LGI Limited (ASX:LGI) Declares Fully Franked Final Dividend as Renewable Generation Surges 29%

Sonal Goyal

08 September 2026 11:09 PM AEST

LGI Limited (ASX:LGI) Declares Fully Franked Final Dividend as Renewable Generation Surges 29%

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Highlights

• LGI Limited goes ex-dividend on 9 September 2026, with a fully franked 1.35-cent final Dividend payable on 24 September 2026.

• FY26 Revenue rose 17% to A$39.8 million, with EBITDA increasing 26% to A$21.8 million.

• Renewable energy generation grew 29% to 140.8 GWh in FY26, while biogas flows increased 33%.

• Total FY26 dividends reached 2.6 cents per share, reflecting LGI's commitment to returning value to shareholders.

LGI Limited (ASX:LGI) is an Australian renewable energy company specialising in the capture and conversion of landfill gas and biogas into electricity. The company operates a network of renewable energy Assets across Australia, with a Business model that ties directly to the growing Demand for cleaner energy solutions. LGI shareholders should note the stock goes ex-dividend on 9 September 2026, with a fully franked final dividend of $0.014 per share payable on 24 September 2026. At a current share price of approximately $2.20, this implies a Dividend Yield of around 0.61% on the final dividend.

Latest Developments

LGI delivered a strong FY26, with revenue rising 17% to A$39.8 million and EBITDA increasing 26% to A$21.8 million. Renewable generation increased 29% to 140.8 GWh, while biogas flows rose 33%. The company declared a fully franked 1.35-cent final dividend, taking FY26 dividends to 2.6 cents per share.

Key Risks

• Landfill gas volumes are naturally declining at mature sites over time, requiring LGI to continuously add new sites to maintain and grow generation output.

• Regulatory Risk is present, as changes to renewable energy certificates, Carbon Credit schemes or landfill gas policy could affect revenue per MWh.

• Competition for new landfill and waste-to-energy contracts is increasing as more operators enter the sector, potentially compressing contract terms.

• LGI is a small-cap company with limited liquidity, which may amplify share price Volatility relative to larger ASX-listed peers.

Key Catalysts to Watch

• Winning new landfill gas or biogas contracts would extend the company's growth pipeline and support future revenue guidance upgrades.

• Rising electricity prices in the Australian National Electricity Market (NEM) would directly increase the revenue earned per MWh generated.

• Government policy support for biogas and waste-to-energy projects, including expanded carbon credit mechanisms, could provide incremental Earnings upside.

• Potential expansion into new states or adjacent waste streams, such as agricultural biogas, could open a new growth runway for LGI.

Conclusion

LGI Limited delivered a standout FY26 performance, with strong growth across all key operational metrics as the company continues to capitalise on Australia's renewable energy transition. While the fully franked final dividend of 1.35 cents per share is modest in dollar terms, the consistent growth in EBITDA, generation volumes and biogas flows points to an underlying business gaining momentum. With the ex-dividend date on 9 September 2026, LGI offers income investors a small but fully franked income event alongside the prospect of continued operational growth.

Frequently Asked Questions (FAQs)

FAQs

Q: When is LGI Limited's ex-dividend date?

A: LGI Limited's ex-dividend date is 9 September 2026. Shareholders must hold LGI shares before this date to receive the final dividend.

Q: How much is LGI Limited's FY26 final dividend?

A: LGI Limited declared a fully franked final dividend of $0.0135 (1.35 cents) per share, payable on 24 September 2026.

Q: Is LGI Limited's dividend fully franked?

A: Yes, the FY26 final dividend is 100% franked, allowing eligible Australian shareholders to claim franking credits and potentially reduce their tax liability.

Q: What does LGI Limited do?

A: LGI Limited captures landfill gas and biogas and converts it into renewable electricity. The company operates across multiple sites in Australia and sells power into the national grid.

Q: How fast is LGI Limited growing?

A: LGI has been growing strongly — FY26 revenue rose 17% to A$39.8 million, EBITDA grew 26%, and renewable generation jumped 29% to 140.8 GWh, with biogas flows up 33%.

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