A2 Milk FY26 Profit Down, Adj. EBITDA Rises; Sees Weak Margin In H1, Growth In FY27; Stock Drops

(RTTNews) - a2 Milk Company Ltd. (ACOPF, A2M.AX) reported Monday lower net profit in fiscal 2026, while underlying EBITDA increased from last year with revenue growth. Looking ahead, the New Zealand-based dairy company projects weak EBITDA margin in first half of fiscal 2027, but higher results in the full year. The Board also declared higher annual dividend, and a special dividend. In New Zealand, a2 Milk shares were losing around 4.62 percent, trading at NZ$7.85. Fiscal 2026 net profit after tax was NZ$207.5 million, down 5.8 percent from NZ$220.3 million in the prior year. Basic earnings per share declined 6 percent to 28.6 cents from 30.4 cents last year. Underlying net profit after tax increased 7.0 percent to NZ$235.8 million from NZ$220.3 million a year ago, and underlying basic earnings per share rose 6.8 percent to 32.5 cents from 30.4 cents last year. EBITDA totaled NZ$284.4 million, down 2.5 percent from NZ$291.7 million last year. EBITDA margin of 14.4 percent was in line with previous guidance. Excluding a2 Pokeno operating losses and transformation costs, underlying EBITDA increased 5.4 percent to NZ$307.6 million from prior year's NZ$291.7 million. Underlying EBITDA margin was 15.6 percent. Group revenue increased 12.4 percent to NZ$1.975 billion from NZ$1.757 billion a year ago. The China & Other Asia segment revenue grew 11.2 percent, ANZ segment revenue rose 10.2 percent, and USA segment revenue climbed 28.6 percent. Further, the Board declared a final ordinary dividend of 9.5 cents per share, to be paid on October 2, resulting in total ordinary dividends for the year of 21.0 cents per share, higher than last year's 20.0 cents per share. The Board also declared a special dividend totaling NZ$300 million in June 2026, equating to 41.36 cents per share. Looking ahead for fiscal 2027, a2 Milk projects mid-single-digit percentage revenue growth and an increased EBITDA margin of approximately 15 percent, supported by increased contribution from product innovation and new markets, continued momentum in Other Nutritionals and Liquid Milk, and a2 Pokeno profitability improvement. Group revenue and EBITDA are anticipated to be materially weighted to the second half of fiscal 2027. First-half revenue is expected to be broadly in line with the previous year, while first-half EBITDA margin is expected to be materially down from last year. For more earnings news, earnings calendar, and earnings for stocks, visit rttnews.com .

(RTTNews) - a2 Milk Company Ltd. (ACOPF, A2M.AX) reported Monday lower net profit in fiscal 2026, while underlying EBITDA increased from last year with revenue growth.

Looking ahead, the New Zealand-based dairy company projects weak EBITDA margin in first half of fiscal 2027, but higher results in the full year. The Board also declared higher annual dividend, and a special dividend.

In New Zealand, a2 Milk shares were losing around 4.62 percent, trading at NZ$7.85.

Fiscal 2026 net profit after tax was NZ$207.5 million, down 5.8 percent from NZ$220.3 million in the prior year. Basic earnings per share declined 6 percent to 28.6 cents from 30.4 cents last year.

Underlying net profit after tax increased 7.0 percent to NZ$235.8 million from NZ$220.3 million a year ago, and underlying basic earnings per share rose 6.8 percent to 32.5 cents from 30.4 cents last year.

EBITDA totaled NZ$284.4 million, down 2.5 percent from NZ$291.7 million last year. EBITDA margin of 14.4 percent was in line with previous guidance.

Excluding a2 Pokeno operating losses and transformation costs, underlying EBITDA increased 5.4 percent to NZ$307.6 million from prior year's NZ$291.7 million. Underlying EBITDA margin was 15.6 percent.