Ridley Corporation has declared its FY25 annual results, with resilient performance and strategic expansions. Statutory NPAT stood at $43.3 million, marking an 8.7% increase annually. EBITDA stood at $97.8 million, higher by 8.6% from FY24.
Operating cash flow was recorded at $93.0 million, at 97% conversion. A final dividend of 9.75 cents per share fully franked was declared, so that the full-year dividend stood at 15.25 cps. Ridley’s total shareholder return for FY25 was 42%, supported by the growth of earnings and the increase in the share price from 213.0 cents to 294.0 cents.
Ridley posted FY25 results with $43.3m NPAT, up 8.7%, and $97.8m EBITDA, up 8.6%.
How Did Business Segments Perform in FY25?
Ridley reported strong results in the majority of sectors. The Bulk Stockfeeds segment contributed to EBITDA $47.8m, compared to $44.4m. This increase was because of 11% growth in ruminant volume and a 3.2% growth in monogastric-feed volume.
Oceania Meat Processors (OMP), acquired in FY24, went beyond its integration expectations to deliver earnings synergies and scale benefits. The Packaged Feed and Ingredients (PF&I) recorded an EBITDA of $62.9 million, growing from $59.7 million, helped by a 7.5% volume increase in dry dog food and wins for new contracts.
Ingredient Recovery saw erosion in EBITDA, assisted by price declines in tallow and protein meal. Ridley Direct continued to grow as an online retail channel, thereby improving direct-to-consumer engagement.
Why Are These Results Significant for Ridley?
The Ridley Corporation FY25 report paints an image of a disciplined group towards its execution and possessing a sound strategy. Ridley retained a strong balance sheet despite acquisitions, with leverage at 0.6×.
The net debt had slightly improved to $64.7 million. Capital management remained disciplined, with millions paid to shareholders in dividends. The Wasleys mill was sold by the company, and a feedmill at Carrick in Tasmania was acquired.
The sustainability agenda also progressed considerably, with Ridley achieving success in 14 major priority areas, including reductions in emissions intensity and major renewable energy initiatives.
Ridley FY25 results: $97.8m EBITDA, $43.3m NPAT, $93m cash flow, 5.0c dividend
Ridley Strategic Growth FY25: What Were the Key Moves?
Strategic expansion defined FY25 for Ridley. The acquisition of Incitec Pivot Fertilisers’ distribution was announced in May 2025. This transaction is expected to complete in Q3 CY25, adding fertiliser as Ridley’s third business pillar alongside feed and ingredients.
The acquisition furthers Ridley’s agribusiness diversification and notionally upscale earnings. Management expects a temporary increase in leverage post-acquisition, nearer to 1.3×, but still within the target range.
The integration of OMP outperformed expectations, with early synergies aiding profitability. Ridley also nurtured avenues for innovation in Oceania Petfood Solutions to grab opportunities in pet nutrition.
What Risks and Challenges Were Highlighted?
The report notes risks such as commodity price volatility, supply chain disruptions, and threats of disease like avian influenza. Ingredient Recovery margins came under pressure with the declines in global tallow and protein prices.
Competition in packaged feed remains quite high, and it requires significant branding investment. Although Ridley’s fertiliser acquisition promises a substantial opportunity, integration risk and market conditions will be a crucial determining factor.
Management also cited climate and sustainability challenges, although some progress has been made in emissions targets.
How Will Ridley Drive Growth Beyond FY25?
Ridley F25 strategic growth initiatives encapsulate a more promising future for the Company. Fertiliser business integration creates diversification in revenue streams and an increase in market touch for Ridley.
Growth is underpinned by ongoing efficiency improvements, mill upgrades, and capacity expansion. Investment in digital platforms such as Ridley Direct is expected to benefit customer engagement.
Ridley has retained its attention on governance, safety, and culture, with renewal underway in the Board. Management thus articulated ambitions to build Ridley into a fully diversified agricultural services company.
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FAQs
Q1: The statutory NPAT of FY25 for Ridley?
A: Ridley reported statutory NPAT of $43.3 million, which was up 8.7% in FY24.
Q2: How did Ridley reward its shareholders in FY25?
A: The company had declared a final fully franked dividend of 9.75 cps, this making the full-year dividends 15.25 cps.
Q3: What strategic acquisition did Ridley announce in FY25?
A: Ridley made a strategic announcement for the acquisition of Incitec Pivot Fertilisers distribution, which is expected to be completed in Q3 CY25.
Q4: Which business saw the fastest growth?
A: The Bulk Feed & Ingredients segment performed well with an 11% increase in ruminant volumes and a 3.2% increase in monogastric volumes.
