Orica's Best Earnings in 15 Years: Why ORI Shares Are Rising Today

Highlights

• Orica Limited was about 1.0% higher at AU$23.03 on Thursday 12 November 2026 after its FY26 results.

• Net profit after tax before significant items rose 9% to AU$589.7 million, while EBIT climbed 7% to AU$1,056.9 million.

• The board declared an unfranked final dividend of 35.5 cents per share, and the company guided to earnings growth in all three operating segments in FY27.

Orica Limited (ASX: ORI) shares moved higher on Thursday 12 November 2026 after the explosives and mining services group reported results for the year to 30 September. The stock was about 1.0% higher at AU$23.03 in intraday trade.

The company said EBIT of AU$1,056.9 million marked its highest earnings in more than fifteen years. Orica supplies explosives, digital tools and mining chemicals to miners worldwide.

Orica FY26 Profit and Revenue at a Glance

Sales revenue edged up 1% to AU$8,263.5 million, from AU$8,144.5 million a year earlier. EBIT rose 7% from AU$992.2 million, and the group EBIT margin widened from 12.2% to 12.8%. On a constant currency basis, Orica said EBIT grew 11%, as a stronger Australian dollar trimmed about AU$39 million from reported earnings.

Net profit after tax before individually significant items was AU$589.7 million, up from AU$541.1 million. After AU$325.5 million of significant items, statutory net profit came in at AU$264.2 million, up from AU$162.3 million.

Segment Earnings: Blasting, Digital and Mining Chemicals

Blasting Solutions, the core business, lifted EBIT 2% to AU$880.9 million. Demand for premium products helped, while lower Indonesian coal output and currency moves weighed.

Digital Solutions EBIT jumped 25% to AU$115.0 million, with its margin rising to 28.7%. Specialty Mining Chemicals EBIT also climbed 25%, to AU$126.3 million, helped by record sodium cyanide sales volumes and firm gold sector demand. Together, these two segments now provide nearly 23% of group earnings.

Orica Dividend, Cash Flow and Balance Sheet

The unfranked final dividend of 35.5 cents takes the full-year payout to 64.0 cents per share, up 12% and equal to a 50% payout ratio. The record date is the close of business on 18 November 2026, and the dividend is payable on 17 December 2026.

Net operating cash flow was AU$758.3 million, after AU$344.2 million of outflows linked to significant items. Leverage stood at 1.46 times, near the bottom of the 1.25 to 2.00 times target band.

Orica FY27 Outlook: Growth Guided Across All Three Segments

For FY27, Orica guided to earnings growth in Blasting Solutions, Digital Solutions and Specialty Mining Chemicals. In blasting, it cited uptake of premium products, cost savings and the Nelson Brothers acquisition, partly offset by weaker Indonesian thermal coal demand and planned plant shutdowns for maintenance.

The company put FY27 capital expenditure at AU$470 million to AU$500 million, excluding about AU$130 million for the Hunter Valley Hydrogen Hub.

What the Orica Result Means for ORI Shareholders

The FY26 numbers show a group leaning more on faster-growing digital and chemicals earnings while its blasting base holds steady. Currency swings, coal demand and planned plant shutdowns remain the main moving parts to track against the FY27 guidance.

Note- All data presented is based on information available at the time of writing.

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