Highlights

  • FFI Holdings (ASX:FFI) reported FY26 revenue of A$62.76 million, up 7.4%.
  • Underlying profit before tax rose 6.8% to A$4.62 million, with statutory net profit after tax of A$3.23 million.
  • The company repaid its A$4.0 million bank loan and held A$4.24 million in cash at 30 June 2026.
  • Dividends for FY26 total 22.5 cents per share, fully franked, including a 12.5 cent final payable on 30 October 2026.

F.F.I. Holdings Limited is a Perth-based business with two arms: food manufacturing, conducted through subsidiaries Fresh Food Industries Pty Ltd and Chocolate Products of Australia Pty Ltd, and property investment. The company released its FY26 results in August 2026, reporting higher revenue, no borrowings and an unchanged final dividend, with that dividend due for payment at the end of October.

Company Business

The food manufacturing operations, based in Western Australia, produce food products that use raw materials including cocoa. They account for most of the group's revenue, with food segment sales of A$61.39 million in FY26.

The second arm is investment property. FFI Holdings (ASX:FFI) held investment properties valued at A$31.5 million at 30 June 2026. Freehold land is carried at A$8.86 million.

Recent Development

In August 2026, FFI Holdings (ASX:FFI) lodged its Appendix 4E for the year ended 30 June 2026, with the Chairman reporting that the company holds quality assets and no borrowings. The A$4.0 million bank loan outstanding a year earlier was fully repaid during the period, while the facility remains in place and is subject to annual review on 30 October 2026.

A property lease was also resolved during the year. After a vacancy of about two months, the property was leased for 10 years to a Western Australian Government agency at A$0.938 million a year, compared with A$1.28 million under the previous arrangement. One-off costs of securing the new lease contributed to a 26.0% fall in rent received to A$1.25 million.

The final dividend was set at 12.5 cents per share, fully franked, unchanged from the prior corresponding period. The record date was 20 October 2026, dividend reinvestment plan elections close on 23 October 2026 and payment is scheduled for 30 October 2026. The reinvestment plan carries a 5.0% discount.

Financial Performance and Sector Context

Revenue from continuing operations rose 7.4% to A$62,761,394 from A$58,460,119. Food profit before tax increased 16.6% to A$4.44 million on sales growth of 8.2%, which the Chairman attributed to operational improvements.

Profit before income tax was A$4,621,426, against A$9,520,278 in the prior corresponding period, which included a A$5,193,269 investment property revaluation gain. On an underlying basis, profit before tax rose 6.8% from A$4.33 million. Net profit after tax was A$3,233,182, compared with underlying A$3.03 million, and basic earnings per share were 24.2 cents.

Net cash from operating activities was A$10.54 million, helped by lower working capital as inventories fell from A$18.25 million to A$13.24 million. Cash and cash equivalents were A$4,241,979, compared with a bank overdraft of A$659,087 a year earlier. Net tangible assets were A$4.52 per share.

Cocoa is a relevant sector input. The Chairman noted that cocoa raw material costs, which had been at record and volatile levels, have returned to more normal levels. Total FY26 dividends of 22.5 cents per share comprised a 10.0 cent interim and the 12.5 cent final, both fully franked at 30%.

Risks to Consider

Cocoa and other commodity prices can move sharply and affect manufacturing costs. Property income depends on tenancy, as the vacancy and lease costs showed, and the new lease carries lower annual rent than the previous arrangement. Investment property values are subject to revaluation, which affected reported profit in the prior corresponding period. Operating cash flow benefited from a reduction in inventories, which may not repeat, and the bank facility remains subject to annual review.

What to Watch Next

Upcoming dates for FFI Holdings (ASX:FFI) include the dividend reinvestment election deadline on 23 October 2026, payment of the final dividend and the bank facility review on 30 October 2026. Further points to monitor include cocoa input costs, food segment sales growth, rental income under the new lease and inventory levels. The Chairman said the company is entering FY27 from a position of financial strength, without specific FY27 forecasts.

Key Insights

FFI Holdings (ASX:FFI) combined higher food manufacturing sales and profit with debt repayment in FY26, while reported profit comparisons were affected by a revaluation gain in the prior corresponding period. Rental income fell with the lease transition. Dividends of 22.5 cents per share, no borrowings and net tangible assets of A$4.52 per share frame the balance sheet, while commodity costs and property income remain the main variables.