Cobram Estate Olives (CBO) H2 2025 earnings summary

Executive summary

• Achieved record EBITDA of AUD 116.6 million (up 75% year-over-year) and net profit after tax of AUD 49.6 million (up 167%), driven by strong demand and double-digit sales growth in Australia and the U.S.A.

• Transitioned from growth CapEx in Australia to sustaining CapEx, with future growth investment focused on the U.S.A.

• Significant expansion in U.S. operations, including acquisition of nearly 1,600 hectares of land and mill upgrades, positioning for future supply growth.

Financial highlights

• Group sales revenue reached AUD 237.4 million, with Australian branded sales up 16.6% to AUD 141.4 million and U.S. branded sales more than doubling to AUD 42.3 million.

• Record operating cash flow of AUD 83 million, up 29.6% year-over-year; after interest and tax, operating cash flow was AUD 58.1 million.

• Dividend of AUD 0.045 per share, fully franked, to be paid in late November 2025.

• Net debt ratio increased to 32.7% (from 31.5%); adjusted asset value net debt ratio at 27.1%.

• Net assets rose to AUD 365 million (from AUD 321 million).

Outlook and guidance

• FY26 EBITDA expected to be lower than FY25 due to biennial bearing cycle, but crop yield only moderately lower; maturing groves to support future growth.

• U.S. oil production from own groves expected to increase, but total supply growth constrained in the short term.

• CapEx in Australia to shift to sustaining mode (AUD 10–15 million p.a.), with U.S. CapEx focused on new groves and processing capacity.

• Board anticipates a fully franked dividend of 4.5 cents per share in late November 2025.