• Total Group revenue: NZ $26 billion, up 15% 
• Total cash returns to shareholders: $16 billion, up 30.6% 
• Operating profit: NZ $1,732 million, up 13% 
• Profit after tax: NZ $1,079 million, down 4%, up 13% tax-adjusted 
• Normalised earnings per share: 71 cents, no change, up 13 cents tax-adjusted 
• FY25 full year dividend, fully imputed: 57 cents per share, up from 55 cents unimputed 
• Return on capital: 10.9%, down from 11.3%, up from 10.0% tax-adjusted 
• 2024/25 final Farmgate Milk Price: NZ $10.16 per kgMS 
• 2024/25 season milk collections: 1,509 million kgMS, up 2.6%.

• 2025/26 forecast Farmgate Milk Price range: NZ $9.00 – $11.00 per kgMS 
• FY26 forecast earnings range: 45-65 cents per share 
• 2025/26 season forecast milk collections: revised up to 1,525 million kgMS.

Fonterra Co-operative Group Ltd has today released its FY25 annual results which show the Co-op generated $26 billion in revenue and delivered $16.2 billion in total cash returns to shareholders.

The final Farmgate Milk Price for the 2024/25 season was $10.16 per kgMS, equating to $15.3 billion in milk payments to New Zealand farmers, up $3.8 billion on last year.  

The Co-op also announced a FY25 full year dividend of 57 cents fully imputed, and at the upper end of its dividend policy, equating to $916 million of cash to shareholders and unit holders. This is comprised of a 22 cent interim dividend and 35 cent final dividend.  

CEO Miles Hurrell says FY25 has been one of the Co-op’s strongest years yet in terms of shareholder returns.  

“We continue to see good demand from global customers for our high-quality products made from New Zealand farmers’ milk and this is driving returns through both the Farmgate Milk Price and dividends.  

“Our vision is to be the source of the world’s most valued dairy. Our strategy is designed to grow end-to-end value for farmers by focusing on being a B2B dairy nutrition provider, working closely with customers through our high-performing Ingredients and Foodservice channels.

“During the year, we’ve taken important steps towards this goal, including running a robust divestment process for global Consumer and associated businesses. This resulted in an agreement to sell the businesses to Lactalis for $4.22 billion, subject to approvals.  

“We’re also positioning the Co-op to deliver further value through our Foodservice and Ingredients businesses, including continuing to invest in new manufacturing capability to meet growing customer demand for our high-value products.

“We have a pipeline of potential growth investments we’re assessing, with plans to invest up to $1 billion over the next three to four years in projects to generate further value and drive operational cost efficiencies,” says Mr Hurrell.  

Projects include:

Growing the value of our existing protein portfolio, in addition to the recently announced investment at Studholme, to support our Ingredients business.

Adding value to milkfat through new butter and cream cheese investments to support both our Foodservice and Ingredients businesses.  

Investments in site operations including our Enterprise Resource Planning system replacement, data, AI and automation.  

Mr Hurrell says that through focused execution of strategy, the Co-op is targeting earnings to be back at current levels within three years, offsetting the earnings impact of divesting the Consumer and associated businesses.  

“Our balance sheet strength gives us the confidence to return capital, invest in the future of the business and maintain our dividend policy,” says Mr Hurrell.

Performance

Fonterra has delivered strong performance in FY25, with Total Group reported operating profit increasing to $1.7 billion, up from $1.5 billion the year prior.  

Reported profit after tax was $1.1 billion, equivalent to earnings per share of 65 cents. This was down slightly on the prior year, reflecting Fonterra’s higher tax expense in FY25 after the Co-op elected not to deduct distributions to farmer shareholders from taxable income and instead attach imputation credits to dividends.

When excluding the costs associated with the Consumer divestment, Fonterra’s normalised earnings per share were 71 cents, in line with last year’s result.  

The Co-op delivered a Return on Capital of 10.9%, in line with the target range of 10-12%.

“This result was driven by higher operating profit in the Ingredients business, due to demand for our protein portfolio and our use of margin hedging tools and indexed-based pricing,” says Mr Hurrell.

“Foodservice sales volumes continue to grow off the back of continued demand in Greater China for our high-value products including UHT cream, butter and mozzarella.  

“The business proposed to be divested, Mainland Group, benefited from sales volume growth in the Consumer business and the Australia business having a stable milk price against higher global commodity prices.

“Operating costs largely increased due to investment in a once-in-a-generation Enterprise Resource Planning software replacement as well as costs associated with the Consumer divestment process.  

“Fonterra’s balance sheet and leverage metrics are in line with the prior year, maintaining the Co-op’s robust position and providing optionality for the future,” says Mr Hurrell.  

Strategy

During FY25, Fonterra took further steps to support value growth through its global Ingredients and Foodservice businesses.  

This included appointing Richard Allen as President, Global Ingredients and Teh-han Chow as President, Global Foodservice.

“Fonterra commenced construction on new manufacturing capacity at its Studholme and Edendale sites, with the first protein products from Studholme expected in early 2026, and UHT cream from Edendale expected late 2026,” says Mr Hurrell.  

“The Co-op is also investing in its foundations, with construction underway on a new coolstore at its Whareroa site, and new coal-free boilers at its Clandeboye and Edendale sites to support secure energy supply.  

“In addition to the investments at Studholme and Edendale, we’re also planning new manufacturing capacity investment for both specialty protein and butter. This will support further improvement in the Co-op’s product mix by allowing Fonterra to allocate more milk to Foodservice and non-reference Ingredients products,” says Mr Hurrell.  

Divestment

In line with its strategy to focus on its Ingredients and Foodservice businesses, during FY25 Fonterra undertook a dual-track divestment process for its global Consumer and associated businesses.  

This resulted in an announcement in August 2025 that the Co-op has agreed to sell the businesses to Lactalis for $4.22 billion, subject to approvals.  

As previously shared, Fonterra is targeting a capital return of $2.00 per share from the divestment proceeds if it progresses, which is equivalent to $3.2 billion.  

The Fonterra Board intends to make a final decision on the amount and timing of the capital return once the sale agreement is unconditional, cash proceeds are received in New Zealand and having regard to other relevant factors including Fonterra's debt and earnings outlook at the time.

The sale is subject to approval from farmer shareholders, certain regulatory approvals, and separation of the businesses from Fonterra. The farmer shareholder vote is due to take place via a Special Meeting on 30 October 2025.  

Outlook  

The Co-op has today revised its forecast milk collections for the 2025/26 season from 1,490 million kgMS to 1,525 million kgMS.  

“Favourable weather conditions experienced during the previous season are forecast to continue through spring, supporting pasture growth,” says Mr Hurrell.  

The 2025/26 forecast Farmgate Milk Price is $10.00 per kgMS with a range of $9.00 – $11.00 per kgMS.  

“Global Dairy Trade prices continue to be robust, as does demand from customers for our products sold off GDT. However, the risk of potential volatility in commodity prices and exchange rates from geopolitical dynamics remains.”  

Fonterra’s FY26 forecast earnings from continuing operations, which excludes the businesses to be divested, is 45-65 cents per share.

“Our forecast earnings for the year ahead exclude earnings from the businesses to be divested and is in line with the strong performance we’ve delivered in FY25.”  

Looking further ahead, as well as targeting earnings to return to current levels in three years, Fonterra has confirmed it is maintaining the strategic targets and policy settings announced in September 2024, if Mainland Group is divested.

This includes a target average Return on Capital of 10-12% from FY26, which is above Fonterra’s 5-year average.

25 September 2025 – On World Maritime Day, the international community reflects on the vital role of our oceans in connecting people, sustaining livelihoods, and ensuring freedom of navigation. This year’s theme, “Our Ocean, Our Obligation, Our Opportunity,” underscores the responsibility to safeguard maritime rights for all.

As the world observes this day, the Palestine Forum of New Zealand stands in solidarity with the Global Sumud Flotilla as it sails toward Gaza, carrying humanitarian aid and a message of justice. Their journey is a direct affirmation of maritime principles: that the seas are a shared heritage of humanity and must never be weaponized to enforce siege or collective punishment.

For nearly two decades, the people of Gaza have been denied access to their own waters and cut off from the outside world by an illegal naval blockade. This blockade violates the very spirit of World Maritime Day, where oceans are meant to unite, not divide; to sustain life, not deepen suffering.

The Global Sumud Flotilla, through steadfastness and courage, highlights the urgent need to uphold international maritime law and humanitarian principles. On this day, we call upon governments, maritime organisations, and civil society to stand with those who risk their lives at sea to break the silence around Gaza.

The seas must be a path to freedom and solidarity. On World Maritime Day, the Palestine Forum of New Zealand affirms its support for the Global Sumud Flotilla and the right of all people to live with dignity, safety, and hope.

NZ Plays 2025 report reveals parents see video games as a positive force in learning, connection and creativity

New Zealand, 25 September 2025 – Video games are now a regular part of life in most New Zealand homes and new research shows parents are not only on board with their kids playing video games, but are actively embracing it and participating. The 2025 NZ Plays study, conducted by IGEA and Bond University, shows 91% of New Zealand households include someone who plays games. The study also shows that many New Zealand parents see video games as a way to help their kids learn, connect with others and develop useful life skills. NZ Plays has been running for fifteen years and captures the trends and behaviours of New Zealand video gamers.

Families that play together

Video games have created more ways for families to interact. More than half of New Zealand parents (54%) say they play video games with their children as a fun way to connect as a family, while 52% say it's simply a good way to spend time. Nearly half of parents (47%) believe games are a fun way for children to learn, pointing to benefits such as problem-solving (45%), enhanced cognitive skills (37%), and social connection with friends and family (36%).

Parents also report confidence in managing their children’s play. The majority are familiar with family controls (76%) and in-game controls (65%), and many households set rules around play, with 39% enforcing them “very much” and 38% “to some degree.”

“This year’s research shows that a key driver of New Zealand parents playing video games is to build connections with their children. Video games continue to provide a platform and space where families can enjoy doing something fun together,” said Ron Curry, CEO of IGEA.

Why New Zealanders play

For most New Zealanders, the main motivation for play is to have fun, and to feel and experience joy. Video games are widely valued as a way to relax and destress, to relieve boredom and to provide a challenge. Respondents also noted that video games can support mental health, helping both adults and children manage stress, depression and anxiety by building resilience and self-confidence.

Popular genres include puzzle, board and card games, reflecting the combination of mental challenge, stimulation and enjoyment that players seek.

Connection through games

Playing video games also helps New Zealanders form and maintain relationships. For younger adults, the impact is even stronger. Nearly half (48%) of 18-34 year olds have made connections through games. 32% have become involved in a community or social group and 71% prefer collaborative games. Older players also benefit, with 15% of players aged 65 and above using games to stay connected with family and friends and 58% show a strong preference for collaborative play.

“Mental health was a key theme for New Zealand players this year. Respondents provided great insights into the potential benefits they see and experience through playing video games. Connection with others, managing stress and depression, developing emotional intelligence, increased resilience, and building self-confidence were all identified as mental health benefits of playing video games,” said Dr. Jeffrey Brand, Professor at Bond University.

The face of the modern player

Working-age adult averaging 36 years old
Just as likely to be female (47%) as male (52%)
Living in a house with at least two devices
Plays for fun and socially, collaboratively and competitively
Plays with family for connection
Is quite familiar with family controls on devices
Plays outside of the home – in the classroom and on the job

“We know New Zealanders love playing video games and now we can see how much they appreciate the benefits beyond fun and entertainment. New Zealanders also value the power of games to connect with others, to educate, and to provide mental health benefits,” concluded Curry.

If you would like to learn more about New Zealand Plays 2025, you can visit the. IGEA website

About IGEA

IGEA (Interactive Games & Entertainment Association) is the peak industry association representing the voice of Australian and New Zealand companies in the computer and video games industry.  IGEA supports the games industry's business and public policy interests through advocacy, research and education programs. For more information, please visit www.igea.net

About New Zealand Plays

New Zealand Plays is a study of 820 New Zealand households represented by adult participants aged 18 and over. Household-level statistics include demographics, household device profiles, attitudes, and knowledge questions. Parents represent 282 of the 820 household adult respondents. Data on play time (including frequency and duration, location, time of day, genre preferences, and common playing experiences) were drawn from adult participants and one other nominated household member (n=1,309). Age, gender and player status were drawn from the participants and all members of the household (n=1,731). Participants were drawn randomly from the Qualtrics XM panel in May 2025; research was designed and conducted at Bond University. The margin of error is 3.5%.

Australian shark experts have tested four bite-resistant materials to assess their ability to reduce injuries and blood loss.

While internal and crushing injuries may still occur, bite-resistant wetsuits can now be added to the ‘toolkit’ of measures available to reduce shark-bite risk and resulting injuries, say researchers from Flinders University’s Southern Shark Ecology Group.

Shark bites on humans are uncommon but can severely impact local coastal communities and businesses, especially where water-based tourism and recreation are common, often prompting pressure for better bather protection strategies.

Governments are often focussed on area-based protection, but as recent studies have shown there is also increasing focus on personal deterrents and/or other personal mitigative measures, such as bite-resistant wetsuits

Funded by the NSW Department of Primary Industries and Regional Development Shark Management Program, the study tested the efficacy of four bite-resistant wetsuit materials (Aqua Armour, Shark Stop, ActionTX-S and Brewster material) to reduce damage incurred from white and tiger shark bites.

Traditional chainmail suits were protective but too inflexible and heavy for activities like surfing or diving. New wetsuits that incorporate strong and light fibre often used in sailing rope, ultra-high molecular weight polyethylene, offer both flexibility and protection, making them more suitable for recreational use.

Dr Tom Clarke, Professor Charlie Huveneers, and experts from NSW Department of Primary Industries and Regional Development assessed each material’s potential in reducing injuries from white and tiger sharks by quantifying the amount of bite damage across four categories of increasing severity (ranging from ‘superficial’ to ‘critical’) and comparing it to damage on standard neoprene.

“While there were small differences between the four tested materials, they all reduced the amount of substantial and critical damage, which would typically be associated with severe haemorrhaging and tissue or limb loss,” says Dr Clarke, from the College of Science and Engineering at Flinders University.

White and tiger sharks are responsible for the most unprovoked bites and are two of the top three species with the highest rate of fatal bites. Interactions between humans and sharks continue to rise in frequency globally, with expanding coastal populations and rising popularity of marine activities.

“Our study showed that bite-resistant materials incorporated into wetsuits can reduce damage from large white and tiger sharks (up to 3 metres) compared to standard neoprene wetsuit, even from moderate and severe bites,” says Dr Clarke.

Professor Huveneers, who leads the Southern Shark Ecology Group at Flinders University, says: “While these suits don’t eliminate all the risk (e.g. internal injuries may still occur), our results indicate that they can reduce blood loss and trauma from major lacerations and punctures, potentially saving lives.

“Our findings will allow for informed decisions to be made about the use of bite-resistant wetsuit materials for occupational activities, as well as enabling the public to make appropriate decisions about the suitability of using these products,” says Professor Huveneers.

Key points:

Wetsuits that incorporate bite-resistant materials have emerged as a new mitigation strategy that aims to reduce fatalities from shark bites, by reducing the severity of injuries inflicted from bites (e.g. lacerations, punctures, tissue and blood loss).
As shark-bite mitigation continues to shift from traditional lethal methods towards non-lethal alternatives, personal protective measures such as electric deterrents and protective wetsuits continue to gain interest as tools to reduce the number of interactions and injuries, and increase the likelihood of survival.

The new article, ‘Effectiveness of bite-resistant materials to reduce injuries from white shark (Carcharodon carcharias) and tiger shark (Galeocerdo cuvier) bites’ (2025) by Thomas M Clarke, Paul A Butcher, Marcel Green, James Whitelaw, Lauren Meyer and Charlie Huveneers has been published in Wildlife Research (CSIRO Publishing) https://doi.org/10.1071/WR25019.

Acknowledgements: This study was funded by the NSW Department of Primary Industries and Regional Development Shark Management Program, and Australian Research Council Linkage (project LP190100992).
No funding was obtained from any of the material inventors or manufacturers.

New analysis from Cotality’s Mapping the Market reveals New Zealand’s housing market has remained subdued over the past three months to September, with sales activity slowly rising but property values largely stagnant. (ref. https://www.cotality.com/nz/our-data/mapping-market )