Australian Agricultural Company Limited has acknowledged the effects of flood on a portion of its northern operations and, as a result, the financial impact of the Company has to be assessed thoroughly. The heavy rain that fell in north Queensland during the wet season from 2025 to 2026 has hit three properties, and the uncertainty regarding livestock, infrastructure, and earnings has increased. Thus, the floods in North Queensland in 2025 are already considered one of the biggest events for the cattle industry this season.
 Flooding impacts AACo properties across north-west Queensland during the 2025–2026 wet season. [Source: The Guardian]
What Areas Have Been Impacted By The Flooding?
The floods have hit three of AACo’s lands, which are Carrum, Dalgonally and the Canobie aggregation out of 27. These properties are in north-west Queensland, where heavy rain has caused a lack of access, and no complete evaluations have been made. AACo let it be known that the situation is difficult and constantly changing as the rainy season continues. The Company has about 456,000 cattle spread over its lands, and the three affected Gulf properties have about 55,000 cows, which is much less than during the flood of 2019. The firm has warned against making direct comparisons to 2019 because of differences in cattle valuations, operating practices, rainfall patterns, and seasonal timing.
How Is AAC Managing Safety And Animal Welfare?
AACo has made it clear that their number one concern is the health and safety of their workers and animals. At this point, all staff and families in the affected areas are said to be safe. The management team is constantly monitoring the conditions and taking measures to ensure the safety of the cattle and the protection of land and assets. They have also identified support for local communities as a priority. The Company mentioned that the mitigation efforts will be expanded as soon as access is restored; however, a full assessment of livestock and infrastructure impacts cannot yet be done reliably.
AACo prioritises staff safety and animal welfare amid ongoing flood response efforts. [Source: Four Paws in Australia]
AAC Operational Disruption Due To Floods Explained
The assessment of the operational disruption of the AAC caused by floods is still going on, with infrastructure access being a major limitation. Floods have hampered the movement of people and vehicles through the impacted areas, thus prolonging inspections and recovery planning. AACo has said that there is still a chance of more wet season impacts, and these could drag on the disruption. Until now, the Company has pointed out that its properties and cattle are mainly located in southern Queensland and the Northern Territory regions. These areas are still benefiting from good seasonal rainfall and thus the continuity of operations.
Can AAC Still Meet Supply Obligations?
AACo has announced that it is still in a position to meet the demands of the main markets as per its plan. The operations in the non-flooded areas are still in progress, which gives the supply chain flexibility. The geographical diversification has also played a positive role in minimising the immediate impact on the downstream side. The Company also reminded that, like in the case of the herd or infrastructure, it does not cover its losses from flooding events in the case of the herd or infrastructure. Management mentioned prohibitive costs as one of the reasons for the said practice, which is prevalent across the major cattle operations.
AACo maintains supply commitments as operations continue beyond flood-affected regions. [ Source: Co-operative News]
Financial Position Remains Strong Despite Uncertainty
The AAC financial impact assessment is still in progress, and the overall effect on earnings for the March 2026 financial year has not been decided. AACo has already communicated the magnitude of the impact as being material, although the balance sheet and overall financial position remain strong. Management said that further updates will be provided as soon as the detailed assessments of the affected properties are carried out. Investors and industry players are expected to keep a close eye on these disclosures as the situation becomes stable.
Also Read: Australian Cattle Industry Relief Strengthens Flood Response Efforts
FAQs
What properties were affected by the North Queensland floods in 2025?
Carrum, Dalgonally, and the Canobie aggregation in north-west Queensland were impacted.
How many cattle are on the flooded AACo properties?
Approximately 55,000 head of cattle are carried across the three affected properties.
Does AACo insure cattle against flood events?
No, AACo does not hold flood insurance for its herd or infrastructure due to high costs.
When will AACo provide a financial update?
An update will be released when further assessments of the impacted properties are available.
