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Cobram Estate Olives (CBO) investor relations material
Cobram Estate Olives H1 2026 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Underlying EBITDA for the half was AUD 9.5 million, slightly above guidance but down from AUD 14.5 million year-over-year, with net loss after tax widening to AUD 11.9 million due to higher costs and transaction expenses.
Group packaged goods sales were nearly flat at just under AUD 110 million, with flagship brand sales up 7% and growth in both Australia and the USA despite aggressive competitor discounting.
Major capital raise of AUD 177.8 million completed, strengthening the balance sheet and reducing the net debt ratio to 21.7%.
Pending acquisition of California Olive Ranch for US$173.5 million, expected to double U.S. footprint and be EPS accretive from FY 2027, subject to regulatory approval.
Total group sales declined 6.9% to $116.13 million, mainly due to timing and pricing of non-EVOO bulk sales, with most of these sales expected in the second half.
Financial highlights
Australian olive oil business EBITDA was AUD 8.8 million, slightly down year-over-year, with higher net selling prices offset by increased production costs.
USA EBITDA was $0.7 million, down from $2.6 million, due to higher marketing and overhead costs.
Cash flow from operations was AUD 9.9 million, down from AUD 43.6 million, mainly due to higher water and third-party oil purchases and timing of bulk sales.
Net tangible assets per security rose to $1.05 from $0.74 year-over-year.
Available cash and undrawn debt facilities totaled $115.4 million at period end, with total liquidity of $267.6 million including new debt facilities.
Outlook and guidance
Second half expected to be materially stronger, especially in the USA, with higher oil supply and anticipated growth in packaged goods sales.
Australian crop is in an off year but expected to be only moderately lower than last year; FY 2026 EBITDA will be lower than FY 2025.
Packaged goods sales in Australia expected to be broadly in line with last year, with growth in the Cobram Estate brand.
COR acquisition completion expected post antitrust approval, likely after February 2026.
Material fair value gain from the FY26 Australian crop expected in the full-year results.
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