The Mercury NZ Ltd (ASX: MCY) share price is in focus today after the company posted HY2026 results showing a 28% lift in EBITDAF to NZ$537 million and a 130% jump in net profit after tax (NPAT) to NZ$20 million, despite a 5% fall in total revenue.
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What did Mercury NZ report?
- Revenue from continuing operations: NZ$1,664 million, down 5% from the prior period
- EBITDAF: NZ$537 million, up 28% on HY25
- Net profit after tax (NPAT): NZ$20 million, up 130% on HY25
- Interim dividend: 10 cents per share, up 4% on HY25 (record date 5 March, payment 1 April)
- Net tangible assets per share: $3.33, up from $3.26 a year ago
What else do investors need to know?
Mercury says it reinvested half of its HY26 earnings—around NZ$270 million—into new and existing generation assets, with all three of its major renewable projects progressing on schedule and within budget. The company's new Ngā Tamariki Geothermal Station unit began operations in January, while the Kaiwera Downs Stage 2 and Kaiwaikawe wind farms are both expected to start generating during 2026 and 2027.
Mercury continues to focus on supporting its customers by helping them manage energy costs and offering targeted support where needed. The company's Dividend Reinvestment Plan (DRP) remains open for shareholders, offering a 2% discount.
What did Mercury NZ management say?
Mercury Chief Executive Stew Hamilton said:
Our disciplined strategic execution is delivering a strong performance today, while enabling us to invest significantly in new renewable generation for New Zealand, helping meet future demand growth and build resilience.
What's next for Mercury NZ?
Looking ahead, Mercury's full-year EBITDAF guidance of NZ$1 billion remains on track, helped by higher renewable generation and cost management. The company also plans to invest NZ$590 million in hydro refurbishment over the next decade, building on the completed upgrade of the Karāpiro Hydro Station.
Mercury's long-term strategy is to add 3.5 TWh of new renewable generation by 2030, supporting New Zealand's transition and aiming to power an extra 430,000 homes. Management says the strong balance sheet and prudent risk settings underpin continued investment in high-quality renewable assets and sustainable shareholder returns.
Mercury NZ share price snapshot
Over the past 12 months, Mercury NZ shares have declined 6%, trailing the S&P/ASX 200 Index (ASX: XJO) which has risen 9% over the same period.
