Origin Enterprises plc

FY26 group revenue was EUR 2.1 billion, up 2.3% constant currency. Group wholly owned operating profit was EUR 89.5 million, up 0.5% constant currency, while overall operating profit was just over EUR 100 million including associates and joint ventures. Overall EPS was EUR 0.5351, in line with Q3 guidance and up 0.4% constant currency. Group operating margin was 4.2%, down 10 bps, while Living Landscapes margin was 8.9%. Free cash flow was EUR 43.3 million, with 87.7% conversion. Net debt at year-end was EUR 77.8 million, up EUR 7 million year over year, equal to 0.71x EBITDA. The company proposed a final dividend of EUR 0.1415, bringing the full-year dividend to EUR 0.1730, unchanged from last year. Management said they are comfortable with the range of analyst expectations, do not usually provide formal outlook until the Q3 trading update, and said trading in the first 6 weeks of FY27 was in line with expectations with strong early seed, fertilizer, and Living Landscapes sales.

Sean Coyle framed FY26 as a resilient year despite drought, weak farm economics, and supply-chain disruption, highlighting a more diversified group than five years ago. He emphasized that Living Landscapes now accounts for about 20% of group operating profit, the portfolio is better balanced across geographies, and the business is investing in technical differentiation, higher-value products, and integrated solutions across the group. His tone was confident and upbeat, but grounded in the reality of tough agricultural conditions and customer credit stress in some markets.

Colm Purcell focused on the quality of earnings, cash, and balance sheet strength. He cited revenue of EUR 2.1 billion, operating profit of EUR 89.5 million, EPS of EUR 0.5351, free cash flow of EUR 43.3 million, and 87.7% conversion, while noting net debt of EUR 77.8 million and finance costs of EUR 22.6 million, up EUR 2.6 million due to higher average debt and working capital. He also pointed to a EUR 26.4 million working capital outflow, a EUR 5.1 million payment relating to previously withheld sanctioned-party balances, and extension of the EUR 440 million revolving credit facility to 2031. On capital allocation, he said EUR 172 million was returned to shareholders over the 5-year cycle and that the company will update its strategy and 5-year ambitions on November 17.

Analysts pressed on farmer sentiment, crop-planting intentions, consolidation among customers, Living Landscapes M&A, working capital, CBAM, and credit risk in Romania and Brazil. Management said farm sentiment has improved since the summer, planting trends are shifting toward winter cropping in places like Romania and Poland, and the UK may see more oilseed rape area; they also said Living Landscapes has an active M&A pipeline with diligence underway on smaller and larger deals, but timing is uncertain and multiples have been broadly flat to softer. On cash, Colm said he expects a small working-capital outflow next year but will manage it closely; on credit, he said Romania and Brazil remain the toughest markets, but insurance, guarantees, and mortgages are being used to protect receivables. Management also said recurring JV profit should not be expected to stay at this year’s unusually strong level because drought drove exceptional feed demand.