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Synlait Milk Limited (ASX:SM1)

ALERT: Price-sensitive ASX Announcement for SM1
Current share price for SM1 : $0.300 -0.325 (-52%)+
Announcement
Release
29 Sep 2025 7:30AM
Price at Release
$0.625
Full Release
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Summary
Synlait Milk Limited has announced significant financial and strategic changes in their Full Year 2025 results. The company has entered into a binding agreement to sell its North Island assets to Abbott, yielding approximately NZ$307 million to reduce debt and strengthen their financial position. This divestment marks a pivotal shift from survival to planning for a robust future. The financial results for the year show an adjusted net profit after tax of $0.8 million, with a significant reduction in net debt by 55%. The company also reported a 29% increase in their Advanced Nutrition business gross profit and a 28% uplift in their Consumer business unit gross profit, driven by expansion into Thailand and Vietnam. Synlait's strategic focus for 2026 will be led by the new CEO, Richard Wyeth, aiming to enhance performance further.
Key Points
  • Synlait to sell North Island assets to Abbott for NZ$307 million.
  • Sale proceeds to significantly reduce Synlait's debt.
  • FY25 adjusted net profit after tax at $0.8 million.
  • Net debt reduced by 55% from $551.6 million to $250.7 million.
  • Advanced Nutrition business gross profit increased by 29%.
  • Consumer business unit gross profit increased by 28%, driven by new markets.
  • New record milk price for 2024/2025 at $10.16 per kilo of milk solids.
  • New CEO Richard Wyeth to focus on improving performance in FY26.
IMPORTANT NOTE: This information is autogenerated and has not been reviewed for accuracy or completeness. You should refer to the full announcement here for further information.