Synlait Milk Limited (ASX:SM1)

Synlait Milk Limited reported its FY26 result for the 12 months ended 31 July 2026, describing a difficult first half impacted by the costs and effects of 2025 manufacturing challenges, followed by a stronger second half driven by a return to operational stability. For FY26, Synlait recorded reported EBITDA of $8.1 million, underlying EBITDA of $46.3 million, a reported net loss after tax of $75.4 million, an underlying net loss after tax of $21.6 million, net debt of $215.0 million, revenue of $1.94 billion and gross profit of $37.7 million. Second-half performance improved materially, with Manufactured in Spec rising from 91% to 95%, plan attainment increasing from 90% to 103%, reported EBITDA improving from a first-half loss of $34.7 million to a second-half profit of $42.8 million, and reported NPAT moving from a first-half loss of $80.6 million to a second-half profit of $5.2 million. Synlait also confirmed a final 2025/26 base milk price of $9.69 per kgMS, with average incentives of $0.38 per kgMS for a total average farmer payment of $10.07 per kgMS, and forecast a 2026/27 base milk price of $9.50 per kgMS excluding incentives. The company said it had progressed its recovery roadmap of Stabilise, Simplify and Scale, completed the North Island assets sale, and will now shift its balance date from 31 July to 31 December, with a five-month transitional period from 1 August to 31 December 2026 and no quantitative earnings guidance to be provided for that short, non-comparable period.