The a2 Milk Company has announced a substantial 21.1 per cent increase in profit, reaching $NZ202.9 million. This growth was primarily fuelled by strong performance in its key markets of China and the United States. The a2 Milk Company focuses on producing and selling milk and infant formula products that contain only the A2 type of beta-casein protein. It aims to provide consumers with products that offer digestive benefits compared to conventional milk.
Annual revenue for the dual-listed company also saw a significant rise, increasing by 13.5 per cent to $NZ1.9 billion. Geographically, China and Other Asia experienced a 13.9 per cent increase, the US market grew by 22.5 per cent, and Mataura Valley Milk saw growth of 42.7 per cent. In contrast, the Australia and New Zealand segment remained relatively stable, showing no significant change from the previous year.
The company has declared a fully franked final dividend of 11.5¢ per share. This brings the total dividend payout for the financial year 2025 to 20¢ per share, representing approximately 71 per cent of earnings paid out as dividends. For the financial year 2026, A2 Milk is aiming for high single-digit revenue growth from ongoing operations. The company anticipates an EBITDA margin of 15–16 per cent, with net profit after tax (NPAT) expected to be broadly in line with FY25.
A2 Milk also plans capital expenditure of $NZ50–70 million and expects cash conversion to be between 80 and 90 per cent. The company’s strategic priorities include maximising growth opportunities in China, expanding its product range into adjacent categories and new markets, and advancing regulatory approvals. A key initiative is the insourcing of a2 Platinum as part of its ongoing multi-year capital investment program.
