Source: Kapitales Research

Highlights

• Revenue surged 92% quarter-on-quarter to AU$1.1 million, driven by increased SeaFeed™ adoption.
• Strategic partnerships, including global fashion brand Theory, highlight expanding commercial applications.
• Cattle under agreement increased to 131,000, reflecting strong scaling momentum across customer base.

Sea Forest Limited (ASX: SEA) gained 3.056%, with its share price rising by AU$0.069 to AU$2.360. The uptick follows the company’s March 2026 quarterly update, which highlighted strong revenue growth, expanding commercial agreements, and increasing global demand for its methane-reducing feed solutions.

Strong Revenue Growth Signals Commercial Traction

The company reported quarterly revenue of AU$1.1 million, representing a 92% increase compared to the previous quarter. This growth reflects rising adoption of SeaFeed™ across its customer base, with increasing supplementation volumes supporting revenue expansion.

Strategic Partnerships Expand Market Reach

Sea Forest continues to strengthen its commercial positioning through partnerships with global brands. Notably, collaboration with fashion group Theory led to the launch of a low-carbon wool collection, demonstrating the application of SeaFeed™ beyond traditional beef markets and into broader supply chains focused on sustainability.

Scaling Agreements Drive Future Growth

The company reported 118,000 cattle under agreement as of quarter end, increasing to 131,000 post-quarter following new agreements with Avondale Ag and New Agriculture. These agreements also open pathways to significantly larger cattle systems, including potential expansion into a 200,000-head grazing network.

Financial Position Supports Expansion Strategy

Sea Forest ended the quarter with AU$8.4 million in cash and an aggregate liquidity position of AU$27.4 million. While operating cash outflows stood at AU$1.1 million, this marked a 44% improvement from the prior quarter, indicating better cost management as the business scales.

Policy Tailwinds Strengthen Long-Term Outlook

Supportive government initiatives, including prioritisation of methane-reduction methods, are expected to enhance the commercial case for SeaFeed™ adoption. This regulatory backing, combined with growing international engagement, positions the company for continued growth.

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

Disclaimer for Kapitales Research

The materials provided by Kapitales Research, including articles, news, data, reports, opinions, images, charts, and videos ("Content"), are intended for personal, non-commercial use only. The primary goal of this Content is to educate and inform readers. This Content is not meant to offer financial advice, nor does it include any recommendation or opinion that should be relied upon for making financial decisions. Certain Content on this platform may be sponsored or unsponsored, but it does not serve as a solicitation or endorsement to buy, sell, or hold any securities, nor does it encourage any specific investment activities. Kapitales Research is not authorized to provide investment advice, and we strongly advise users to seek guidance from a qualified financial professional, such as a financial advisor or stockbroker, before making any investment choices. Kapitales Research disclaims all liability for any direct, indirect, incidental, or consequential damages arising from the use of the Content, which is provided without any warranties. The opinions expressed by contributors or guests are their own and do not necessarily reflect the views of Kapitales Research. Media such as images or music used on this platform are either owned by Kapitales Research, sourced through paid subscriptions, or believed to be in the public domain. We have made reasonable efforts to credit sources where appropriate. Kapitales Research does not claim ownership of any third-party media unless explicitly stated otherwise.

Customer Notice:

Nextgen Global Services Pty Ltd trading as Kapitales Research (ABN 89 652 632 561) is a Corporate Authorised Representative (CAR No. 1293674) of Enva Australia Pty Ltd (AFSL 424494). The information contained in this website is general information only. Any advice is general advice only. No consideration has been given or will be given to the individual investment objectives, financial situation or needs of any particular person. The decision to invest or trade and the method selected is a personal decision and involves an inherent level of risk, and you must undertake your own investigations and obtain your own advice regarding the suitability of this product for your circumstances. Please be aware that all trading activity is subject to both profit & loss and may not be suitable for you. The past performance of this product is not and should not be taken as an indication of future performance.

Kapitales Research, Level 13, Suite 1A, 465 Victoria Ave, Chatswood, NSW 2067, Australia | 1800 005 780 | info@kapitales.com.au