Australian Agricultural Company (AAC) H2 2025 earnings summary

Executive summary

• Celebrated 200th year of operation, reflecting on heritage and future direction, and launched a refreshed purpose, vision, and values.

• Achieved operating profit of $58.4m, up from $51.1m year-over-year, driven by higher sales volumes and disciplined cost management.

• Total revenue reached $387.9m, a $51.8m increase, with growth in both meat and cattle sales.

• Operating cash flow rose to $27.1m, the highest in eight years, supported by strong sales and cost control.

• Statutory net loss after tax narrowed to $1.1m from $94.6m, mainly due to improved herd valuation.

Financial highlights

• Operating profit rose 14% to $58.4m, marking the third consecutive year above $50m.

• Statutory EBITDA improved to $56.3m from negative $87.9m year-over-year.

• Net tangible assets per share increased 2% to $2.55.

• Cost of production per kg increased 5% year-over-year due to inflation and higher finishing costs.

• Free cash flow improved by $23.2m year-over-year.

Outlook and guidance

• Global beef supply expected to contract, especially in Korea, Europe, and the US, potentially increasing demand for Australian beef.

• Company remains focused on agility, leveraging its integrated supply chain and global distribution to capitalize on market shifts.

• Ongoing investments in supply chain infrastructure, sustainability, and Zero Net Emissions Ag CRC projects to boost productivity and resilience.

• Proactive asset and resource management positions the company to address global uncertainty and market volatility.

• Strategy refresh underway, focusing on Better Beef, Partner and Invest, and Unlock the Value of the Land.