Mayank Bansal, CFA
Mayank Bansal is a CFA Charterholder and heads the Equity Research team at Kapitales Research, with over 5 years of experience analysing global equity markets. He leads fundamental, data-driven research combining rigorous financial analysis with macro trends.
Turners Automotive Group Reports Record FY26 Revenue and Targets NZ$100 Million Profit by FY31
Highlights:
Turners Automotive Group Limited (ASX: TRA) outlined its financial performance, expansion strategy and business outlook in its 2026 Annual Meeting presentation dated 19 August 2026. The New Zealand-based automotive group reported record revenue for FY26 despite challenging consumer conditions and highlighted its diversified business model as a key source of resilience.
FY26 Financial Performance Strengthens
Turners reported revenue of NZ$451.2 million for FY26, representing a 9% increase from the previous financial year. Normalised earnings before interest and tax climbed 14% to NZ$70.6 million, while reported net profit before tax increased 3% to NZ$55.7 million. Reported net profit after tax stood at NZ$38.2 million, down 1% year-on-year.
After excluding a NZ$7.47 million intangible impairment associated with EC Credit Control, normalised net profit before tax reached NZ$63.2 million, up 16%. Normalised net profit after tax increased 18% to NZ$45.6 million, and earnings per share rose 16% to 50.4 cents.
The company declared a final dividend of 9.0 cents per share, taking its total FY26 dividend to 33.0 cents per share, fully imputed. This represented a 14% increase on FY25 and continued its record of dividend growth.
Business Divisions and Expansion Plans
The presentation highlighted stronger contributions from automotive retail, finance and insurance, which offset a modest decline in credit management. Automotive retail benefited from improved trading conditions in the second half of FY26, alongside inventory management and pricing initiatives. Revenue from damaged and end-of-life vehicles increased 10%, while trucks and machinery revenue grew 8%.
The finance division also gained momentum, supported by market-share growth, consumer lending and improved operating leverage. Management reported that the loan book expanded by 7.5% during the first four months of FY27, with arrears remaining resilient.
Turners is continuing to expand its physical network, with new and replacement branches planned across locations including Auckland, Tauranga, Whanganui, Hastings, Hamilton and Drury. The company expects these developments to support future earnings, although several projects are scheduled for FY28.
Outlook and Profit Targets
Management retained its FY27 net profit before tax target of NZ$65 million, while acknowledging that fuel-price pressures and weaker consumer confidence could affect vehicle sales and margins. The company also reaffirmed its target of NZ$100 million in net profit before tax by FY31, supported by organic growth and selected expansion opportunities.
Conclusion
Turners Automotive Group's FY26 results demonstrated growth in revenue, underlying profitability and dividends despite economic uncertainty. Its diversified earnings base, expanding finance business and branch development programme remain central to its longer-term growth strategy.
Note: All data presented is based on information available at the time of writing.
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