Nufarm’s stock ripped higher in afternoon trade after the agribusiness reported a 28% jump in half-year statutory profit and stuck to its FY26 targets. Investors pushed the share price up 12.9% to $2.89 by early afternoon AEST, signalling confidence in the updated outlook.
A fresh lift in earnings expectations from its newer platforms added further momentum, with markets rewarding the sharper focus on higher-value growth areas.
Nufarm reaffirmed its FY26 guidance for underlying EBITDA and leverage while upgrading expectations for its Emerging Platforms segment to a $40 million earnings improvement, up from $30 million. The increase is tied to a recovery in its omega-3 and bioenergy operations, which sit at the heart of the platforms strategy.
For the half year to 31 March 2026, statutory net profit after tax climbed 28% year on year and underlying EBITDA rose 18% to $243 million. Revenue slipped 5% to $1.7 billion over the same period, as the company prioritised margin and capital efficiency over pure top-line growth.
Crop protection delivered gross margin expansion, with stronger European performance supporting earnings growth in that division. The Emerging Platforms unit also underpinned the profit uplift, helped by growth in hybrid seeds and an expanded carinata oil off-take agreement with BP to scale the carinata programme.
Free cashflow improved by $193 million year on year and net debt fell by $135 million to $1.23 billion, reflecting tighter capital management. A $50 million cost-savings programme, announced in April, has sharpened the focus on capital efficiency and operating discipline.
Equity research from RBC Capital Markets kept a “sector perform” stance on Nufarm and set a $3.40 price target, noting that first-half earnings broadly matched market consensus. Analysts highlighted ongoing pressure from higher input, freight and energy costs linked to Middle East instability, yet pointed to Nufarm’s proactive response as supportive of future margins.
Nufarm’s strategy centring on higher-value markets, products and capital-light growth aims to underpin stronger cash generation and continued deleveraging. That mix of earnings resilience, cost control and balance sheet repair is what the market is rewarding in the latest share price reaction.
