gaining client approval. We're further hampered by prolonged wet weather events that have been apparent across the latter part of last financial year in the East Coast and latent conditions. As a result, the Group at 30 June recognized an AUD 5 million owner's contract provision.
We wrote back a small profit that had been recognized throughout the project to date, and I'll provide an update as we move through the presentation on the status of that. The second area that impacted our utility operations was associated with some of our legacy metering operations. We had discussed over and during the COVID outbreak that one of the areas that we were seeing impact was a reduction in the reconnection and disconnection of electricity and gas services. That had started to come back. We had started to see a slight rebound, but it had not recovered back to those pre-COVID levels. I think that's understandable. No one was going to be disconnecting customers during COVID.
After COVID, we've certainly seen, I think, a hesitancy from some retailers to move forward with disconnections given significant price increases have been passed through. The impact of that was we reviewed our energy and water segment, and that I just discussed, coupled with a review of our weighted average cost of capital, meant that the business took a AUD 38.2 million non-cash impairment of goodwill. Those two aspects, as I said, did hamper our utility results. I think there was a number of really positive aspects to our utility operations. We've referenced one here with South East Water, where during the year, our business was successful in securing up to a 10-year term, two 5-year options with South East Water.
We're providing support around their water, their sewer infrastructure, and their mechanical network, and that contract has successfully gone live on 1 October. Our telecommunications division had another very positive year, generating revenue of AUD 640 million, AUD 61.5 million of EBITDA, and an EBITDA margin of 9.6%. I think it's important to note that while that margin was down on the prior year, and you can see that as evidenced in the graph there, management had advised that that was to be expected. The reduction in scale of our legacy telecommunications operations was one aspect that hampered that margin or impacted that margin. We also saw a lower margin work associated with Lendlease, and that dilutive impact flowed through to the division. Really pleased with the progress the division made in terms of integrating our combined operations.
This was the first area that we focused on in terms of our integration plan and consolidating our, effectively, the Lendlease and Service Stream operations, once we completed the transaction on November. Really pleased to have that expanded depth and experience across the business, and I really think our telecommunications division is now uniquely placed. We hold fixed and wireless operations and maintenance agreements with all major telecommunications clients across the country. One of the major areas of focus over the year has been supporting and mobilizing the NBN upgrade program. That's associated with deploying fiber across the legacy copper networks. That program is approaching its expected peak.
Pleasingly, we note there's an opportunity, as outlined by the incoming federal Labor or the current federal Labor government, for that to be expanded to an additional 1.5 million homes, which will also be upgraded with fiber in the years to come. Finally, touching on our transport division. Transport operations, understandably, were part of the acquisition of Lendlease Services and represents a new, reporting segment for the market. Over FY 2022, we delivered AUD 220 million of revenue, AUD 9.9 million of EBITDA, and resulting in EBITDA margin of 4.5% for the eight months of which we contributed earnings to the group. Operations were unfortunately impacted by prolonged wet weather events, which caused some disruption to road maintenance activities across both WA and some of the East Coast.
Understandably, it's very difficult to resheet roads, fix potholes, if you don't have those weather windows where we have dry weather and are able to undertake those operations. Over the course of the year, the business has made solid progress on improving or exiting some of those lower margin operations that were inherited with the business. We note the decision by Main Roads WA, one of our key clients, to start to in-source some aspects of their maintenance programs over the course of the next year. That will reduce our revenue as we move forward, but it will support an improved margin across the division. It was effectively a break even or slight loss in terms of those operations. I think pleasingly, as announced in March, our business' Regenerate Rail consortium was appointed as a preferred supplier for the Gowrie...
Sorry, the Gowrie to Kagaru section of Inland Rail. I knew I'd get that wrong. Importantly, our role in that process as a preferred supplier is to provide specialist operations and maintenance services as part of a 25-year maintenance period. We don't and are not involved in the construction of that. We have no liability associated with the construction of that tunnel. We do expect to be able to provide a further update in terms of the nature of that opportunity and the status of our contracts over the coming months. Just touching now on the integration program, as the chairman referenced at the outset, it's been a major focus for FY 2022 and continues to be a focus in the current year as we look to finalize that program.
I previously said, I think a lot has been achieved, and we've been really pleased and excited with the progress made against our initial timeline of 18-24 months. Some of the highlights over the year certainly was the exit of a transitional services agreement. That agreement was an agreement between Service Stream and Lendlease Group to provide back of house services and support for processing such as payroll, AP, AR, accounts payable, IT services, et cetera. The exiting of that agreement on 30th of June effectively enabled all of the systems to be moved into Service Stream's environment and our business can now work to drive further efficiency. We can look to consolidate those systems into the future, and that's certainly what we are doing as evidenced by my comments on the HSE system earlier.
Really pleased that at the start of the integration program, our business quickly moved to consolidate our telecommunication operations, and we completed all the organizational restructures across our corporate support areas, HR, finance, payroll, safety, IT, et cetera. Moving forward, if we look to this year, our focus is on the remaining restructure of our utility division. That's well underway and looks to be concluded by the end of this calendar year. The integration of those key systems I talked about will be a major focus, and we'll also look to continue to drive cost savings across our group procurement items, as well as consolidate some of our property footprint that's been inherited from the business. The integration remains on track.
We're very pleased to see that we're not only on track in terms of delivering to our synergy number that we outlined, we're actually ahead of target at 30th of June and very confident we will deliver the synergies that we outlined when we announced the transaction. Looking forward now, I wanted to provide some insight into the promising areas that I think the business will be looking to grow into the future. As I mentioned earlier, the acquisition of Lendlease has significantly enhanced not only our capabilities and our service offerings, but some of the markets that we're operating across. They include, but are not limited to, the management of poles and wires across the electricity network, enhanced capabilities to manage water infrastructure, and also shut down and maintenance support for industrial customers as well as our transport operations.
As you can see here, the size of our addressable market, and that's just considering the maintenance-related revenues, has increased over AUD 25 billion and will increase to almost AUD 27-28 billion over the coming years. It's forecasted to grow at a rate of about 5%-6%, and we are continuing to see a trend in outsourcing of these services to professional companies like ourselves. I think generally, our growth will be driven through three areas. The adoption of technology and that digital transition, aging infrastructure and population growth, as well as the renewable energy transition. I've outlined a few of those specific programs here, some of which, such as those with NBN, are already underway, and some will continue into the future.
Certainly if I think that the business is in a really positive position given those enhanced capabilities and the markets that we operate across now. Finally, we move to a trading update and group outlook. Very pleased to report the group trading performance over Q1 has been in line with management's expectations. We've seen strong performance across the integrated telecommunication operations over this period, as I mentioned. The position taken at the full year with respect to that Queensland pipeline project I discussed remains appropriate. We do expect a second half bias in terms of our revenue and earnings in line with our historical client work programs and the business cycle. As we released at the full year, the group expects continued revenue and profit growth during FY 2023 on the back of the contribution from Lendlease Services.
Understandably, we need to manage and successfully navigate through any extreme weather events, continuing labor and resource challenges, and those inflationary pressures. As I stated, I think the business last year had performed very well and will continue to strive to do so in the year ahead. That concludes my presentation and the update. I'd like to again thank you. I'd also like to extend my thanks to our chairman and the board of directors for your support and leadership over the year, to the executive team, and also thank our staff working right across the country for their valued contribution. Appreciate it.
Thanks, Leigh. Before I move forward, it was remiss of me to overlook in our introductions the most important person on the table, which today wouldn't happen without him, is our Company Secretary, Chris Chapman. Apologies, Chris, for leaving you out there. I'll now move on to the formal business of the meeting. The notice of meeting was distributed to all shareholders on the 15th of September 2022, and copies are available on our website. I'll take the notice of meeting as read. The minutes from the previous annual general meeting held on the 20th of October 2021 were approved by the board and signed by me. Should any member wish to inspect those minutes, a copy is available at the registered office for that purpose.
Now to the advertised business outlined in the notice of meeting. There are five items of general business as stated in the notice of meeting. On the proxy form, I, as chairman, will be voting all undirected proxies in favor of each item of business. There are voting restrictions for some resolutions, as outlined in the notice of meeting, which will apply to those who have an interest in the resolutions or their related parties or associates. Section 317 of the Corporations Act requires directors of a public company to lay before the annual general meeting a financial report, a directors' report, and an auditors' report for the year ending 30 June 2022. The members of the company have received these documents. Please note that a vote on this resolution is advisory only and does not bind directors or the company.
I'll now move on to the items of business. The proxy position on all resolutions will be shown on the screen once I have put the resolution to shareholders. Item 1 on the agenda is the adoption of the company's remuneration report. The resolution is now being displayed on the screen. We'll now display the proxy position on the screen. As stated, as I mentioned earlier, we're very disappointed to receive our first strike. We understand. We've spoken to many investors and shareholders, and we'll certainly take that on board, in the coming year when setting those metrics. Moving on to the next item on the agenda. Item 2 on the agenda is the election of Martin Monro. The resolution being put to the meeting is now displayed on the screen.
I and all other directors recommend the election of Martin. Before we move to the proxy position, I might invite Martin to just say a few words in support of his nomination and election. Martin?
Thank you, Chair, and good morning, everyone. I was aware of Service Stream from afar for a while. Had been very impressed. I suppose the onboarding and induction process that I've been through over the last couple of months has really only served to enhance that impression. It's with great pleasure that I'm presenting for election today. As you heard from the chair, I've had 30 years of experience in the construction space, so I do understand D&C and construction risk. I'm looking forward to bringing that experience in a way that is helpful to the company and complementary to the skills that are already here on the board. I'm looking forward to getting into it. Thank you for your support.
Thanks, Martin. Now we'll just put the proxy position up there. Moving on to the next item of business. Item 3 on the agenda is the increase in the maximum annual remuneration pool for non-executive directors. The resolution is being put up on the screen now. We'll display the proxy position on the screen now. Then we'll move on to item 4 on the agenda is the acquisition of securities by Leigh Mackender under the FY 2023 tranche of the company's short-term incentive plan. The resolution is up on the screen now. We will move to the proxy position for item 4. Thank you. Now on to the last item of business. Item 5 on the agenda is the acquisition of securities by Leigh Mackender under the FY 2023 tranche of the company's long-term incentive plan. The resolution now is up on the screen.
The proxy position. Thank you. Now we'll put up all proxy positions. Which, as I mentioned earlier, resolution one did not pass, but resolutions two, three, four, and five have passed. Congratulations, Martin.
Thank you.
Now I'll open the floor to questions, and we might start with inviting any questions in the room. Do we have any questions? No? All right. Then we might move then to any phone or audio questions. Do we have any there?
Thank you, chair. We have one on the line from Jeff Rogers. I'll just read that out to you, I think probably more for the managing director. The entry into rail is pleasing to note, though it was a surprise. Is the escalation of rates to CPI adequate when wages are probably going to rise faster than CPI due to skill shortages, low unemployment, and multi-company wage bargaining, as is most likely to pass through the Senate before the end of 2022? That's the first question. Then the second component to that is, how far away on average is the opportunity to reset the rates to above CPI by renewing or not renewing the contracts as they expire?
Thanks. Leigh, go ahead.
I appreciate the question. It's certainly one of the topics that Linda, our CFO, and myself have had at many investor meetings, and is very topical. CPI or WPI, with WPI being a Wage Price Index, are some of the mechanisms that exist in our contracts. As I stated earlier, there's no silver bullet. In some instances, that CPI or WPI increase will be sufficient to cover some of the wage increases, may be sufficient to cover some of the increase in operational costs, but in other instances it may not be. There is no specific timing or an alignment of time between when you see those increases across your labor or operating costs and when that mechanism may come into place.
As the business has in the last year, we need to look at pulling on other levers where we do see increases of labor or other operating costs outside of what is recoverable by our contract mechanisms. In terms of the opportunity to reset, as I said before, about 87% of our contracts have a review mechanism. The majority of those are annually. We do have some instances where rates are fixed for the first two or three years of an agreement. The majority, as I said, 87% of those have an annual review, or we are pricing minor capital works on application. Therefore, we're taking into account those increased operating costs and labor costs as they may be applicable.
Thanks, Leigh. We have a question from Bruce Dixon. Could Leigh make a comment on the current competitive position across the sectors Service Stream is operating? To what extent does ongoing growth at companies such as Ventia impact Service Stream's competitive advantage?
I would certainly describe the environment as still very competitive. We haven't seen any changes in behavior with our two major competitors. Downer and Ventia are much larger than us, but they are our two major competitors, if we think about nationally focused or operating infrastructure services companies. I think that in terms of the question about how does their growth impact us, I think there's a number of opportunities at the moment. We see significant opportunities across each of our markets to grow. I haven't seen any negative impacts associated with one particular competitor's activities that have curtailed our ability to grow in each of our markets.
Just to refresh. No, there's no other questions at the moment, chair.
Well, if there's no other questions, ladies and gentlemen, now that concludes our discussion on all the items of business. In a couple of minutes, we'll close the online voting system. Please ensure that you have cast your votes on all of the resolutions today. I'll now pause to allow you time to finalize those votes. Poll collection boxes will be passed around in the room here.
Hold the votes up.
Yeah. Please hold your votes up if you've got them there. Thank you. Thank you, everyone. I will now move and close voting. The voting results from the meeting will be released on the ASX later today. That concludes our meeting. Thank you for taking the time out to join the directors and myself today. Your ongoing support is appreciated. We certainly invite you, should you have time, to stay on, and have a cup of tea or coffee with our executive team or any of the members on the board. Thanks again for coming.