Key Highlights

  • IDT Australia Limited (ASX:IDT) shares fell 10.42% to $0.043 during the 22 September trading session.
  • FY26 EBITDA improved 85% year-on-year to -$922,000, as Revenue from the company's three core verticals increased 16.5% to $16.8 million.
  • IDT is targeting $50 million in revenue by FY29, supported by expansion of strategic accounts and a new $7 million Capital Investment in sterile line and solid oral Manufacturing capabilities.
  • The company was awarded the Overall RNA Manufacturing Excellence Award and Best Emerging RNA CDMO Award at the Asia-Pacific RNA Excellence Awards 2026.

IDT Australia Limited (ASX:IDT) shares were down 10.42% to $0.043 during the Trading session on 22 September. IDT Australia is a pharmaceutical manufacturing company based in Boronia, Victoria, with cGMP-compliant facilities audited by the US FDA and Australian TGA, providing services spanning new drug development, scale-up and commercial active drug manufacture across oral and injectable dose forms.

FY26 Financial Performance

Recently, the company reported EBITDA improving 85% year-on-year to -$922,000, with ordinary revenue from its three core verticals increasing 16.5% year-on-year to $16.8 million, up from $14.4 million in FY25. Total revenue for the period was $20.4 million, 3.1% ahead of the previous year, while net profit after tax was -$2.7 million, a 66.3% improvement over FY25.

The decline in disbursement and other revenue to $3.6 million, down from $5.4 million in FY25, was described as an expected outcome reflecting a strategic decision to deprioritise narrow-margin, pass-through work. The company also noted a $0.5 million uplift to its cost savings target, now set at $2.5 million, which contributed to the reduced Earnings loss.

IDT ended FY26 with $9.7 million in total funds available to fund growth, comprising $2.6 million in cash and $7.1 million in unused available debt.

Performance Across Business Verticals

Within the company's three verticals, Active Pharmaceutical Ingredient Manufacturing posted a 29% year-on-year revenue increase to $5.4 million, described as the company's legacy business and core competency, focused on small molecule API manufacturing involving complex and high-potency chemistry.

The Solid Oral Manufacturing vertical recorded a 52% year-on-year increase in full year revenue to $5.5 million, which the company attributed to capitalising on opportunities in radiopharmaceuticals alongside continued Demand for medicinal cannabis and psychedelic drug manufacturing. The Sterile Manufacturing, or Advanced Therapies, vertical delivered full year revenue of $5.9 million, an 11% year-on-year decline reflecting the timing of contracts, though the company described the outlook for this business as very strong given growing global demand for mRNA drugs.

Capital Investment and Outlook

IDT approved a $7 million capital investment program, funded entirely from existing Debt facilities, to upgrade and expand its sterile and solid oral dose manufacturing capabilities. The investment will add capacity for sterile pre-filled syringes and cartridges alongside existing pre-filled vial capabilities, targeting opportunities in antibody drug conjugates, biologics, biosimilars, mRNA vaccines and speciality injectables, while also upgrading tablet press, coating and bottle line capabilities for solid oral dose manufacturing.

The company reaffirmed its three-year target to achieve $50 million in revenue by FY29, supported by expansion of existing strategic accounts across Australia, the US, Europe and APAC, new customer Acquisition initiatives targeting high-growth biotech clusters, and increased market visibility through targeted conferences. IDT was also awarded the Overall RNA Manufacturing Excellence Award and Best Emerging RNA CDMO Award at the Asia-Pacific RNA Excellence Awards 2026 in Singapore. Executive Chair Mark Simari described FY26 as a turning point for the company, noting it is tracking toward positive operating earnings in the current financial year.

Key Takeaways

IDT Australia's FY26 results reflect a marked narrowing of its earnings loss, supported by revenue growth across two of its three manufacturing verticals and a reduced cost base under the company's strategic reset. Management has outlined a $7 million capital investment program and a three-year target to reach $50 million in revenue by FY29. Investors will likely monitor delivery of the company's stated positive FY27 EBITDA target and progress in expanding its sterile and solid oral manufacturing capacity as key indicators of execution against this outlook.