Synlait Milk has reported a $75.4 million net loss for FY26, but a return to operational stability in the second half delivered a sharp improvement in earnings as the dairy processor continued its turnaround.
For the 12 months ended 31 July 2026, Synlait recorded revenue of $1.94 billion, reported EBITDA of $8.1 million and underlying EBITDA of $46.3 million. Underlying net loss after tax was $21.6 million, while net debt finished the year at $215 million.
|
Key result |
FY26 |
FY25 |
PCP change |
|
Revenue |
$1.94bn |
$1.80bn |
↑ 7.8% |
|
Reported EBITDA |
$8.1m |
$50.7m |
↓ 84.0% |
|
Underlying EBITDA |
$46.3m |
$107.2m |
↓ 56.8% |
|
Reported NPAT |
($75.4m) |
($39.8m) |
Loss ↑ 89.4% |
|
Underlying NPAT |
($21.6m) |
$0.8m |
↓ 2800% |
|
Gross profit |
$37.7m |
$105.3m |
↓ 64.2% |
|
Net debt |
$215.0m |
$250.7m |
↓ 14.2% |
The full-year result reflects a difficult first half affected by the costs and impacts of manufacturing problems during 2025, followed by substantially improved operational and financial performance in the second half.
Reported EBITDA swung from a $34.7 million loss in the first half to positive EBITDA of $42.8 million in the second. NPAT improved from an $80.6 million first-half loss to a $5.2 million profit in the second half.
Operational measures also strengthened. Synlait's Manufactured in Spec rate increased from 91 per cent in the first half to 95 per cent in the second half and reached an average of 99 per cent in August. Plan attainment increased from 90 per cent to 103 per cent between the two halves.
Synlait chair George Adams said the year remained financially difficult, but stabilising operations was critical to the company's recovery.
“This was another difficult year for Synlait financially. Our first-half performance was affected by the impacts and costs of the 2025 manufacturing challenges. Achieving operational stability drove an improvement in the second half,” Adams said.
The company has also completed the sale of its North Island assets and continued what it described as a “deep reset” of systems across the business. Its recovery roadmap, released with its half-year results in March, is structured around three phases: Stabilise, Simplify and Scale.
Acting CEO Leon Fung said the second-half performance showed progress but the company remained cautious about the recovery.
“The operational and financial results for the second half show Synlait is making progress, but we are not getting ahead of ourselves. Our focus is on working carefully to ensure Synlait’s recovery continues,” Fung said.
Milk price reaches $10.07/kgMS
Synlait confirmed a final base milk price of $9.69 per kilogram of milk solids for the 2025/26 season. With average incentives of $0.38/kgMS, farmers received an average total payment of $10.07/kgMS – the second-highest milk price in the company's history.
Its forecast base milk price for 2026/27 is $9.50/kgMS, excluding incentives.
Synlait is also changing its financial reporting balance date from 31 July to 31 December. It is now operating through a five-month transitional reporting period to 31 December 2026, before its first full calendar financial year begins on 1 January 2027.
The company will not provide quantitative earnings guidance for the transitional period because of its short and non-comparable nature. Priorities include maintaining operational and quality performance, optimising its product and customer mix, and pursuing opportunities across Advanced Nutritionals, Ingredients, Foodservice and Consumer channels.
