Key Highlights

  • Revenue fell 11.3% to $1,432,082, and the loss after tax attributable to members was $3,751,367, against $3,723,830.
  • Cash rose to $7,253,956 from $4,701,017 following a $7 million Equity raising, while operating cash outflows rose 11.5% to $3,377,737.
  • A feedlot trial of more than 10,000 cattle and a first large-scale Supply agreement with Ravensworth Feedlot are described as commercial milestones, with no Revenue figures disclosed.

Terragen Holdings Limited (ASX:TGH), an Australian agricultural biotechnology company applying proprietary microbial technology to animal health, productivity, crop performance and soil health, released its Appendix 4E and Annual Report for the year ended 30 June 2026. The report was signed on 25 August 2026 and audited with an unqualified opinion.

Financial results

Revenue from ordinary operations was $1,432,082, down 11.3% from $1,615,253. The loss after tax attributable to members was $3,751,367, up 0.7% from $3,723,830, and the net loss attributable to members was $3,757,196. Net tangible assets per ordinary security were 1.06 cents, against 1.13 cents. No dividends were paid or declared.

Cash flow and funding

Net cash used in Operating Activities rose 11.5% to $3,377,737 from $3,030,400, and investing outflows were $176,704. Financing activities provided $6,115,894, including a $7 million equity raising completed during the year. Net cash increased $2,561,453, and cash and cash equivalents were $7,253,956 at 30 June 2026 against $4,701,017.

Commercial validation

The company says FY26 shifted from product development and launch towards commercial validation and broader adoption. Key milestones were the start of a major trial of Terragen Probiotic Ultra for Ruminants at Mort & Co's Grassdale feedlot involving more than 10,000 cattle, supported by Meat & Livestock Australia Donor Company, and a first large-scale supply agreement with Ravensworth Feedlot in May 2026 covering Terragen Probiotic for Ruminants and Great Land Plus. Terragen does not disclose the value of the Ravensworth agreement.

International and plant products

In Canada, permits allowed an Agriculture and Agri-Food Canada feedlot study to begin, with Phase 1 completed and Phase 2 progressing under replicated commercial feedlot conditions. The company also continued work on Manufacturing pathways and regulatory access in Canada, the United States and Brazil. Great Land Plus delivered a 12% Yield improvement in an independent commercial-scale maize silage assessment, Naturalift was launched in the Australian home garden market, and a first companion animal probiotic advanced towards commercialisation.

FY27 priorities

Terragen's FY27 priorities are driving adoption through the Ravensworth agreement, the Grassdale trial and broader feedlot engagement, advancing Canadian trials, regulatory approvals and North American partnerships, and broadening revenue through Great Land Plus, Naturalift and companion animal opportunities. The company states that its focus is converting validation and trials into sustainable revenue growth, which has not yet occurred, as reflected in the lower FY26 revenue.

Income statement detail

Cost of sales was $582,959 against $823,021, a fall larger than the decline in revenue. Revenue fell $183,171 while cost of sales fell $240,062, though the Appendix 4E summary does not break out gross margin. The company's strategy shifted during the year from product development and launch to commercial validation, and the report notes the Board added a non-executive director, Paul Whimp, on 8 May 2026.

Product and trial pipeline

Terragen's product lines include Terragen Probiotic for Ruminants, Great Land Plus for plants, Naturalift for home gardens and a companion animal probiotic in development. It continues a collaboration with QUT and Food Agility on next-generation microbial solutions. The report notes the company is exposed to seasonal revenue fluctuations and is working to reduce that exposure by expanding into new markets.