LGI (LGI) H1 2026 earnings summary

Executive summary

• Statutory EBITDA rose 33.1% year-over-year to $9.66M for H1 FY26, with NPAT up 28.4% to $3.08M and strong operational performance across all divisions.

• Revenue from ordinary activities increased 20.2% to $20.32M, supported by higher biogas flows and renewable electricity generation.

• Successfully completed capital raising of ~$56M, using proceeds to pay down debt and fund expansion beyond 80MW capacity.

• Interim fully franked dividend increased to 1.25 cents per share, payable March 2026.

• Expanded contracted site portfolio to 36, with two new landfill gas rights contracts and three new gas collection systems.

Financial highlights

• Net revenue increased 21% year-over-year to $18.83M, with gross profit up 26.2% to $15.5M and gross margin expanding to 76%.

• EBITDA margin improved to 51.3% (up from 47%), and EBIT margin to 28.1%.

• Operating cash flow and cash conversion declined due to timing of ACCU contract settlements and higher tax payments.

• Net tangible asset backing per share rose 77.1% to $0.995.

• Diluted EPS up 22% to 3.3 cents.

Outlook and guidance

• Reaffirmed FY26 EBITDA guidance, expecting a 25%-30% increase over FY25, with stronger performance anticipated in the second half.

• Strategic pipeline targets expansion from 21MW to over 80MW, with key projects in Canberra, Belrose, and Nowra progressing on schedule.

• Continued investment in gas capture infrastructure and expansion of renewable generation and carbon abatement capacity.