Lindsay Australia (LAU) H2 2025 earnings summary

Executive summary

• Revenue increased 5.6% year-over-year to $849.8 million, with underlying EBITDA reported as $81.4 million (down 11.7%) and $124.3 million (up 16.3%) in different sources, reflecting cost pressures and competitive pricing.

• Strategic acquisitions (SRT, GJ Freight, Hunter & NER) expanded national coverage, diversified earnings, and enhanced supply resilience.

• Integration of SRT delivered $14.6 million EBIT and $19.9 million EBITDA, with synergies targeted for FY26.

• Continued investment in infrastructure, including Adelaide expansion and upcoming Perth facility, to support growth and operational efficiency.

• Focused on integrating acquisitions, driving efficiency, and leveraging an integrated operating model for future growth.

Financial highlights

• Revenue increased 5.6% year-over-year to $849.8 million.

• Underlying EBITDA reported as $81.4 million (down 11.7%) and $124.3 million (up 16.3%) in different sources.

• Underlying NPAT fell 26.6% to $22.3 million; underlying EPS declined 27.3% to 7.1 cps.

• Declared a fully franked final dividend of $0.015, totaling $0.038 for the year, with payout ratio at 54.1%.

• Net leverage ratio at 1.53x, within target range.

Outlook and guidance

• Near-term conditions expected to remain challenging with elevated costs, flat demand, and intense competition.

• Long-term fundamentals remain strong, driven by population growth and demand for fresh produce and protein.

• Integration of SRT Logistics expected to deliver 15% EPS accretion on FY 2025 pro forma pre-synergies basis.

• $1 million in synergies from SRT expected in FY 2026.

• Focus on integration, synergy realization, and transformation to strengthen margins and customer outcomes.