Kingfish Posts 8.7% Gross Portfolio Return, Outperforming NZX50G in Q2 2026

Strong Quarter Amid Geopolitical Relief and Market Rally

Kingfish Limited (NZX:KFL) delivered a robust performance in the April to June 2026 quarter, posting a gross portfolio return of 8.7% and an adjusted net asset value (NAV) return of 8.2%. This comfortably outpaced the S&P/NZX50G benchmark index, which returned 5.5% over the same period. The quarter’s gains came against a backdrop of easing geopolitical tensions following the Strait of Hormuz crisis, which saw Brent crude oil prices peak at US$118 per barrel in March before settling back to US$73 by June. This reduction in geopolitical risk alleviated inflation and growth concerns, underpinning a broad rally in global equities and commodity-sensitive sectors.

Healthcare and Infrastructure Lead Portfolio Gains

Fisher & Paykel Healthcare was a standout contributor, reporting a 14% increase in revenue and a 24% jump in net profit for its fiscal year ending March. Growth was fuelled by strong demand in its Hospital division, particularly for consumables and hardware, reflecting evolving clinical practices. Infrastructure plays also shone, with Infratil surging 34% after announcing a landmark 555-megawatt contract for its CDC Data Centres business with a US hyperscaler. This deal, one of the largest of its kind in the region, propelled Infratil’s 2028 EBITDAF guidance above A$1 billion, reinforcing CDC’s position as a premier data centre provider amid rising AI-driven demand.

Mixed Signals from Consumer-Exposed Stocks

Consumer-facing companies showed divergent fortunes. Freightways and Port of Tauranga rallied 16% and 14% respectively, boosted by improving fuel price prospects and consumer demand. Conversely, a2 Milk’s shares tumbled 21% due to supply disruptions in China caused by increased regulatory testing and a production backlog. The company also faced a minor voluntary recall of US infant formula linked to a toxin found in some global brands, though no contamination was reported in China. On a positive note, a2 Milk secured regulatory approval to transition key infant formula products in China to its own brand and declared a $300 million special dividend, signalling confidence in its supply chain overhaul.

Steady Performers and Earnings Guidance Updates

EBOS Group trimmed its full-year EBITDA guidance slightly to $610-620 million due to higher fuel and packaging costs but maintained confidence in mid-single-digit earnings growth and a 15% return on capital over time. Summerset’s share price drifted down 2% despite robust sales and the official opening of its first Australian village, reflecting market sentiment towards New Zealand’s housing sector rather than operational performance. Mainfreight posted a solid profit before tax of $351 million, with trading in April and May ahead of last year despite rising fuel costs. Vulcan Steel remained under pressure from weak construction activity, while Delegat lifted its full-year net profit guidance to $60-62 million, supported by premiumisation trends and favourable currency movements.

Dividend and Shareholder Engagement

Kingfish paid a dividend of 2.49 cents per share on 26 June 2026, with 38% of shareholders participating in the dividend reinvestment plan (DRP), which offers shares at a 3% discount to market price. This strong DRP uptake reflects ongoing investor confidence in the portfolio’s prospects and the manager’s disciplined approach to capital allocation.