Despite several interested parties, the review concluded that My Food Bag would remain an NZX-listed company “with a clear focus on executing its standalone plan and growth strategy”.
“The review reinforced the strength of MFB’s established brands, nationwide direct-to-consumer platform, profitable and cash-generative operating model and strengthened balance sheet,” the board said.
“It also provided greater clarity on capital allocation to support sustainable long-term shareholder returns.”
My Food Bag said its standalone plan will focus on four priorities, led by growing and strengthening the core customer and brand portfolio.
“Organic growth from the existing platform will remain the primary strategic focus. As such, the standalone plan does not depend on mergers and acquisitions, and any opportunity will need to meet a high strategic and financial threshold to be considered by the Board.
“We will generally consider opportunities that help us increase scale or acquire capabilities that MFB cannot build as effectively or efficiently.”
The board has elected to target fully imputed ordinary dividends of 70% to 90% of net profit after tax over the full financial year, subject to financial performance, cash requirements, solvency, balance-sheet position and investment opportunities.
The board is also considering returning surplus capital to shareholders next year in addition to ordinary dividends.
“No decision has been made on whether any additional capital return will occur or, if it does, its form, amount or timing.”
The company’s full-year result published in May showed a strong lift in revenue and profit, supported by stronger customer retention and an improved brand mix.
In the year to March 31, 2026, My Food Bag reported total revenue of $170.2 million, up 5% on the previous year, driven by volume and average order value growth.
The business’s revenue in the second half of the year was strong, up 6.2% year on year, with total active customers growing to 57,100.
It reported a net profit of $6.7m, up 5.3% on the prior year.
The business managed cost pressures through supply-chain initiatives, such as sourcing directly from growers and recipe development, and modest price increases with minimal churn.
Tom Raynel is a multimedia business journalist for the Herald, covering small business, retail and tourism.
Stay ahead with the latest market moves, corporate updates, and economic insights by subscribing to our Business newsletter – your essential weekly round-up of all the business news you need.