Move Logistics Group says trading in the first quarter of FY26 showed further improvement, with cost reductions and efficiency gains lifting margins despite a weak economy.
In an update for the three months to September 30, the transport and logistics company says all divisions improved as planned excluding warehousing, which remains challenged. New business wins, productivity gains and the planned exit of two property leases are expected to aid warehousing through FY26.
Unaudited results showed the normalised EBT loss improved 68% on the prior comparable period, and 82% compared with the same quarter of FY24 spanning two years.
Gross margin was the highest in two years, reflecting the “cost-out and efficiency” programme embedded over the past year. Quarterly operating costs were about $3m lower than a year earlier. Group revenue fell 3.5% as the broader economy showed few signs of recovery.
Move says it is focused on lifting revenue and winning new accounts, and is positioned with a “rightsized” business, national network and lower cost base.
“I am encouraged by the continued positive momentum across the business — reflected in new customer wins, strong team engagement, and improving financial performance. While there is still work ahead, it is clear we are now firmly on the right track,” Move Logistics chief executive Paul Millward says.
“Our financial platform is stronger – costs are down, efficiency is up, and we have streamlined our network, providing a solid foundation for building real and sustainable success.
“Our focus on customer service is also delivering results. The feedback we are receiving from customers – and the confidence shown through new business – highlight the quality, capability and commitment of our people. We’re now moving from cost out to value creation and remain on track to return to positive normalised EBT in FY26.”
Shareholder meeting highlights
At the company’s annual meeting on October 30, chair Julia Raue said the board’s focus over the past year has been “transforming and strengthening” the business in difficult trading conditions. She said the Accelerate plan has recalibrated the organisation, driven profitable revenue and improved balance-sheet resilience, with most legacy issues resolved.
Management outlined:
- Freight & Fuel: momentum continued after a turnaround in FY25, with profitability returning and a long-term partnership with Z Energy underpinning performance.
- Warehousing: footprint rationalisation under way (site exits in Auckland and Christchurch; downsizing in Nelson from December) to align capacity and improve productivity and pricing.
- Specialist: solid pipeline in infrastructure and energy projects, including work in the Pacific Islands.
- International: softer freight-forwarding conditions, partly offset by improved trans-Tasman shipping under a time-charter model introduced in September last year.
Move says the operating backdrop remains challenging, but sentiment is showing early signs of improvement. Priorities for FY26 include lifting revenue, securing new accounts, and continuing efficiency gains while progressing from cost reduction to value creation. The company reiterates guidance that it remains on track to return to positive normalised EBT in FY26.
