LGI (LGI) H1 2026 earnings summary

Executive summary

• Statutory and underlying EBITDA rose 33% year-over-year to $9.7 million, with NPAT up 28% to $3.1 million for 1H FY26, reflecting strong operational and financial performance across all divisions.

• Revenue from ordinary activities increased 20.2% to $20.32 million, with net profit after tax up 28.4% to $3.08 million.

• Interim fully franked dividend increased to 1.25 cents per share, payable March 2026.

• Successfully completed a capital raise of over $56 million, enabling debt repayment, strengthening the balance sheet, and funding expansion beyond 80MW capacity.

• Expanded contracted site portfolio to 36, with two new landfill gas rights contracts and three new gas collection systems completed.

Financial highlights

• Net revenue increased 21% year-over-year to $18.8 million, driven by higher volumes in electricity, LGCs, and ACCUs.

• EBITDA margin improved to 51% (up from 47%), and EBIT margin rose to 28%.

• Gross margin expanded to 76%, with gross profit up 26% to $15.5 million.

• Operating cash flow was $4.8 million, down 23% due to ACCU cash conversion delays and higher tax payments.

• Diluted EPS increased to 3.3 cents; net tangible asset backing per share rose 77% to $0.995.

Outlook and guidance

• FY26 EBITDA is expected to grow 25–30% over FY25, reaffirming previous guidance and anticipating a seasonally stronger second half.

• Guidance incorporates conservative assumptions for new battery contributions and market volatility.

• Continued investment in gas capture infrastructure and expansion of renewable generation and carbon abatement capacity.