Key highlights

  • Supply Network said the closure of the Strait of Hormuz raised diesel and lubricant costs and made sourcing harder in the second half of FY2026.
  • Multispares kept adding new customers, and a new Rosedale branch in North Auckland opened on 2 March 2026.
  • The company targets Revenue growth of around $50 million in FY2027.

On 21 October 2026, Supply Network Ltd (ASX:SNL) finished the session at $35.05, down 0.82%. The S&P/ASX 200 Consumer Discretionary [XDJ] ended at 3,741.90 (+0.34%, +12.50 points), the S&P/ASX 200 [XJO] at 8,831.30 (+0.16%) and the All Ordinaries at 8,956.60 (+0.14%) at 5:00 pm GMT+11. Supply Network is an Australian distributor of aftermarket parts for trucks, buses and trailers through its Multispares business.

What Supply Network does

Supply Network Limited distributes parts and accessories for heavy vehicles through its Multispares business, serving truck, bus and trailer operators across Australia and New Zealand. It operates distribution centres at Pemulwuy in Sydney and Truganina in Melbourne, plus a Hamilton distribution centre in New Zealand.

FY2026 market update

In its FY2026 full year market update, Supply Network said the first half operated in a relatively benign environment, which changed when hostilities in the Middle East closed the Strait of Hormuz just days after first-half results. That significantly increased diesel and lubricant costs and made it difficult to source and move products through the Middle East. The company said the effect was shared across road transport and logistics, and that Multispares continued to add customers and expand Business with established customers through the second half, with growth broadly based across geographies, segments, vehicle models and product groups.

New Zealand and systems investment

New Zealand catch-up Investment peaked in the second half, including a new branch at Rosedale opened on 2 March 2026 that is performing ahead of expectations, a racking expansion at the Hamilton distribution centre completed in June 2026 and steps toward closer Australia–New Zealand integration. In Australia, the company implemented several IT upgrades, including a browser-based sales interface, new Warehouse scanning app capabilities and a new ERP backbone, operating on the new systems since Easter in Australia and three weeks later in New Zealand. It also completed integration of the Pemulwuy and extended Truganina distribution centres.

FY2027 target

Supply Network has targeted revenue growth of around $50 million in FY2027 and referred to a Penrith branch, with a cost of around $9 million, planned to open in early FY2027.

Sector context

Consumer discretionary companies depend on household spending, travel, leisure and housing activity, and they are tracked through the S&P/ASX 200 Consumer Discretionary index, which closed at 3,741.90, up 0.34%, on 21 October 2026 alongside a 0.16% rise in the S&P/ASX 200 to 8,831.30. Parts distributors serving road transport are exposed to freight activity, diesel costs and supply chain disruption.

Risks and uncertainties

Fuel and lubricant costs rose after the Strait of Hormuz closure, and sourcing through the Middle East became harder. The company has just moved to a new ERP system, which carries implementation risk, and New Zealand investment adds costs. The update does not give headline profit figures, and customer demand, freight activity and supply chains can affect outcomes.

Catalysts to watch

Items to watch include the Penrith branch opening, the performance of the new systems and the FY2027 revenue growth target.

Wrapping up

Supply Network’s FY2026 update described a second half affected by fuel costs and supply disruption, alongside new branches and systems. The FY2026 result will provide the formal figures.