Australian utility Origin Energy reported statutory profit of A$1.57 billion for the year ended June 2026, up from A$1.48 billion a year earlier, while underlying earnings declined as lower oil prices and weaker LNG trading weighed on its gas business. Underlying profit fell to A$1.16 billion from A$1.49 billion in FY25, while underlying EBITDA declined 6% to A$3.22 billion from A$3.41 billion. The decline was concentrated in Origin's Integrated Gas division, where underlying EBITDA fell to A$1.62 billion from A$2.20 billion.
The company attributed the decrease to lower oil-linked earnings from its interest in Australia Pacific LNG and reduced LNG trading gains. Australia Pacific LNG's average realized LNG price dropped to A$13.64 per gigajoule, while production totaled 668 petajoules on a 100% basis. Despite weaker operating earnings, Origin received A$911 million in fully franked dividends from the LNG venture, up from A$797 million a year earlier.
Performance improved in Origin's Energy Markets business, which includes its Australian electricity and natural gas retail and generation operations. EBITDA rose 21% to A$1.70 billion, supported by higher electricity and gas gross profit and lower customer servicing costs. Origin added 243,000 customer accounts during the year, taking its customer base to 4.94 million.
Electricity gross profit increased to A$1.61 billion from A$1.43 billion, while natural gas gross profit edged higher to A$612 million. Cash generation was another bright spot. Adjusted free cash flow increased by A$867 million to A$2.07 billion, helping keep adjusted net debt at 1.6 times adjusted underlying EBITDA.
Origin declared a final dividend of A$0.30 per share, bringing its full-year payout to A$0.60 per share. The company has also continued expanding its battery storage portfolio as Australia's electricity system absorbs increasing amounts of renewable generation. Origin said 1.3 GW of large-scale battery capacity, with 4.1 GWh of storage, was operational as of August, against a total development program of 1.8 GW.
Origin's investment in UK-based Octopus Energy and energy software company Kraken Technologies also showed improved financial performance. Origin's share of their combined underlying EBITDA was a loss of A$8 million, compared with an A$88 million loss in FY25. Octopus added 2.2 million customer accounts during the year to reach 19 million.
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