Primary Exports Boom Helps Lift PGW Half-Year Earnings

PGG Wrightson (PGW), a leading provider to the agriculture sector, has reported a solid half-year result.

The listed company’s earnings before operating interest, taxes, depreciation, and amortisation (EBITDA) for six months ending December 31, 2025, reached $45.7 million, up $4.4m or 11% over the same period in 2024.

Operating revenue topped $619.4 million, up $49m or 9%. Net profit after tax is $17.3 million - up $1.3 million or 8%.

PGW declared an interim dividend of 4.5 cents per share.

PGW chair, John Nichol says the improved performance reflects both pleasing operating execution and a generally supportive market environment across the export sector for New Zealand’s primary producers.

The first half was characterised by favourable commodity pricing across several key segments for PGW’s customers. Positive export pricing for kiwifruit and apples resulted in good demand for PGW’s products and advisory services. By contrast, the viticulture and arable sectors experienced weaker demand.

Read More:

• Wools of New Zealand and PGG Wrightson team up to boost wool supply chain efficiency
• Nichol is new PGW chair
• Board upheaval at PGG Wrightson

Nichol says red meat markets were particularly strong, driven by tight global supply and resilient offshore demand. Improved on-farm profitability translated into demand for PGW’s livestock services, pasture renewal, agronomy, and animal health. Dairy pricing remained supportive, providing confidence and cashflow stability for dairy farmers. Wool pricing also improved during the period.

The buoyant rural real estate market contributed positively, reflecting improved confidence across the rural property sector generally.

He says against this backdrop, PGW delivered improved performance. PGW invested in strategic initiatives designed to strengthen its market position and enhance customer value.

Commenting on the outlook, Nichol noted that the operating environment is expected to continue to be predominantly positive and present both opportunities and challenges for PGW and the wider sector.

“Overall conditions across agriculture remain favourable, with most parts of the sector performing well, supported by firm global demand and strong commodity pricing,” he says.

The red meat market remains a particular source of strength, underpinned by constrained global supply and elevated pricing. Wool has also shown renewed momentum, with improving demand supporting greater price stability. These conditions support positive returns and underpin farmer confidence.

Horticulture continues a moderately steady expansion, led by kiwifruit and apples. Viticulture and arable cropping remain the key exceptions, with subdued demand continuing to weigh on grower confidence and investment decisions.

Nichol says that confidence in the rural real estate market is expected to continue, supported by stabilising dairy profitability and lower interest rates.

“Broader economic indicators are encouraging. A softer New Zealand dollar is benefitting exporters, although this is partially offset by higher imported input costs.

“Together, these trends contribute positively to farm incomes and support an optimistic outlook for the rural servicing sector. PGW is well placed to support its farmer and grower customers and to capture opportunities arising from the forecast export demand.”