Highlights

  • Origin reported FY26 statutory profit of $1,574 million and Underlying Profit of $1,159 million.
  • Eraring Battery 1 commenced operation in January 2026 with 460MW / 1,770MWh of capacity.
  • Eraring Battery 2 remained under construction during 2026 and is scheduled to commence operations in the first quarter of 2027.
  • Australia Pacific LNG continued to contribute cash flow, while FY27 production guidance was set at 625–670 PJ on a 100 per cent basis.
  • Origin extended all four Eraring Power Station units to 30 April 2029 as part of the site transition plan.

Origin Energy Limited (ASX:ORG) is an Australian integrated energy company with activities spanning energy retailing, power generation and wholesale energy markets, alongside its interest in Australia Pacific LNG. Its 2026 disclosures show a Business balancing current-generation reliability with Investment in large-scale storage, while continuing to generate Cash Flow from its broader portfolio.

FY26 Earnings Reflect Mixed Portfolio Drivers

For the year ended 30 June 2026, Origin reported statutory profit of $1,574 million, compared with $1,481 million in FY25. Underlying profit was $1,159 million, while underlying EBITDA was $3,220 million. The company said the year included improved performance in Energy Markets and Octopus Energy, partly offset by lower commodity-linked earnings from Integrated Gas and higher Depreciation and amortisation. Adjusted Free Cash Flow increased to $2,074 million.

Eraring Battery Moves Into Operations

Eraring Battery 1 commenced operation in January 2026. The first stage provides 460MW / 1,770MWh and forms part of Origin’s broader storage build-out. Eraring Battery 2 is under construction and is scheduled to commence operations in the first quarter of 2027. When the two stages are operating, the site is expected to provide 700MW / 3,160MWh in total. Origin is also seeking approval for a further 500MW, eight-hour battery development adjacent to the existing project.

Eraring Operations Extended to 2029

In January 2026, Origin advised that all four units of Eraring Power Station would continue operating until 30 April 2029, extending the previously planned August 2027 retirement date. The company said the extension followed consideration of system security requirements and progress on replacement infrastructure. This creates an overlap between continued coal generation and the staged expansion of storage at the Eraring site.

Australia Pacific LNG Remains a Major Cash Flow Contributor

Australia Pacific LNG continued to contribute cash flow during FY26. For FY27, Origin estimated APLNG production at 625–670 PJ on a 100 per cent basis and indicated total Capital Expenditure and operating expenditure of $3.0–$3.3 billion. The guidance reflects natural field decline and a plan for increased drilling activity to support future production outcomes.

Key Insights

Origin’s 2026 disclosures show three themes moving in parallel: cash generation from established businesses, continued reliance on Eraring for system support through 2029, and increasing deployment of battery storage. The company’s FY26 results also show that earnings remain influenced by commodity-linked Integrated Gas performance, Energy Markets conditions and its exposure to Octopus Energy. The Eraring site is therefore central to both current operations and Origin’s longer-term transition toward storage-led firming capacity.