ASX:GNC

GrainCorp Completes Sale of GrainsConnect Canada JV to Parrish & Heimbecker

GrainCorp (ASX:GNC) completed the divestment of its GrainsConnect Canada joint venture (JV) to Parrish & Heimbecker, following a joint strategic review with Zen-Noh Grain that determined a sale was the most value-accretive option, according to a Monday filing with the Australian bourse.The company recognized a AU$16 million loss on the sale, which remains subject to immaterial post-completion adjustments, the filing added.

GrainCorp's Through-The-Cycle Earnings Power Under Doubt Even as Fiscal 2027 EBITDA Estimate Unchanged, Jarden Says

GrainCorp's (ASX:GNC) fiscal 2027 earnings before interest, taxes, depreciation, and amortization (EBITDA) estimate was almost unchanged at around AU$217 million, but there is more skepticism than consensus on the firm's through-the-cycle earnings power, with the fiscal 2028 EBITDA estimate 16% and net profit after tax estimate 39% below consensus, Jarden said in a note on Tuesday.The Australian Bureau of Agricultural and Resource Economics and Sciences' (ABARES) first fiscal 2027 crop estimate east coast winter crop of 23.8 million metric tons is in line with expectations and consistent with an average crop size. If the El Niño phenomenon develops over June and July, creating soft levels of rainfall, then for fiscal 2027 there are downside risks to ABARES' forecast.The canola crop forecast is relevant for GrainCorp's nutrition and energy segment, with Jarden estimating it to account for 48% of the fiscal 2027 EBITDA estimate. ABARES' fiscal 2027 east coast canola crop estimate of 2.2 million metric tons is well below the fiscal 2021 to fiscal 2026 period but is impacted by a weak New South Wales forecast.The investment firm retained its neutral rating and AU$5.40 price target on GrainCorp.GrainCorp's shares gained about 2% in recent Wednesday trade.

Update: GrainCorp Posts Lower Fiscal H1 Earnings, Revenue; Reaffirms Fiscal 2026 Outlook; Shares Fall to Five-Year Low

(Updates with the stock movement in the headline and last paragraph.)GrainCorp (ASX:GNC) reported Thursday fiscal first-half earnings of AU$0.021 per share, down from AU$0.261 a year earlier.Analysts polled by FactSet expected earnings of AU$0.31.Revenue for the six months ended March 31 was AU$3.88 billion, compared with AU$4.09 billion a year earlier. Analysts surveyed by FactSet expected AU$4.08 billion.The agribusiness and processing company reaffirmed its fiscal 2026 guidance of underlying earnings before interest, taxes, depreciation, and amortization of AU$200 million to AU$240 million and underlying net profit after tax of between AU$20 million and AU$50 million.The board declared an interim dividend of AU$0.14 per share, unchanged from a year earlier, payable July 16 to shareholders on record as of July 2.GrainCorp shares fell more than 13% in recent Thursday trade to hit their lowest level since July 2021.

GrainCorp Posts Lower Fiscal H1 Earnings, Revenue; Reaffirms Fiscal 2026 Outlook

GrainCorp (ASX:GNC) reported Thursday fiscal first-half earnings of AU$0.021 per share, down from AU$0.261 a year earlier.Analysts polled by FactSet expected earnings of AU$0.31.Revenue for the six months ended March 31 was AU$3.88 billion, compared with AU$4.09 billion a year earlier. Analysts surveyed by FactSet expected AU$4.08 billion.The agribusiness and processing company reaffirmed its fiscal 2026 guidance of underlying earnings before interest, taxes, depreciation, and amortization of AU$200 million to AU$240 million and underlying net profit after tax of between AU$20 million and AU$50 million.The board declared an interim dividend of AU$0.14 per share, unchanged from a year earlier, payable July 16 to shareholders on record as of July 2.

Market Chatter: IFM Threatens to Scrap AU$3 Billion Sustainable Aviation Fuel Project

Australian investment company IFM Investors has threatened to scrap a proposed AU$3 billion sustainable aviation fuel project in Australia, unless the Australian government mandates airlines use the product, according to a Tuesday Bloomberg report, citing IFM's Global Head of Infrastructure Asset Management, Danny Elia.Elia said that IFM needs to see some finalization of Australia's policy framework on the subject as well as a demand-side mandate, the report added.IFM is working on the project under a memorandum of understanding with Ampol (ASX:AMP) and GrainCorp (ASX:GNC).Virgin Australia (ASX:VGN) and Qantas Airways (ASX:QAN) did not immediately respond to anemail request for comment.(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

Ord Minnett Downgrades GrainCorp to Accumulate from Buy; Price Target is AU$7.25