Nufarm (NUF) H2 2025 earnings summary

Executive summary

• Delivered on key profitability and leverage targets, with FY25 revenue up 3% to $3.4b and strong Crop Protection performance; Seed Technologies strategy reprioritized.

• Statutory net loss of AUD 165 million, mainly due to AUD 142 million in non-cash material items from Seed Technologies review and performance improvement program.

• Net debt reduced by AUD 538 million in the second half, ending at AUD 824 million with leverage at 2.7x.

• Underlying EBITDA was AUD 302 million, down 3% year-on-year, but up 10% excluding Emerging platforms.

• CEO transition announced, with Rico Christensen appointed as CEO and Managing Director.

Financial highlights

• Revenue grew 3% year-on-year to $3,443m; gross profit increased 7% to $900m, with margin up 1 percentage point to 26.1%.

• Underlying EBITDA was AUD 302 million; excluding Emerging platforms, underlying EBITDA rose 10% to $355m.

• Net financing costs down 6% to AUD 101 million.

• Free cash flow was negative AUD 131 million, mainly due to Omega 3 inventory and outflows on interest, tax, and CapEx.

• Net debt at year-end was AUD 824 million; leverage ratio 2.7x; gross debt (ex-leases) AUD 1.154 billion.

Outlook and guidance

• Expecting strong EBITDA growth in FY2026, assuming normal seasonal and market conditions.

• Targeting leverage of 2.0x by end of FY2026, down from 2.7x.

• CapEx to be below AUD 200 million in FY2026, with first half CapEx significantly reduced.

• Guidance: depreciation/amortization ~AUD 225 million, net interest expense ~AUD 105 million, effective tax rate ~30%.

• Positive free cash flow expected, supported by improved working capital and lower Omega 3 cash requirements.