Fonterra Flags El Niño Risk to Milk Supply, Posts NZ$2.61 Billion Profit

New Zealand dairy exporter Fonterra warned on Sept. 24, 2026, that El Niño could curb milk volume growth late in the 2026/27 season, citing heightened extreme-weather risk that may cut the product available to process and sell. The co-operative guided fiscal 2027 underlying earnings per share to 65–85 NZ cents, a midpoint slightly above fiscal 2026's 71 NZ cents. Profit after tax for fiscal 2026 more than doubled to NZ$2.61 billion ($1.48 billion), driven by gains on the sale of Mainland Group to France's Lactalis and strong demand from its Ingredients protein business. Fonterra said it will invest NZ$1 billion over three years to expand protein manufacturing in the South Island, creating roughly 50 to 60 permanent roles. It declared a final dividend of 33 NZ cents per share, lifting the full-year payout to 73 NZ cents from 57 NZ cents. Shares rose 0.4% to NZ$4.82 in early trade.