Origin Energy Limited (ASX:ORG): How Are Batteries and Gas Shaping FY27?

Aditi Sarkar

10 November 2026 09:52 PM AEDT

Origin Energy Limited (ASX:ORG): How Are Batteries and Gas Shaping FY27?

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Highlights

FY26 statutory profit reached AUD 1,574 million, while Underlying Profit was AUD 1,159 million.
September-quarter Australia Pacific LNG production totalled 162.8 PJ.
Mortlake Battery commenced commercial operations during the September 2026 quarter.
FY27 guidance includes Energy Markets EBITDA of AUD 1,550–1,850 million.

Origin Energy Limited (ASX:ORG) supplies electricity and gas, develops energy storage and holds interests in integrated gas and international energy technology businesses. Origin Energy Limited (ASX:ORG) shares closed at AUD 12.15 on 10 November 2026. Its FY26 results and September-quarter operations provide the latest reported financial and operational context.

FY26 Earnings and Cash Generation

Origin reported FY26 statutory profit of AUD 1,574 million, compared with AUD 1,481 million for FY25. Underlying profit was AUD 1,159 million, against AUD 1,490 million, reflecting lower commodity-linked earnings and higher Depreciation and amortisation. Underlying EBITDA totalled AUD 3,220 million, compared with AUD 3,411 million. These measures show different aspects of performance: statutory profit includes accounting items, whereas underlying measures are used to discuss recurring operations.

Adjusted free Cash Flow increased by AUD 867 million to AUD 2,074 million. Origin (ASX:ORG) reported adjusted net Debt to adjusted underlying EBITDA of 1.6 times. The board determined a fully franked final Dividend of AUD 0.30 per share, bringing FY26 dividends to AUD 0.60 per share.

September Quarter: Gas and Electricity

For the September 2026 quarter, Australia Pacific LNG produced 162.8 PJ, compared with 164.6 PJ in the June quarter. Revenue increased 32% quarter-on-quarter to AUD 2,601 million, predominantly reflecting higher realised oil prices for LNG sales. The average realised LNG price was USD 13.27 per million British thermal units, while the average domestic price was AUD 5.67 per gigajoule.

Origin (ASX:ORG) reported electricity sales volumes up 3% against the corresponding quarter, reflecting retail account growth and higher Business demand, including data centres. Gas sales volumes declined 7% year-on-year, with lower gas-fired generation amid milder weather and increased renewable and battery output. These Volume movements occurred across different customer and generation segments.

Battery Investment and International Businesses

The 300 MW / 650 MWh Mortlake Battery entered commercial operations during the September quarter. Origin (ASX:ORG) consequently reported 1.3 GW / 4.1 GWh of operational grid-scale battery capacity within its 1.8 GW / 6.4 GWh development program. Eraring Battery 2 remained under development, with commissioning targeted for the March 2027 quarter rather than completed in 2026.

Octopus Energy added 308,000 customer accounts during the September quarter, including 257,000 in the United Kingdom and 51,000 elsewhere. Kraken Technologies completed a USD 1 billion standalone Equity raising in July 2026. Origin (ASX:ORG) holds an economic interest in these businesses, whose results and investment requirements are relevant to the group's broader earnings profile.

FY27 Guidance and Execution Risks

Origin expects FY27 Energy Markets EBITDA of AUD 1,550–1,850 million, subject to market and regulatory conditions. Australia Pacific LNG production is forecast at 625–670 PJ on a 100% project basis, reflecting natural field decline. Planned Capital and operating expenditure at the project totals AUD 3.0–3.3 billion, including increased drilling activity.

Origin (ASX:ORG) expects FY27 group Capital Expenditure of AUD 450–650 million as its battery build-out progresses. Commodity prices, electricity demand, project timing and regulatory settings remain material variables. The September results establish reported activity, while FY27 ranges remain management expectations rather than achieved outcomes.

Key Insights

Origin’s 2026 reporting shows stronger cash generation alongside lower underlying profit. September-quarter gas revenue rose while production eased, and Mortlake added operational battery capacity. FY27 guidance remains conditional on market conditions and delivery.

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