Daily Roundup

New Hope Corporation Reports Steady Performance Amid Production Dip

New Hope Corporation's latest quarterly update shows a mixed picture for the coal producer. While ROM coal production fell 9.8% quarter-on-quarter to 4.3 million tonnes, the company still managed a 10.4% increase compared to the same period last year. Coal sales followed a similar pattern, declining 3.2% from the previous quarter but climbing 9.3% year-on-year to 2.9 million tonnes.

The brighter spot came from pricing. The average realised sales price jumped 6.0% to $165.2 per tonne, buoyed by strength in both the gC NEWC 6000 and API-5 5500 indices. Underlying EBITDA held steady at $168.1 million, roughly in line with the prior quarter. The company maintained a healthy cash position of $588.4 million after paying out a fully franked final dividend of 30.0 cents per share.

Elders Delivers Strong Growth on Delta Ag Momentum

Elders has emerged as a standout performer, reporting a remarkable 43% surge in underlying EBIT to $187.7 million for FY26. The agribusiness giant's transformation is clearly paying dividends, with the Delta Agribusiness acquisition proving to be a strategic masterstroke.

The numbers tell the story. Profit after tax skyrocketed 187% to $144.2 million, while revenue from continuing operations climbed 31% to $4 billion. Delta Ag itself contributed $43.6 million in EBIT over its first 11 months under Elders' ownership, while the company has already extracted $7.3 million in synergies—with management forecasting $12 million in FY27 and $15 million in FY28.

The company also successfully divested its Killara feedlot for a $68.7 million profit, further strengthening its balance sheet. With a leverage ratio of just 1.7 times, Elders has room to maneuver. The board declared a final dividend of 18.0 cents per share, fully franked, bringing total dividends for the year to 36.0 cents. Management remains upbeat about FY27, expecting continued momentum from procurement synergies and formulation growth, though it's keeping an eye on potentially softer livestock prices.

FleetPartners Hits Record New Business as SG Fleet Deal Looms

FleetPartners delivered a solid FY26 performance, though the proposed acquisition by SG Fleet for $5.302 per share has somewhat overshadowed the operational achievements. The company reported new business writings of $902 million, a record level and up 16% year-on-year, with particularly strong momentum in the second half.

Revenue inched up just 0.3% to $788.4 million, but profit after tax declined 5.9% to $70.88 million. The company completed its acquisition of Remunerator, expanding its footprint in the novated leasing space, and average units managed on finance grew 9%. Core income climbed 6% thanks to higher assets under management and improved margins, though end-of-lease income softened 19% as demand for internal combustion engine vehicles weakened.

The board opted not to declare a final dividend for FY26, instead preserving flexibility to consider a special dividend closer to the implementation of the SG Fleet scheme. Management expects FY27 core income to grow in line with average assets under management, with end-of-lease income likely to improve as ICE vehicle demand recovers.

IDP Education Stands Firm Against Blackstone

IDP Education has firmly rejected Blackstone's revised takeover proposal of $3.00 per share, with the board declaring it substantially undervalued and opportunistic. The company's leadership, advised by Goldman Sachs and Mallesons, concluded the offer fails to recognize IDP's strategic benefits and earnings potential.

Despite regulatory headwinds, IDP remains confident in its transformation strategy and has reaffirmed its FY27 adjusted EBIT guidance of $95 million to $115 million, with trading tracking in line with expectations. The company is considering strategic options to unlock long-term shareholder value, signaling it's not about to accept a lowball offer.

BluGlass Extends U.S. Defense Program Contract

BluGlass has secured a six-month extension to its sub-contract with North Carolina State University under the U.S. Department of Defense Microelectronics Commons program. The extension, running from October 1, 2026, to March 31, 2027, will see the company receive US$170,000 (approximately A$248,500) for continued work on III-Nitride photonics.

CEO Jim Haden expressed satisfaction with the progress made and the alignment with the original program plan. The company continues to focus on executing existing programs and converting opportunities into funded development initiatives and commercial engagements.