The A2 Milk Company Limited (ACOPY) Q4 2026 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good morning everyone and thank you for joining us today. My name is David Bortolucci, I'm the Managing Director and CEO of The A2 Milk Company. Today I'm joined on the call by our CFO, Dave Muskett and our business unit leaders, Lee Xiao, Johan Seneratna, Jaram McVicar and Kevin Bush. The team and I will present the results and outlook and there'll be time at the end for questions. During the presentation, we'll focus on continuing operations excluding NBM, which we divested in the first half and occasionally refer to underlying results, which excludes both NBM and A2 Pocono. We've excluded A2 Pocono from the underlying results given that the site is currently underutilized and incurring manufacturing losses and transformation costs, which are short term in nature. Starting on Slide four, we delivered FY 2026 results in line with or slightly ahead of our updated April guidance with double digit revenue growth. Infant milk formula or IMF grew 5% in a flat China market supported by strong English label growth with China label sales significantly impacted by temporary supply chain disruption in the fourth quarter. Supply chain disruption had a material impact on China IMF product availability, performance and supply chain costs, which impacted our second half group sales and earnings. As you would expect, we have a comprehensive recovery plan in place and we commenced execution, which I'll come back to later in the presentation. Other Nutritionals grew significantly by 42% through innovation in kids, seniors, UHD and supplements. In liquid milk, growth was well above market at 22% in Australia and The US. Our commitment to innovation has resulted in the launch of a series of new products over recent years, which are making meaningful contributions to our growth. These ...