GNC Analysis: GrainCorp Trading Update and GrainsConnect Canada Divestment

Published 17 Dec 2025 • 3 min • GNC

Event: GrainCorp Trading Update and GrainsConnect Canada Divestment | Date: 2025-12-17 | Source: ASX Announcements

GrainCorp Flags Severe FY26 Trough with 67% Receivals Decline and Canadian JV Exit

GrainCorp released a trading update on 17 December 2025, providing preliminary FY26 guidance amid challenging conditions and announcing the divestment of its 50% stake in GrainsConnect Canada (GCC) for C$150 million. The company projected FY26 grain receivals of 11-12 million metric tonnes (mmt), a 67% drop from FY25's 34.7 mmt, attributing this to weather interruptions in southern NSW and Victoria, lower commodity prices reducing market supply, and global oversupply pressuring margins. The GCC sale to Parrish & Heimbecker Limited, expected to complete by March 2026, includes a A$5-10 million loss after A$26 million impairments, allowing GrainCorp to refocus on core opportunities. Management maintained a strong cost focus while emphasising customer service, with no changes to through-cycle EBITDA targets. Source: GrainCorp ASX Announcement.