Sea Forest Limited has reported a remarkable 236% increase in SeaFeed revenue for the first half of 2026, surpassing breakeven cattle commitments and securing new international partnerships.
- SeaFeed revenue jumps 236% to A$796k in 1H26
- 118,000 cattle under agreement, exceeding breakeven targets
- Strong cash position with A$29 million on hand
- New commercial deals in Australia, Brazil, and Japan
- Advancing R&D with promising aquaculture trial results
Robust Revenue Growth and Operational Momentum
Sea Forest Limited (ASX:SEA) has delivered an impressive performance in the first half of 2026, with SeaFeed revenue soaring by 236% compared to the previous year. The company’s innovative livestock feed additive, designed to reduce methane emissions while boosting productivity, is gaining significant traction among farmers. With 118,000 head of cattle now under agreement, Sea Forest has already surpassed its breakeven target, signalling strong market acceptance and operational progress.
Strengthened Financial Position Supports Expansion
Backing this growth is a fortified balance sheet, with cash and deposits rising to A$29 million, more than double the previous period. Despite a reported underlying EBITDA loss of A$2 million, the company’s cash flow improved, aided by increased customer receipts and strategic treasury management. This financial strength provides Sea Forest with the runway to scale its operations and invest in infrastructure, including the construction of a new regional mixing and distribution centre in Newcastle, aimed at enhancing efficiency and reducing costs.
Expanding Commercial Footprint Domestically and Abroad
Sea Forest’s commercial momentum extends beyond Australia, with new partnerships established in key international markets. The company has entered South America through a collaboration with Belterra in Brazil, the world’s largest livestock market, and secured an exclusive manufacturing and distribution agreement with Japan’s Oisix Ra Daichi. Domestically, a multi-year collaboration with Woolworths Group, Teys Australia, and DIT AgTech opens access to Australia’s vast grazing segment, representing over 30 million cattle, significantly broadening SeaFeed’s addressable market.
Innovative R&D and Positive Trial Outcomes
On the research front, Sea Forest is advancing new delivery formats for SeaFeed beyond oil dosing, including blocks and water-based systems, to enhance flexibility and adoption. Aquaculture trials at Deakin University have demonstrated a 30% increase in fish growth rates, with upcoming studies set to explore benefits related to heat resistance and immune response. These developments underscore Sea Forest’s commitment to innovation and diversification within sustainable livestock and aquaculture nutrition.
Looking Ahead
As Sea Forest moves into the second half of 2026, the company is well-positioned to capitalise on its commercial agreements and R&D advancements. The combination of a strong balance sheet, expanding customer base, and international partnerships sets the stage for accelerated growth. However, the path to sustained profitability and regulatory approvals in key markets remains a critical focus for investors and stakeholders.
Bottom Line?
Sea Forest’s strong start to 2026 sets a promising foundation, but the journey to profitability and global scale is just beginning.
Questions in the middle?
- When will Sea Forest achieve sustained profitability given current EBITDA losses?
- How quickly can regulatory approvals be secured in international markets?
- What impact will new delivery formats have on customer adoption and cost structure?