The LGI Ltd (ASX: LGI) share price is in focus as the company delivered a 17% lift in net revenue to $39.8 million and a 35% jump in net profit after tax (NPAT) to $8.8 million for FY26.
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What did LGI report?
- Net revenue of $39.8 million, up 17% versus prior year
- Statutory and underlying EBITDA of $21.8 million, up 26%
- NPAT of $8.8 million, up 35%
- Biogas flows reached 170.2 million m³, up 33%
- Renewable energy generation totalled 140.8 GWh, up 29%
- Fully-franked total dividend of 2.6 cents per share, up 4%
What else do investors need to know?
LGI expanded its emissions reduction footprint by launching eight new carbon abatement projects during FY26, growing its contracted site portfolio by 9% year on year. The company also completed a $56.3 million capital raising, boosting its high-conviction project pipeline to exceed 80MW in capacity.
LGI renegotiated and expanded its debt facility to $82.5 million, a 66% increase over the previous limit, providing additional balance sheet flexibility. Importantly, its operational platform delivered a realised electricity price around 35% above the market average, highlighting strong risk management and demand for its offering.
What did LGI management say?
Chief Executive Officer Jarryd Doran said:
In FY26 we outperformed all our key operational drivers with year-on-year biogas recovery increasing by 33%, ACCU's created increasing 18%, and a 29% increase in renewable energy from our fleet of power stations.
In summary, the Company's strong operational performance was reflected in our financial results whereby we increased Net Revenue by 17%, and our Underlying EBITDA increased approximately 26%, delivering against our previously stated guided range.
Overall, FY26 was an exceptional team result, and testament to our strong business model. In particular, we demonstrated our ability to flex ACCU creation volumes, helping mitigate the electricity market dynamics observed throughout the year.
Looking forward, our efforts during the year in registering and commencing carbon abatement across 8 new sites lays important foundations for continued growth. Together with our completed capital raising in October 2025, we look forward to continuing to deliver against our strategy of expanding our pipeline of generation capacity to beyond 80MW.
What's next for LGI?
LGI is targeting further growth, with construction underway on its Canberra and Belrose battery projects set to boost total managed capacity to at least 45MW in FY27. Management expects biogas and carbon credits to deliver around 10% compound annual growth for the next three years, and is focused on rolling out flexible, scalable renewable energy projects.
The company is continuing to progress several development approvals and grid connections for high-conviction pipeline projects. With its enhanced capital base and expanded debt facility, LGI aims to execute on its strategy to reach more than 80MW of renewable energy capacity.
LGI share price snapshot
Over the past 12 months, LGI shares have declined 39%, trailing the All Ordinaries Index (ASX: XAO).
