LGI (LGI) H2 2026 earnings summary

Executive summary

• Achieved record operational and financial results in FY26, with net revenue up 17% to $39.8 million, strong growth in biogas recovery, ACCU creation, and renewable electricity generation, and significant EBITDA and NPAT increases.

• Expanded portfolio to 37 operating sites, including eight new carbon abatement projects and three new contracted sites, supporting future growth.

• Recognized for operational excellence with an industry award and maintained high generator availability at 97%.

• Major projects like Canberra and Belrose batteries are advancing, supporting future capacity growth beyond 80MW.

• Completed $56.3 million capital raising to fund project pipeline expansion and support capex.

Financial highlights

• Net revenue increased 17% to $39.8 million, driven by higher volumes across electricity, LGCs, and ACCUs, which together contributed 61% of net revenue.

• EBITDA rose 26% to $21.8 million, with margin improving to 55% (up 355 basis points) due to disciplined cost control.

• NPAT increased by 35% to $8.8 million, and EPS rose 22% to 8.9 cents.

• Fully franked total dividend of 2.6 cps, up 4% from FY25.

• Operating cash flow declined due to increased ACCU inventory and project investments.

Outlook and guidance

• Targeting 10% CAGR in ACCU volume over the next three years, supported by new and upgraded sites.

• Strategic focus on building out a flexible asset portfolio exceeding 80MW, with a mix of landfill gas generation and batteries.

• Expect continued premium pricing for electricity and LGCs through active hedging and battery deployment.