First Take: FY26 Trading Update - Revenue/EBIT Guide Lowered

Goldman Sachs maintains a Sell rating on Brambles after the company lowered its FY26 guidance due to US repair capacity constraints and incremental supply chain costs. While earnings guidance was cut, the company announced a new US$400m buy-back and reaffirmed long-term margin targets.

Key Takeaways

• 1.Brambles downgraded its FY26 guidance due to US repair capacity constraints, leading to a US$60m earnings impact.
• 2.A new US$400m on-market share buy-back program was announced to commence following the current program's completion.
• 3.The company reaffirmed its FY28 margin expansion target of 3pts+ relative to the FY24 baseline.

Table of Contents

• Brambles (BXB.AX): First Take: FY26 trading update – Revenue/EBIT guide lowered, higher cash flow; further buyback announced; Sell
• Price Target Risks and Methodology - Brambles
• Disclosure Appendix
• Price target and rating history chart(s)
• Target price history table(s)
• Regulatory disclosures
• General disclosures

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