Highlights

  • Skellerup reported record half-year NPAT of NZD 28.9 million, up 20% year-on-year.
  • EBIT rose 16% to NZD 40.6 million, with growth across both Industrial and Agri divisions.
  • FY26 NPAT guidance has been lifted to NZD 57–62 million.

Skellerup Holdings Limited (NZX:SKL) has reported unaudited net profit after tax (NPAT) of NZD 28.9 million for the six months ended 31 December 2025, marking a 20% increase on the prior corresponding period. Following the half-year update, the company raised its FY26 NPAT guidance to a range of NZD 57 million to NZD 62 million. Shares closed 1.80% higher at NZD 5.67 on 12 February 2026.

Record Half-Year Earnings

Revenue for the six-month period reached NZD 183.5 million, up 11% year-on-year. Earnings before interest and tax (EBIT) climbed 16% to a record NZD 40.6 million.

Industrial Division EBIT was NZD 25.1 million, up 12% compared to the prior period, while Agri Division EBIT rose 20% to NZD 18.5 million. Corporate costs totalled NZD 3.1 million, up 7%.

Operating cash flow increased 20% to NZD 38.8 million. Net debt declined by NZD 2.9 million from the previous half year to NZD 17.5 million.

The company declared an interim dividend of 10.0 cents per share, up 1.0 cent per share or 11% year-on-year.

Industrial Division: Growth in Water and Construction Markets

The Industrial Division recorded revenue growth of 6%, supported by increased sales into potable and wastewater applications, particularly in the United States and Australia.

Sales into roofing and construction markets in Australia and the UK were higher, while marine foam applications in the US also improved.

However, revenue in health and hygiene applications declined after a key customer temporarily suspended production to relocate assembly operations.

Agri Division: Market Share Gains Drive Earnings

The Agri Division reported revenue growth of 21%, largely due to increased market share in dairy rubberware consumables across global markets. Adjusted for changes in delivery terms, revenue growth was 18%.

Demand improvements contributed to operational outcomes across manufacturing facilities. Footwear sales increased in both domestic and international markets, with specialist footwear sales into the US utilities sector contributing to performance.

Anticipated increases in raw material costs partially offset revenue gains at the EBIT level.

Cash Flow and Balance Sheet Position

Group operating cash flow of NZD 38.8 million was 20% higher year-on-year. Inventory levels remain above historical averages to address supply chain risks and tariff changes.

Net debt stood at NZD 17.5 million at the end of December 2025, representing 5% of total assets and 14% lower than 12 months earlier.

Outlook: FY26 Guidance Raised

Skellerup increased its FY26 NPAT guidance to a range of NZD 57 million to NZD 62 million, compared to previous expectations.

Skellerup’s half-year performance delivered higher revenue, record EBIT and increased NPAT, alongside improved cash flow and reduced net debt. With FY26 profit guidance revised upward and an interim dividend increase announced, the company’s latest update marks a significant milestone for the financial year. Shares closed at NZD 5.67 on 12 February 2026 following the announcement.

Frequently Asked Questions (FAQs)

  1. What was Skellerup’s half-year NPAT?
    Skellerup reported unaudited NPAT of NZD 28.9 million for the six months ended 31 December 2025.
  2. What is the updated FY26 guidance?
    The company now expects FY26 NPAT to be between NZD 57 million and NZD 62 million.
  3. What dividend was declared?
    Skellerup declared an interim dividend of 10.0 cents per share, up from the prior period.