tiprankstipranks
Advertisement
Advertisement

Bubs Australia lifts earnings and guidance on surging U.S. infant formula demand

Story Highlights
  • Bubs Australia delivered strong first-half FY26 growth, boosting revenue and EBITDA and upgrading full-year earnings guidance.
  • Surging U.S. sales offset challenges in China, Australia and other regions as Bubs rebuilds inventory and refines its global portfolio.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
Bubs Australia lifts earnings and guidance on surging U.S. infant formula demand

Claim 55% Off TipRanks

Bubs Australia Ltd. ( (AU:BUB) ) has issued an announcement.

Bubs Australia reported a strong first-half fiscal 2026 result, with revenue rising 14% to $55.5 million and underlying EBITDA jumping to $4.4 million, driven largely by higher-margin U.S. sales and improved channel mix. The company maintained a solid balance sheet with $9.9 million in cash and $20 million in undrawn debt facilities, while rebuilding inventory to support demand and upgrading full-year guidance to $120–$125 million in revenue and $4–$6 million in EBITDA.

Regionally, U.S. revenue surged 48% to $34.2 million as major retailers expanded store counts and ranges, while China saw strong underlying demand but softer reported revenue of $7.5 million due to temporary inventory effects and short-term supply shortages. Australia faced stock constraints and competitive pressures, and Rest of World growth was hampered by regulatory hurdles and limited product availability, even as Bubs continued to rationalise its product portfolio and strengthen leadership to support its global growth strategy.

The most recent analyst rating on (AU:BUB) stock is a Hold with a A$0.13 price target. To see the full list of analyst forecasts on Bubs Australia Ltd. stock, see the AU:BUB Stock Forecast page.

More about Bubs Australia Ltd.

Bubs Australia Ltd. is an Australian infant nutrition company focused on premium infant milk formula and related dairy-based products. The business has a growing international footprint, with the U.S. as its largest and most profitable market, alongside operations in China, Australia and selected Rest of World markets including Japan and Vietnam.

Average Trading Volume: 635,161

Technical Sentiment Signal: Sell

Current Market Cap: A$107.3M

Learn more about BUB stock on TipRanks’ Stock Analysis page.

Disclaimer & DisclosureReport an Issue

Looking for investment ideas? Subscribe to our Smart Investor newsletter for weekly expert stock picks!
Get real-time notifications on news & analysis, curated for your stock watchlist. Download the TipRanks app today! Get the App
1