Move Logistics Group is reporting a return to positive normalised earnings before tax (NEBT) for the year ended June 30, 2026, meeting the financial target it set for the year.
Investors welcomed the update, with the NZX-listed company’s share price rising from 17.4 cents to 20 cents following the announcement, an increase of about 15%.
Based on preliminary unaudited results, Move says the performance marks another step forward in its New Horizons four-year transformation programme, which began in June 2024.
The company reported revenue growth with momentum building throughout the year, while three of its four business divisions delivered a profit. Gross margin dollars and gross margin percentage both improved, borrowings and net debt were reduced, and the business returned to generating positive free cashflow.
The Freight & Fuel division returned to positive earnings as revenue growth accelerated, while the Specialist division recorded a year-on-year earnings improvement as major projects commenced during the second half of the financial year. The International division also posted a material year-on-year earnings uplift, driven by its Oceans business.
Warehousing remained below expectations, with Move saying structural cost reductions have now been completed and management’s focus has shifted to driving top-line growth to restore profitability.
Chief executive Paul Millward says FY26 represents an important milestone for the company.
“FY26 marks an important milestone for Move as we delivered our financial target of positive normalised earnings and further strengthened the business.
“Today, Move is a leaner, more capable organisation with a cost base and network better aligned to market conditions and well positioned for the next phase of growth. The structural benefits of the transformation are being realised, with revenue growth and continued cost optimisation resulting in improved positive earnings.
“FY26 has been marked by an inconsistent economy and intense competition. Against that backdrop, delivering an increase in revenue alongside positive earnings (NEBT) represents an important achievement.”
Move says it continued to manage capital prudently during the year, reducing net debt, improving free cashflow and carefully managing capital expenditure. A new BNZ invoice finance facility, due to commence in November, is expected to reduce finance costs and optimise working capital.
The company says it remains focused on its New Horizons roadmap despite ongoing uncertainty around the timing and pace of the economic recovery.
Move will release its audited FY26 results and host an investor call on August 25.
