Skellerup reported a net profit of $67.7m when including the post-tax non-recurring gain of $3.5m.<\/p>\n
Normalised net profit excluding the gain was $64.2m, up 18% on the prior period and a record result for the business.<\/p>\n
Skellerup chief executive Graham Leaming said the Middle East conflict caused several challenges during the year. <\/p>\n
Skellerup group chief executive Graham Leaming said he was pleased to report an exceptional result reflecting contributions from both divisions.<\/p>\n
\u201cThe important part our products play in agri and industrial applications across the world, the strength of our business model and our people was very evident in FY26,\u201d Leaming said.<\/p>\n
\u201cWe were able to overcome significant sourcing challenges arising from the conflict in the Middle East and the impact of fluctuating tariffs.\u201d<\/p>\n
Segment breakdown<\/p>\n
The industrial division reported ebit of $55.6m, up 17% year-on-year, a sixth consecutive record result for the segment.<\/p>\n
Industrial division revenue grew 9% to $262.8m.<\/p>\n
The United States market delivered the strongest revenue growth over the year, up 12%, with growth also occurring in the UK, Asia and Australasia.<\/p>\n
The company said its manufacturing facilities and partners overcame challenges in sourcing raw materials arising from the Middle East conflict and maintained operational continuity.<\/p>\n
Leaming said the division mitigated the impact of tariff increases introduced by President Donald Trump through careful management of inventory before their imposition, together with management of operating costs and gradual implementation of price increases.<\/p>\n
He said the company has started the 2027 financial year having largely offset the impact of tariffs as they stood at the end of the 2026 financial year.<\/p>\n
The agri division reported ebit of $39.6m, up 12% year-on-year and a second consecutive record result.<\/p>\n
Revenue grew for the division, up 13% year-on-year to $128.4m.<\/p>\n
Sales of essential consumables for the global dairy industry increased again year-on-year, up 15%, with the US and European markets key drivers.<\/p>\n
Revenue also increased in New Zealand because of the economic strength of the dairy industry impacting the phasing of demand and growth in sales of Thriver calf feeding teats.<\/p>\n
\u201cThe investment we have made (and continue to make) in equipment at our Wigram facility was critical to being able to deliver on customer demand, alongside the contribution of our people at all levels.<\/p>\n
\u201cThe Middle East conflict created significant challenges for our procurement and formulation teams. Inventory levels held, rapid action to secure alternative supplies, and in-house formulation expertise meant we were able to avoid any interruption to operations.\u201d<\/p>\n
Outlook<\/p>\n
Skellerup chairman John Strowger said as a global business moving products around the world, managing geopolitical conflicts required careful planning.<\/p>\n
\u201cThe geographic spread of our manufacturing activity, value of our products, customer relationships and management actions have enabled us to overcome these hurdles,\u201d Strowger said.<\/p>\n
\u201cWe will continue to evaluate and consider the balance of where we manufacture product relative to our end markets. In recent years we have increased capital expenditure, particularly in modernising our manufacturing capability to ensure it is efficient, flexible and ready for expansion into other markets if required.\u201d<\/p>\n
Strowger said the business closed the year with net debt of $2m, down $10.4m on the prior year, placing Skellerup in a strong position to execute on organic growth opportunities.<\/p>\n
Skellerup reported a final dividend of 20 cents per share (cps), bringing the total dividend to 30cps, up 18% on the prior corresponding period.<\/p>\n