Select Harvests Narrows Crop Guidance, Costs Rise to $13.9m

Select Harvests Limited (ASX:SHV) has updated guidance for its 2026 crop, now expecting a crop size of 28,800MT to 29,600MT against previous guidance of 28,000MT to 31,000MT, which the company described as a near record crop and an increase of 16-19% on the prior corresponding period. Select Harvests said the outcome came despite unusually wet weather in late February and early March, when some regions experienced more than 300% of average harvest rainfall, and that significant capital investments of roughly $30 million in a new pre-cleaner and dryer, a kernel recovery line, new shakers and capacity expansion had been critical to achieving the increased crop size while maintaining the required crop quality. External grower volumes are now guided to 13,800MT to 14,200MT, an 88-94% increase on FY25, against previous guidance of 15,400MT.

Operational costs related to the wet harvest and other one-off costs are now $13.9 million, up from $6.9 million previously. The company attributed a further $7 million in costs in the second half to more drying than had previously been expected, an extended processing period and other non-recurring items, in addition to the $6.9 million forecast at 1H26. Select Harvests said these were countered by continued strength in the almond price, with the 2026 pool price increasing from A$10.21/kg to A$10.26/kg, now 91% hedged at US$0.665, and that at the date of the announcement it had sold or contracted 81% of the 2026 crop. Year-end net debt is expected to be below $65 million with gearing below 11%. The company said global almond prices have increased significantly over the past six months, with reported prices reaching a 10-year high in USD in recent weeks, which it attributed to declining supply in the Californian almond market where bearing acreage is forecast to fall this year for the first time since 1995. Select Harvests plans to release its FY26 full year results on 25 November 2026.