Global appliance brands report results shaped by tariffs, currency and sourcing changes. Breville Group Limited (ASX:BRG) released its FY26 results for the year ended 30 June 2026 on 19 August 2026.

Company overview

Breville Group Limited (ASX:BRG) designs and sells small kitchen appliances, particularly coffee and cooking products, across global markets including North America, Europe, Asia and Australia.

FY26 financial results

Revenue was A$1,810.9 million, up 6.7% (9.7% in constant currency), and Gross Profit A$651.4 million with a gross Margin of 36.0%, compared with 36.6%. EBITDA was A$284.1 million, EBIT A$207.0 million, up 1.2%, and NPAT A$138.1 million, up 1.7%. Net cash was A$104.4 million compared with A$48.5 million, and ROE was 13.6%.

The ordinary Dividend was 38.0 cents, up from 37.0 cents, fully franked.

Manufacturing Diversification and tariffs

Manufacturing diversification is substantially complete, with 85% of 120-volt product gross profit dollars now sourced outside China. Second-half gross margin strengthened to 36.8%, above both the first half and the prior corresponding period, mainly because of US sourcing mix. Net tariffs were managed with the value chain, and refunds were treated on the same net basis, with minimal net profit impact in FY26. Full-year gross margin was affected by year-on-year net Tariff increases and transition costs, and a tariff refund inflow of A$59.6 million appears in the cash flow.

Growth and investment

Coffee and Cooking recorded double-digit Revenue growth, and young markets including China, Korea, Mexico and the Middle East collectively grew at over 70%. Investment in growth drivers such as new product and solutions development, tech services and Marketing rose to 14.4% of revenue from 14.2%. The release describes a year in which US tariffs restructured four times and the Strait of Hormuz was closed.

Tariffs and sourcing in more detail

Breville says net tariffs were actively managed in Partnership with its value chain and that refunds were treated on the same net basis, resulting in minimal net profit and loss impact in FY26. The Cash Flow includes tariff refund inflows of A$59.6 million, which is why the release stresses the net approach.

The accelerated shift in Manufacturing for 120-volt products created transition costs which, with net tariff increases, lowered full-year gross margin to 36.0% from 36.6%, before it strengthened to 36.8% in the second half.

Regional growth

The Global Segment recorded constant currency revenue growth of 9.7% with double-digit growth in the second half. Coffee and Cooking each delivered double-digit revenue growth, and so-called young markets (China, Korea, Mexico and the Middle East) grew at over 70% collectively from a small base.

Sector backdrop

Appliance makers face tariff changes and Supply chain shifts, and currency movements affect reported revenue. Premium appliance Demand follows consumer spending and product innovation.

Constant currency measures help separate operating growth from exchange effects.

Breville’s release highlights how a year of tariff changes affected sourcing and margins. The company states that 85% of 120-volt product gross profit dollars are now sourced outside China, which reduces dependence on one country but required transition costs.

Net cash more than doubled to A$104.4 million, which provides flexibility. Dividends of 38.0 cents per share are fully franked, and ROE of 13.6% compares with 14.9% in the prior year.

Global appliance brands manage trade policy by moving production between countries, which takes time and cost. Currency translation affects reported results even when underlying demand is stable.

Net cash positions give flexibility for dividends, investment and acquisitions.

Risks shareholders should weigh

Reported revenue growth was dampened by a softer US dollar and euro in the second half. Gross margin fell compared with FY25.

Tariff policy remains uncertain, and sourcing transition costs may continue.

EBIT growth of 1.2% was modest relative to revenue growth.

ROE fell to 13.6% from 14.9%, and EBIT growth lagged revenue growth.

The release refers to volatile external conditions, including tariff restructuring four times in the year.

What’s next

Breville enters FY27 with diversified manufacturing and continues its investment in growth drivers. Shareholders may wish to watch for trading updates and tariff developments.