Mainfreight Limited Analysis

Overview

The company's origins go back to 1978, with Mainfreight listing in June 1996 following the sale of 60% of the shares on issue by founder Bruce Plested and Neil Graham at 96c each.

Mainfreight is a specialist freight forwarding and distribution business. It also has interests in managed warehousing, hazardous substances transportation, air & ocean international freight, full truckload freight and global supply chain logistics. Based in Auckland, the Group has domestic transportation and managed warehousing in NZ, Australia, the Americas and Europe. It also offers air & ocean international transportation in NZ, Australia, the Americas, Europe and Asia, supported by agents in other worldwide locations, and wholesale air & ocean freight services in USA.

Mainfreight’s expansion in the late 1990’s included a series of acquisitions including a 75% stake in Lep International (NZ), Lep Air International in Australia and Australian express transport operator K & S Express plus Express Lines, an Australian air & ocean operator with interests in Asia.

In July 2003 Mainfreight launched a takeover bid for Owens Group in New Zealand, ending up with a 79.6% share after Toll Holdings acquired a minority position. In May 2005, Mainfreight completed a full takeover of Owens Group when Toll sold its 11.8% stake.

In April 2007 Mainfreight sold Pan Orient Project Logistics, and its 75% shareholding in LEP (New Zealand and Australia) for over AU $83m.

The 2008 year was significant for Mainfreight following a US$53.7m acquisition of US based Target Logistics, a freight forwarding and logistics company. Mainfreight also acquired the remaining interests in their Asian operations giving them 100% ownership.

In April 2011 Mainfreight made its largest acquisition with the €110.0m acquisition of Europe based (Netherlands) Wim Bosman Group. The European operations have now been rebranded as Mainfreight.

In the 2025 financial year Mainfreight's revenue was NZ$5.24 billion, with 337 branches in 27 countries, and 11,130 team members.

Performance

The following information was extracted from Mainfreight Limited's half year results, released on 12 November 2025:

Commentary

Mainfreight is pleased to confirm our half-year financial results to 30 September 2025.

Group Result Summary HY26 v HY25

Revenue NZ$2.61 billion up 2.1%

Profit before tax (PBT) NZ$131.72 million down 18.3%

Net profit NZ$93.38 million down 18.5%

• After minimal foreign exchange impacts, Group Revenue is down 1.4%, PBT is down 19.4% and Net profit is down 19.7%.

• Operating cash flows increased from NZ$191.7 million to NZ$209.6 million.

• An interim dividend of 85 cents per share has been set by the Directors.

• The prior half-year result included NZ$98.8 million revenue and NZ$12.4 million PBT from project activity now discontinued.

Group Operating Cash Flows

Operating cash flows were NZ$209.6 million, up from NZ$191.7 million in the prior comparative period. These improvements are a consequence of improved debt collections.

Net funds (debt) increased to (NZ$68.7 million) from NZ$14 million as at Year End 2025.

Debt facilities total NZ$511 million, of which NZ$339 million remains undrawn.

Net capital expenditure totalled NZ$102.7 million for the half year period to

September 2025. Expenditure on property was NZ$67 million. Capital expenditure is expected to be $215.4 million in the year to 31 March 2026.