Key points
- 1H25 EBITDA pre AASB 16 is the 2nd highest first half earnings result since listing
- Feed costs moderated during 1H25, strong cost management outcomes substantially offset inflation
- New business secured equivalent to ~75% of expected WOW volume reduction due to new supply agreement
Full summary
Inghams Group Ltd reported strong 1H25 financial results, with EBITDA pre AASB 16 the 2nd highest first half earnings result since listing. Feed costs moderated during 1H25, and the company's strong cost management outcomes substantially offset inflation. Revenue declined 1.9%, in line with a 2.7% decline in core poultry volume, but the company successfully navigated the diversification of its customer portfolio, securing new business equivalent to around 75% of the expected Woolworths volume reduction due to a new supply agreement. Retail volumes were up 3.1% and net selling price up 1.7% versus the prior corresponding period, while core poultry net selling price increased 1.0%. The company achieved 5.0% volume growth in New Zealand, with the acquisition of Bostock Brothers contributing 2.9 percentage points to this. The integration of Bostock Brothers is on-track and performing in-line with expectations. Inghams is on-track to achieve its FY25 volume and earnings guidance.
Guidance
Inghams Group reaffirmed its FY25 volume and earnings guidance.