Fletcher Building (FBU.AX): 4Q volume report & FY26 guidance upgrade; Sell

Research evidence excerpt

Fletcher Building (FBU.AX): 4Q volume report & FY26 guidance upgrade; Sell

Equity Research

9 July 2026 | 11:43AM AEST

Fletcher Building (FBU.AX): 4Q volume report & FY26 guidance

upgrade; Sell

FY26 guidance updated. FBU expects FY26 EBIT of NZ$400m-403m, inclusive of Niraj Shah

+61(2)9320-1369 | niraj.shah@gs.com

~NZ$52m of surplus property sales (prev surplus property sales guidance of Goldman Sachs Australia Pty Ltd

~NZ$40m). FBU’s FY26 guided continuing operations EBIT (excluding property sales) Sophie Yu

is NZ$348-351m (vs prev NZ$335-340m), vs prior GSe/VA consensus of NZ$336m +61(3)9679-1076Goldman Sachs Australia| sophie.x.yu@gs.comPty Ltd

(-4% below the guided midpoint). The guidance upgrade was driven by operational Alex Nosatti

gains in Light Building Materials (procurement, productivity and cost efficiencies) +61(2)9321-8342Goldman Sachs Australia| alex.nosatti@gs.comPty Ltd

and demand pull-forward in the Iplex businesses, while Heavy Building Materials

benefited from favourable June weather supporting civil and infrastructure demand.

The lift in property earnings to ~NZ$52m reflects greater certainty on the Laminex

Cheltenham site sale in AU. Looking ahead, existing projects continue to support

materials demand, but macro uncertainty and cost inflation are driving delays and

cancellations of new commercial projects, which if sustained could weigh on 1H27

performance.

Divisional volumes

n Light Building Products: Q4 volumes rose vs both Q3 and pcp. The division

benefited from favorable raw material procurement, improved manufacturing

productivity and greater use of low-cost scrap. Several business units also saw

demand pull forward, notably the Iplex businesses (NZ and AU), where customers

accelerated purchases ahead of progressive price increases.