Cobram Estate Olives (CBO) H2 2025 earnings summary

Executive summary

• Achieved record profit and EBITDA of AUD 116.6 million (up 75% year-over-year) and net profit after tax of AUD 49.6 million (up 167%), driven by strong demand and double-digit sales growth in both Australia and the U.S.A.

• Transitioned from growth CapEx in Australia to sustaining CapEx, with future growth investment focused on the U.S.A.

• Significant expansion in U.S. operations, including acquisition of nearly 1,600 hectares of land and mill upgrades, positioning for future supply growth.

Financial highlights

• EBITDA reached AUD 116.6 million, up 75% year-over-year; profit after tax was AUD 49.6 million, up 167%.

• Group sales totaled AUD 234.4 million, with Australian branded sales up 16.6% to AUD 141.4 million and U.S. branded sales more than doubling to AUD 42.3 million.

• Record operating cash flow of AUD 83 million, up 29.6% from the prior year; after interest and tax, operating cash flow was AUD 58.1 million.

• Net debt ratio increased to 32.7% (from 31.5%).

• Dividend of AUD 0.045 per share, fully franked, to be paid in late November 2025.

Outlook and guidance

• Strong demand expected to continue in both Australia and the U.S.A., with ongoing U.S. expansion supported by Australian cash flows and debt facilities.

• FY26 EBITDA expected to be lower than FY25 due to the biennial bearing cycle, but crop yield only moderately lower.

• U.S. oil production from own groves expected to increase, but total supply growth constrained in the short term.

• CapEx in Australia to shift to sustaining mode (AUD 10–15 million p.a.), with U.S. CapEx focused on new groves and processing capacity.