Ridley (RIC) H1 2025 earnings summary

Executive summary

• EBITDA for H1 FY2025 was AUD 50.6 million, up 9.3% year-on-year, with strong OMP contribution and disciplined capital management.

• Statutory net profit rose 3.5% to AUD 22.2 million, despite higher amortization, depreciation, and financing costs from acquisitions.

• Total Shareholder Return reached 29%, and interim dividend rose to AUD 0.0475 per share, fully franked.

• Business reset underway, targeting AUD 5 million annualized cost savings from FY2026, with AUD 3.5 million in one-off restructuring costs in FY2025.

• Revenue increased to AUD 658.9 million for the half-year ended 31 Dec 2024, up 3.3% year-on-year.

Financial highlights

• Combined segment EBITDA for the half was AUD 57.4 million, up 5.4% year-on-year.

• Operating cash flow (underlying) was AUD 49.2 million, up from AUD 35.1 million year-on-year.

• Net debt rose to AUD 69.1 million (from AUD 43.6 million), with gearing at 25%.

• Interim dividend increased by 8% to AUD 0.0475 per share.

• Maintenance and development capex totaled AUD 18–19 million in H1 FY2025.

Outlook and guidance

• FY2025 earnings growth expected from OMP, increased volumes in Bulk Stockfeeds and Packaged Products, and efficiency gains from expansions and restructuring.

• AUD 5 million annualized cost savings from the business reset to be fully realized in FY2026, with negligible impact in FY2025.

• Marginally higher Bulk Stockfeeds EBITDA expected in H2 FY2025, with positive volume trends in ruminant and dairy.

• Ingredient Recovery segment to benefit from debottlenecking projects and incremental volumes, with a stable outlook for H2.

• New sustainability reporting standards expected to apply for the year ending 30 June 2026.