Fletcher Building (FBU.AX,FBU.NZ) said its fiscal 2026 performance has been relatively stable and EBIT is expected to be between NZ$375 million and NZ$380 million, excluding discontinued items, and including approximately NZ$40 million of property-related earnings. The Group said rising fuel costs and broader cost inflation are leading to delays and, in some instances, cancellations of new projects. The Group noted that, if sustained, this trend is likely to weigh on Group performance in the first half of fiscal 2027.
Fletcher said it will have significantly reduced its net debt following the settlement of the Construction division divestment and the other completing property sales, and is forecasting to be, as at 30 June 2026, marginally above the middle of its NZ$400 million - NZ$900 million net debt target range. Fletcher has notified Moody's that it wishes to withdraw its credit rating. Fletcher will continue to target investment grade credit metrics.
Fletcher has previously announced six transactions in the second half of fiscal 2026, with three already settled, two settling before the end of fiscal 2026 and the remaining transaction expected to settle in the first half of fiscal 2027. Together, these deals are expected to contribute approximately NZ$450 million of net cash proceeds in the second half of fiscal 2026 which will be applied to debt reduction.
Fletcher Building is trading at NZ$3.22, down 0.62%.
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June 12, 2026 17:14 ET Major central bank action was the focus this week in economic news. The European Central Bank became the first major central bank to move in response to the rising inflationary pressures in the backdrop of the conflict in the Middle East. In North America, the U.S. inflation and trade data as well as Canada’s central bank decision gained attention. The Chinese trade data was the main news in Asia.