Fleetwood Corporation reported a 44.1% return on capital employed for fiscal 2026, driven by a portfolio reset that included the closure of its Smithfield NSW manufacturing facility and the exit of unprofitable segments despite a 6% decline in underlying earnings.
Underlying EBIT totaled $35.6 million, down from the prior year, while reported EBIT stood at $6.0 million after restructuring costs of $29.6 million, including $15.4 million tied to the Smithfield closure. Revenue fell 6% to $475.0 million, though free cash flow increased 33% to $35.9 million. The company ended the year with $61.5 million in cash and no debt, supported by $75.0 million in bank guarantee facilities.
The Community Solutions division delivered a 28% rise in EBIT to $50.0 million, supported by 96% occupancy at Searipple Village in Karratha and a 22% revenue increase to $93.8 million. The company invested $4.5 million in guest facility upgrades at Searipple and guided FY27 occupancy to a range of 82–92%. Fleetwood also agreed to acquire Red Dog Village in Karratha for $20 million, a 2,169-room transient worker accommodation facility expected to contribute $10–20 million in annual EBIT once fully operational. The Karratha market remains supported by a project pipeline exceeding $30 billion, with a forecast shortage of at least 1,500 transient worker rooms through FY33.
Building Solutions posted an underlying EBIT loss of $8.7 million, down from a $11.0 million profit in the prior year, as revenue declined 9% to $323.5 million. The Smithfield facility closure is expected to yield annual cost savings of $8–9 million starting in Q2 FY27. The division’s order book strengthened to $156 million as of June 2026, up $56 million year-over-year, with a tender pipeline exceeding $200 million. Approximately 65% of revenue is recurring, and management expects revenue growth of more than 5% in FY27, with the first half forecasted to be breakeven to slightly positive.
Fleetwood exited its RV Solutions segment, which posted an underlying EBIT of $1.7 million in FY26, an improvement from a $2.8 million loss in the prior year. The Northern RV business was sold for $4.8 million in February 2026, and the Camec division was sold for $9.5 million in July 2026. Combined with tax asset realizations of $4.0 million in FY27 and FY28, the divestments generated total cash inflows of $18.3 million.
Capital management included a final dividend of 9.5 cents per share, bringing the full-year payout to 19.0 cents per share, fully franked, down from 25.0 cents in FY25. The company returned $21.6 million to shareholders in FY26, comprising $17.4 million in dividends and $4.2 million from a share buyback that canceled 2.5 million shares. CFO Cate Chandler noted the board aimed to avoid penalizing shareholders for strategic decisions aimed at strengthening the business, while CEO Andrea Pidcock described FY26 as a year of decisive action laying the groundwork for long-term earnings growth.
