Inghams shares dropped 14% to $3.05 after the poultry producer posted a weaker-than-expected full-year profit and issued soft guidance for FY26.
Underlying earnings before interest, taxes, depreciation and amortisation (EBITDA) fell 15.3% to $392.2 million, with flat underlying EBITDA at $236.4 million. Profit declined 10% to $89.8 million, missing consensus forecasts of $103.3 million. Revenue of $3.15 billion was down 1.5% on FY24 but broadly in line with expectations.
Chief executive Ed Alexander said, “FY25 was a year of significant change.” He noted that a lower-margin mix, weaker wholesale pricing and softer retail demand all weighed on performance.
The company expects FY26 underlying EBITDA of $215–230 million, with results skewed to the second half as benefits from operational changes flow through. Operating costs, excluding feed, are forecast to rise modestly, though Inghams is targeting annualised savings of $60–80 million from labour, procurement and site-level efficiencies to offset inflationary pressures.
RBC Capital Markets analyst Michael Toner said the outlook highlights “significant challenges in the medium term as the company rebases expectations”. He noted that FY26 guidance sits 11% below his forecasts and 8% under consensus.