Highlights

  • Freightways reported NZ$1.46 billion in Revenue for FY2026.
  • Net profit after tax increased to NZ$94 million.
  • The company expanded its Australian operations through VT Freight Express.
  • Freightways declared a full-year distribution of 45 cents per share.

Freightways Group Limited (ASX:FRW) reported revenue of NZ$1.46 billion for the year ended 30 June 2026, representing growth of 13.5%. Net profit after tax increased 17.3% to NZ$94 million, while Basic Earnings Per Share reached 52.4 cents.

Directors declared a final Dividend of 24 cents per share, taking the full-year distribution to 45 cents, up 12.5%. The final dividend was fully imputed for New Zealand holders and 49% franked for Australian holders.

Business Operations

Freightways operates a trans-Tasman logistics network across express packages, Business mail, information management and waste renewal services.

The Express Package and Business Mail division includes brands such as New Zealand Couriers, Post Haste, Castle Parcels, SUB60, Allied Express and VT Freight Express. The Information Management and Waste Renewal division provides document storage, secure destruction and related services.

Recent Developments

The Acquisition of VT Freight Express was completed in February 2026. The business contributed approximately NZ$40 million of revenue and NZ$1.7 million of net profit during five months of ownership.

Australia increased its contribution to group revenue to 39% from 36%, while New Zealand express package volumes increased 5.1%.

Financial and Operational Position

Express Package and Business Mail generated NZ$1.232 billion in revenue, up 16.4%, with EBITA of NZ$168.1 million. Information Management and Waste Renewal generated NZ$234.0 million of revenue and NZ$31.6 million of EBITA.

Group EBITA Margin increased to 12.4%, while Operating Cash Flow rose 14.9% to NZ$279.4 million. Net Debt to EBITDA stood at 2.4 times on a post-IFRS 16 basis.

Future Areas to Monitor

Freightways plans Capital Expenditure during FY2027, including expansion of the Christchurch Airport facility, Investment at Palmerston North and the Evolve system rollout.

Volume trends remain an operational focus, with same-customer volumes declining 1.2% in the June 2026 quarter.

Risks

Freight Demand is linked to consumer and business activity across New Zealand and Australia. Fuel prices, leverage, acquisition integration and currency movements may influence future performance.

Key Insights

Freightways continues to operate a diversified transport and logistics network across two markets. FY2026 results reflected revenue growth, acquisition activity and higher distributions, while future performance will depend on Volume trends and operating conditions.