Phibro Animal Health Q4 Earnings Call Highlights

Phibro Animal Health Q4 Earnings Call Highlights Posted by Defense World Staff on Aug 29th, 2026 Share on Twitter Share on Facebook Share on LinkedIn Share on Stocktwits Get alerts: Phibro Animal Health (NASDAQ:PAHC) reported record fiscal 2026 sales and a sharp increase in adjusted EBITDA, supported by growth in its Animal Health and Mineral Nutrition businesses, the integration of its acquired Zoetis medicated feed additive portfolio, and operational initiatives under its Phibro Forward program. For the fiscal year ended June 30, 2026, Phibro posted net sales of $1.518 billion, up $221.9 million, or 17%, from the prior year. Adjusted EBITDA rose $71.3 million, or 39%, to $255 million, according to Chief Financial Officer Glenn David. Chief Executive Officer Daniel Bendheim said the company’s results reflected improved execution, efficiency and positioning for long-term growth. Fourth-quarter sales increased 5% to $396.7 million, while adjusted EBITDA grew 29% from the prior-year period. GAAP net income and diluted earnings per share increased 26% in the quarter, David said, citing integration of the acquired MFA business, stronger demand, favorable sales mix, lower input costs and tariff recoveries. Those factors were partly offset by higher employee-related selling, general and administrative expenses. Animal Health Remains Main Growth Driver The Animal Health segment generated $1.162 billion in fiscal-year sales, an increase of $199.4 million, or 21%. Segment adjusted EBITDA rose 37% to $303.6 million. Within the segment, the acquired MFA portfolio contributed $354.3 million in annual revenue, up 70% from the prior year. In the fourth quarter, however, sales from the acquired portfolio declined 11% to $83.9 million, which management attributed to a difficult comparison with a strong fourth quarter in fiscal 2025 rather than a deterioration in underlying trends. David said Phibro expects the acquired MFA portfolio to outpace companywide revenue growth in fiscal 2027, supported by continued momentum in North America, international growth opportunities and the absence of prior-year returns associated with certain market transitions. Legacy Animal Health sales also advanced. For the full year, legacy MFA and other revenue increased 4%, Nutritional Specialties sales rose 9%, and vaccine revenue grew 14%. Vaccine growth was driven by poultry products in Latin America and demand in Israel and Southeast Asia, while Nutritional Specialties benefited from worldwide demand and higher companion-animal sales. Chief Operating Officer Larry Miller said the company is using the acquired poultry MFA products alongside its legacy nutrition and vaccine offerings. In cattle, Phibro is positioning certain acquired products through its “Start Strong” package for feedlots, combining Bovatec, Deccox and Aureomycin offerings. Brazil Regulatory Uncertainty Included in Outlook Management said fiscal 2027 guidance assumes minimal sales of virginiamycin in Brazil because of uncertainty around therapeutic-use approvals. Phibro recorded approximately $27 million in Brazil sales of virginiamycin during fiscal 2026. Miller said the company continues to work with Brazilian regulators and remains optimistic about obtaining therapeutic-use approvals. The company expects the 180-day transition period to end in late October, but Bendheim said the political environment surrounding upcoming elections could delay the process. As a result, Phibro did not include sales beyond the first quarter in its fiscal 2027 assumptions. “A favorable outcome will represent upside to our expectations rather than something required to achieve our outlook,” Bendheim said during the call. Mineral Nutrition Sales Rise as Costs Increase Mineral Nutrition revenue increased 20% in the fourth quarter to $77 million and rose 11% for the year to $282.3 million. The growth reflected demand for premixes, copper, zinc and other trace minerals, as well as higher underlying commodity costs. Ho