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Retail Food Group Secures New Debt Facility, Cuts Costs and Backs FY26 Earnings Rebound

Story Highlights
  • Retail Food Group refinanced debt with WHSP, adding funding and securing its balance sheet.
  • Despite weaker first-half earnings, RFG targets FY26 profit growth via cost cuts, brand investment and retaining Brumby’s Bakery.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
Retail Food Group Secures New Debt Facility, Cuts Costs and Backs FY26 Earnings Rebound

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An update from Retail Food Group ( (AU:RFG) ) is now available.

Retail Food Group has refinanced its senior debt through a new 19‑month, $41.2 million facility with major shareholder Washington H. Soul Pattinson, adding $7.5 million of additional funding to underpin its “Enhance & Grow” strategy and providing greater balance sheet certainty ahead of the previous facility’s 2026 maturity. The company flagged a sharp fall in first-half FY26 underlying EBITDA to $9.0–10.0 million from $16.0 million a year earlier amid softer second-quarter trading, non-recurring benefits in the prior period and slower contributions from new Beefy’s outlets and its Turkey supply hub, but maintained that domestic network sales remained resilient and outlined cost‑reduction initiatives expected to deliver $1.2–1.8 million in savings in FY26 and $5.0–7.0 million in FY27. RFG has opted to retain its profitable Brumby’s Bakery brand after a divestment review, citing stakeholder interests, and issued full‑year FY26 underlying EBITDA guidance of $20.0–24.0 million, banking on efficiency measures, brand refreshes, franchisee support and disciplined investment in growth platforms such as the planned Firehouse Subs rollout and expanded international operations to drive an earnings improvement in the second half.

The most recent analyst rating on (AU:RFG) stock is a Hold with a A$1.50 price target. To see the full list of analyst forecasts on Retail Food Group stock, see the AU:RFG Stock Forecast page.

More about Retail Food Group

Retail Food Group is an Australian multi-brand food and beverage franchisor whose portfolio includes bakery, quick service restaurant and coffee chains such as Brumby’s Bakery, Beefy’s and various café brands. The group focuses on domestic and international franchise operations, wholesale coffee supply and network sales growth across its store network, with an emphasis on supporting franchisee profitability in competitive retail trading conditions.

YTD Price Performance: 0.34%

Average Trading Volume: 43,351

Technical Sentiment Signal: Sell

Current Market Cap: A$93.7M

For detailed information about RFG stock, go to TipRanks’ Stock Analysis page.

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