Key Highlights

  • That range represents growth of about 25 per cent at the midpoint compared with FY25.
  • Nufarm also expects Leverage to fall to approximately 2.0 times at 30 September 2026, down from 2.7 times a year earlier.
  • The company said it remains on track to deliver $50 million of run-rate cost savings by the end of FY27 under its strategy refresh.
  • The key points from Nufarm's FY26 update, all of which the company describes as forward-looking and preliminary, are:

Nufarm Limited (ASX:NUF) has told the market it is on track to deliver strong growth in underlying Earnings for the 2026 financial year, alongside positive free Cash Flow and a significant reduction in leverage. In an update released on 23 September 2026, a week before its financial year closes on 30 September, the crop protection and seed technologies company said it expects underlying EBITDA (uEBITDA) of between $370 million and $380 million.

That range represents growth of about 25 per cent at the midpoint compared with FY25. Nufarm also expects leverage to fall to approximately 2.0 times at 30 September 2026, down from 2.7 times a year earlier. The company said it remains on track to deliver $50 million of run-rate cost savings by the end of FY27 under its strategy refresh.

The headline numbers

The key points from Nufarm's FY26 update, all of which the company describes as forward-looking and preliminary, are:

uEBITDA expected to be $370 million to $380 million, up approximately 25 per cent on the prior corresponding period at the midpoint

Leverage expected to reduce to approximately 2.0 times at 30 September 2026, from 2.7 times at 30 September 2025

Positive free cash flow, supported by improved earnings and disciplined working capital management

Material items of $90 million to $110 million after tax

$50 million of run-rate cost savings targeted by the end of FY27

Nufarm said the improvement in leverage reflects better earnings, positive free cash flow generation and disciplined working capital management. The company noted that full-year results are preliminary and subject to audit.

Seed Technologies leads the way

The growth is uneven across Nufarm's two main businesses. The company said Seed Technologies is expected to deliver strong year-on-year growth in uEBITDA, led by Hybrid Seeds and improved pricing in its Omega-3 business.

Crop Protection, by contrast, is expected to deliver uEBITDA broadly in line with the prior corresponding period. Nufarm pointed to foreign exchange headwinds, some Manufacturing disruptions and softer market conditions in North America as factors weighing on that segment.

This split was already visible at the half-year stage. Seed Technologies EBITDA rose to $58 million from $27.3 million in the prior period, while Crop Protection was reported up 3 per cent. First-half uEBITDA was reported at $242.7 million, up 18 per cent.

Strategy refresh, site closures and debt

Much of the narrative around Nufarm in 2026 has centred on its strategy refresh, which the company says is designed to simplify the business, lower its cost base and improve returns. In today's update, Nufarm disclosed a decision to close its Alsip manufacturing Facility in the United States. That adds to the previously announced closure of its Kwinana site in Western Australia and accelerated rationalisation of its product range, or SKUs.

Nufarm first flagged an additional $50 million cost savings program in April 2026, when it provided a trading update for the first half. The company says it remains on track to reach that run-rate saving by the end of FY27.

The restructuring does come at a cost to statutory earnings. Nufarm expects FY26 material items of between $90 million and $110 million after tax. The company said these are primarily non-cash in nature and relate to the strategy refresh and cost reduction program, including site rationalisation, the planned closures of the Kwinana and Alsip sites, and other program costs. Because they are classified as material items, they sit outside the underlying EBITDA figure.

Debt reduction has been a clear focus for Nufarm and for investors in ASX agriculture shares. Leverage stood at 2.7 times at the end of FY25 and, was 3.6 times at the half-year mark. At that time, Nufarm reaffirmed its target of approximately 2.0 times by the end of FY26.

Today's update indicates the company expects to meet that target. Achieving leverage of around 2.0 times would mark a meaningful improvement on a year earlier, and Nufarm attributed it to improved earnings, cash generation and tighter working capital.

About Nufarm

Nufarm describes itself as a global crop protection and seed technologies company that helps farmers and businesses meet the challenges of food, feed, fibre and sustainable fuel production. Established more than 100 years ago, it is headquartered in Melbourne and listed on the ASX. Its Seed Technologies arm includes hybrid seeds and the Omega-3 platform, while Crop Protection supplies products used to protect crops from weeds, pests and disease in markets including North America.

What comes next

Nufarm said it will report its full FY26 results on 19 November 2026. That release should provide audited figures, segment detail, statutory profit after material items, and any outlook commentary for FY27. Investors will likely look for further detail on how the Alsip and Kwinana closures affect the manufacturing footprint, progress towards the $50 million savings target, and whether Crop Protection conditions in North America show signs of improving.

Risks to keep in mind

The figures in the update are expectations rather than final results. Nufarm stated that its forward-looking statements reflect expectations at the date of release and are subject to risks and uncertainties, including those outlined in its 2025 Annual Report, and that actual results may be significantly different. Crop protection earnings remain exposed to seasonal conditions, currency movements and regional demand, all of which the company cited as headwinds this year. Site closures and SKU rationalisation also carry execution risk.

The bottom line

Nufarm expects FY26 underlying EBITDA of $370 million to $380 million, about 25 per cent higher at the midpoint, with Seed Technologies doing the heavy lifting and Crop Protection broadly flat. Leverage is forecast to fall to about 2.0 times, while restructuring will result in $90 million to $110 million of mostly non-cash material items. Audited results are due on 19 November 2026.